City Council Minutes - 01/29/2019 a City of Tigard
Tigard City Council Meeting Minutes
• , January 29, 2019
STUDY SESSION
Council Present: Mayor Snider,Councilors Anderson,Goodhouse,Newton and Lueb
Staff Present: City Manager Wine,City Attorney Rihala,Public Works Director Rager,Utility Manager
Goodrich,Revenue Manager Quach and City Recorder Krager
RECEIVE PUBLIC WORKS RATE STUDIES OVERVIEW
Public Works Utility Manager Goodrich said the City is at the end of the five-year drinking water rate
program.The last increase was effective January 1,2019. He gave some history on recent water rate
increases. A major rate study was done in 2010 and based on that water rates were increased
significantly on January 1,2011. Two months later an increase to the Water SDC was released,and
phased in over a three-year period based on a recommendation from the Home Builders Association.
In 2014 staff came back to Council to discuss another rate increase to fund purchasing an additional
$20 million of capacity from the Lake Oswego-Tigard Water Partnership. It is now the end of that rate
structure and he wanted to discuss challenges with the upcoming rate review.
Staff released an RFP for business services and rate planning and a single proposer,FCS Group,
responded. This contract is different in that on-call service is included so there will be someone on
board for any additional work or responses to Council questions as needed for five years. He noted that
the contract for FCS Group will be on the agenda for February 19.
Utility Manager Goodrich said in 2010,2011 and 2012 staff received a lot of phone calls from the public
but the number of phone calls has significantly dropped. However, there was a lot of customer feedback
regarding the one-inch meters.When rate study recommendations came out in 2011, the City moved
from being a water"renter" to being an"owner." Part of ownership is distributing the cost,especially
the large debt service, spreading it out proportionally based on capacity. The larger the water meter,the
higher the fixed cost,which is a fair and equitable way to ensure that the right customers are paying their
fair share and contributing capital towards debt service. In hindsight,it may have been better if there
had been a single rate for the residential class customer, spreading the costs evenly across the 5/8-inch,
3/4-inch and one-inch meters. It may have saved staff a lot of calls from concerned citizens.
He said a question for Council to be considering is whether something should be done regarding one-
inch water meter cost structure in the residential class compared to the 5/8-inch and 3/4-inch meters.
Other utility fees and charges will also need a review. The stormwater fee is created by Clean Water
Services and the City adds as additional surcharge. Out of the recent Stormwater Master Plan came a list
of capital improvements that need to be made over the next 20-30 years. Current rates will not cover
this need.
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There is also sanitary sewer aging infrastructure. Clean Water Services also sets this charge. The City
collects this fee and gets to keep 20 percent. Tigard also has a nominal($2.27 in 2019) surcharge put into
place in 2025 or 2016 to help make up some operations and maintenance costs but does not address
capital improvement projects.
The Parks and Recreation fee and the Street Maintenance fee are others that Council will be giving input
on in the future.
Utility Manager Goodrich asked Council how they want staff to approach them on recommendations as
they work through the rate studies. He asked if there should first be a workshop on Utility Rates 101 or
did they feel they had what they need to bring recommendations to a single workshop and then a
business meeting for public comment.
Councilor Goodhouse said he would like the 101 review and to see the whole picture of each utility
category addressing priority,cost of delay,and suggestions from staff on phasing implementation. He
asked that a public communications plan be developed so they understand the priorities and the 20-year
timeline. Councilor Newton said she was interested in the capital improvement strategy and knowing
what staff feels is imminent and that might require more upfront financing. She noted that she was
familiar with the calls that came in about the one-inch meters and asked if it was true that some users
were not using all of their capacity. Mr. Goodrich said staff has studied the revenue generated by
different sized meters and one-inch meters bring in a lot.Taking them down to the 5/8-inch size level
would create a deficit of$876,000 in lost revenue based on last year's data. If the$876,000 was spread
evenly over the three meter sizes,there would be an additional cost of$2.34 for 5/8-inch meters. The
3/4-inch and one-inch would end up paying less.Tigard's largest meter group is the 5/8-inch customers.
If the amount was added to Tier 2 and Tier 3,it would be an impact of 20 to 25 cents more per unit.
Councilor Goodhouse asked if 5/8-inch meter customers were currently getting a discount and Mr.
Goodrich said no. The infrastructure to deliver to one-inch meters is greater.
Mayor Snider said he has heard about this issue multiple times from the public and unless staff can
demonstrate to him that people with one-inch meter actually use more water on average,it is impossible
for him to support this. He asked if people are not using that much water,why even put one-inch
meters in. Utility Manager Goodrich said it is a State plumbing code based on the number of fixtures in
the home. Mayor Snider said he was willing to look at the data. Councilor Newton said that could be
addressed with Tier 2 and 3 costs.
Councilor Lueb said she understood that people who were getting the one-inch meters had larger
houses and we are required to provide the infrastructure but she did not think that their greater cost
should be spread to those who do not have that space. She said she could agree with charges based
upon usage.
Councilor Anderson said he had a one-inch meter for a family of four but during the holidays they had
twelve guests staying there so he was sure they used that capacity. He said he did not think it was a big
issue.
Finance and Information Services Director LaFrance said there is a reason to have both a base charge
and a user charge. The city issues $170 million in bonds and a stable and reliable income level is needed
in order to pay those bonds. He said the base charge and Tier 1 will handle operations and maintenance.
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The capital costs are essentially paid for by Tier 2 and Tier 3 users. Utility Manager Goodrich said the
economist will look at this issue and provide data and analysis for Council. He acknowledged that the
pricing level is complex but has served the city very well and from a financial standpoint has met all the
requirements.
Mayor Snider asked when the City would start saving for replacement of the Lake Oswego/Tigard
Water Partnership system. Utility Manager Goodrich said that would be part of the study with a few
scenarios and one percent had been discussed by the Oversight Committee.
Mr. Goodrich said there is a situation in River Terrace where the builder put in separate fire suppression
systems in townhomes which would normally have a 5/8-or 3/4-inch meter but due to the fire
suppression system require a one-inch meter. So those residents are paying$66 per month for fire
suppression,or an additional$43.92 extra per month. For residential customers fire suppression is
generally covered in the hydrant so we take a portion of cost structure,identify what it costs for one year
and then spread it out over all residential users. Staff is receiving many calls from the townhome
residents questioning why their bill is so high.A city in Washington has the same situation and they
created an ordinance that reduced that meter charge by one step. He did not feel this would have a large
impact on Tigard's financial stability and staff could wait until the rate study is complete to bring it to
council separately with either an ordinance or administrative rule. Councilor Anderson asked if the
builder is aware of this and suggested the information is passed on to homebuyers. Mayor Snider asked
what different the builder had to pay in SDCs and Mr. Goodrich replied that they paid 3/4-inch for a
one-inch because we allow a credit for fire suppression system. He said staff will bring things forward
on a future workshop agenda.
COUNCIL LIAISON REPORTS
Councilor Newton reported on a Burdick/Doherty/Williamson Open House held on January 12.
Topics discussed included rent control,gun legislation,LNG and fracking,paying for education,
revenue reform,a vacancy tax (vacant homes),and a state bank for marijuana businesses. She attended
the January 17 Affordable Housing meeting and a SW Corridor meeting on January 24. She said people
were not in support of light rail going to Bridgeport because of impacts on businesses.There was some
support for another stop in downtown Tigard. She attended the CP04B meeting which featured a
presentation from Portland State Population Center on changing demographics.
Council President Goodhouse attended the Beaverton State of the City. He was on the CDBG project
selection committee and it looks like Tigard's sidewalk project will be funded.A Willamette Intake
Facility meeting discussion was on structural integrity during earthquakes. The Westside Economic
Alliance discussed the Willamette Water project and building processes and materials that will be long-
lasting and earthquake damage resistant. That project is scheduled to be on schedule.
Councilor Anderson reported on the Water Consortium and he was added to the board. Their budget
was approved. He has been added to the Tigard Chamber Government Affairs Committee. He
attended a League of Oregon Cities meeting in Salem.
Councilor Lueb attended the League of Oregon Cities Elected Essentials training which was interesting
and informative. She attended the Chat with the Chief and heard residents' concerns about the photo
red light program. She attended Tigard Walks on Saturday and enjoyed talking with citizens about what
they liked about living in Tigard.
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Mayor Snider reported on topics discussed at the Washington County Coordinating Committee meeting,
such as improvements to I-5 through the auxiliary lane and ODOT is now eager to add an auxiliary lane
to relieve congestion on Highway 217. Governor Brown's transportation agenda was presented and the
SW Corridor was mentioned with one-time funding recommended. Councilor Newton requested a copy
of the meeting report. He attended the US Conference of Mayors in Washington DC. They are
committed to pushing the"3I's" -Inclusion,Infrastructure and Innovation in the next year. He will
copy council with information. He plans a future discussion on E-sports. One talk focused on the great
impact lighting can have on an outdoor space. He said lighting projects attract visitors and creative
lighting could change the face of downtown Tigard. He attended the Metropolitan Mayors Consortium
press conference for the upcoming legislative session today in Salem. The mayors have prioritized the
following for legislative action: Qualifications-Based Solicitations (QBS),reducing car thefts,housing
assistance programs,mental health,carbon and 5G in the rights of way.
Administrative Items: City Manager Wine mentioned that the Council Goal Setting is scheduled for
February 12 from 6-8 p.m. at the Public Works Auditorium and the Council Groundrules discussion will
be on February 13 from 6-8 p.m. at the Fanno Creek House. Jeff Aprad from Jensen Strategies will
schedule individual interviews to discuss Council's goal priorities. He will be facilitating both sessions.
Council is invited to host the Chamber's Good Morning Tigard and there are open dates at the end of
March. Due to some council liaison commitments it was decided to look for dates later on in the spring.
City Manager Wine said a Fifth Tuesday opportunity is hosting an outreach event jointly with Chamber
members.
1. BUSINESS MEETING QE
A. At 7:33 p.m. Mayor Snider called the City Council and Local Contract Review Board to
order.
B. City Recorder Krager called the roll.
Present Absent
Councilor Newton ✓
Councilor Anderson ✓
Mayor Snider ✓
Council President Goodhouse ✓
C. Mayor Snider asked everyone to stand and join him in the Pledge of Allegiance.
D. Mayor Snider asked staff and council for any Non-Agenda Items. None.
2. INAUGURATION OF COUNCILOR HEIDI LUEB
At 7:35 p.m.Judge O'Brien called Heidi Lueb to come forward and administered her oath of
office. New Councilor Lueb then joined the other councilors at the dais.
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3. CITIZEN COMMUNICATION
A. Follow-up to Previous Citizen Communication—There was none.
B. Tigard High School Student Envoy Freudenthal gave an update on THS activities.
The choir's benefit concert at the end of December raised over$7,000 for Paradise High
School in the California town devastated by wildfire. The guitar and jazz ensemble hosted
an Evening of Musical Desserts. The STUD (Stop Tigard Underage Drinking) Club held a
week-long event to bring awareness to the problems caused by underage drinking and drug
use. The girls'basketball team is ranked number one in the state and the boys'basketball
team is ranked number seven. Unity Month begins this month and all students and families
are encouraged to donate toiletries and other household necessities for refugee households
in our area. The Senior Citizens Prom will be on Sunday,February 10 from 1-3 p.m.
C. Police Chief McAlpine provided Council with the December statistics and presented an end
of year report. A copy of her report and PowerPoint have been added to the packet for this
meeting.
Councilor Newton asked if officers would benefit from additional training or alternate
resources to help with contacts with the homeless or those with behavioral issues. Chief
McAlpine replied that they send one or two at a time but she would really like to have the
entire department receive training.
Council President Goodhouse asked if staff tracked where the calls are coming from in the
GIS system to see which sector of Tigard initiates more calls. He suggested this information
would be helpful in planning substations. Chief McAlpine said they do and it shows a lot of
activity along Highway 99W, for example. She will bring this map to the next monthly
update.
D. Tigard Area Chamber of Commerce—Jessica Love gave an update on Chamber of
Commerce activities. Leadership Tigard completed Business and Economy Day in
December and Communications and Media Day in January. The Shining Stars Community
Awards will be on Friday,May 3 from 5-9 p.m. at Embassy Suites -Washington Square.
High school senior scholarship applications are now open and include anyone going to a
trade school,professional training,2-year college or 4-year university. Vendor applications
for the 2019 Farmers Market season are being accepted.There will be a succulent garden
class on February 16 at Model Institution.
E. Citizen Communication—Sign-up Sheet.
John Mentesana, 8835 SW Thorn Street,Tigard,OR 97223,asked that the new half-bulb
street at the end of Thorn Street be closed due to safety hazards. The road was just opened
for the Thornwood Meadows development and is right on his property line. There is a blind
spot on both sides of the street;one is a power pole and the other a large gate. There are no
sidewalks on either side or prior to the development,there was no traffic going beyond his
property because it was the end house. The road is reduced in size due to not having enough
room to meet the Fire Marshal's width requirements and to allow the developer to build.
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Mr. Mentesana said the combination of safety hazards is putting his son in danger of getting
hit by a car or hurt as he needs code-compliant conditions to stay safe. His son was born
with a body sensory disability which impacts vision, speech,body regulation and all senses.
His son has a service dog for support and needs code-compliant conditions to stay safe.
4. CONSENT AGENDA: (Tigard City Council) —
A. RECEIVE AND FILE:
1. Council Calendar
2. Tentative Agenda
B. APPROVE CITY COUNCIL MINUTES
• November 27,2018
• December 4,2018
• December 11,2018
• December 18,2018
• January 8,2019
• January 15,2018
C. PROCLAIM JANUARY AS SCHOOL BOARD APPRECIATION MONTH
D. CONSIDER CONTRACT AWARD WITH VMWARE FOR ENTERPRISE
LICENSING
E. CONSIDER INTERGOVERNMENTAL AGREEMENT WITH WASHINGTON
COUNTY FOR 121sT AVENUE IMPROVEMENTS
F. CONSIDER APPOINTING A CHIEF NEGOTIATOR
G. CONSIDER CONTRACT AWARD FOR PERFORMANCE AUDIT SERVICES
H. CONSIDER RESOLUTION WAIVING TEMPORARY SIGN PERMIT FEE FOR
TIGARD METRO BABE RUTH BASEBALL
Resolution No. 19-01 —A RESOLUTION WAIVING $276 IN TEMPORARY
SIGN PERMIT FEES FOR SOUTHWEST METRO BABE RUTH BASEBALL
Councilor Anderson motioned for approval of the Consent Agenda. Councilor Goodhouse
seconded the motion. Mayor Snider conducted a vote and the motion passed unanimously.
Yes No
Councilor Newton ✓
Councilor Lueb ✓
Councilor Anderson ✓
Mayor Snider ✓
Council President Goodhouse ✓
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5. QUASI-JUDICIAL PUBLIC HEARING: CONSIDER ORDINANCE FOR SW 95TH AVENUE
ZONE CHANGE (CPA1018-00003 &ZON2018-00004)
A. Mayor Snider opened the public hearing.
B. City Attorney Rihala read the hearing procedures.
C. Mayor Snider asked Council if they had any conflicts of interest. Councilor Newton said
she drove by the site yesterday but this would not affect her impartiality in this case.
D. Mayor Snider asked Council members if they have had any ex parte contact.There was
none.
E. Mayor Snider asked the audience if there was any challenge to the participation of any
Council member. There were no challenges.
F. Project Planner Pagenstecher summarized the staff report and memo informing Council of
changes in the site conditions. The agenda packet includes material in support of a
Comprehensive Plan change from low-density residential to medium-density residential,
and the proposed zone change from R-4.5 to R-7 on a 1.6-acre property located south of
Greenburg Road between 95`h Avenue and Tangela Street. He said however,staff was
made aware yesterday that Mr. Chapman,who submitted a written comment letter for the
record, said there was a change in circumstances due to tree removal. This was
documented in a memo to council dated January 29,2019. The tree removal changes the
facts of the case and the finding that relied on those facts.This changes the basis for the
Planning Commission recommendation to Council. He said staff therefore recommends
that Council act to remand the case back to the Planning Commission for review and
consideration of the changed circumstances. He said the applicant and property owner are
represented in the audience by Brian Cob and concur with the recommendation to remand
and are waiving the 120-day timeline for the zone change to facilitate it. He said if the
Council votes to remand,the Planning Commission could hear this on February 25,2019 at
7:00 p.m.
Mayor Snider clarified that the staff recommendation is to remand back to the Planning
Commission. In response to a question from Councilor Newton on whether the 120-day
waiver had been received in writing from the applicant,Project Planner Pagenstecher said it
was. Councilor Goodhouse asked if there was a discussion about what happened and why
the trees were cut down. Mr. Pagenstecher said there has not been a discussion.
G. Mayor Snider closed the public hearing.
H. Council Consideration
Councilor Anderson said he was in favor of the zone change but if Council wants to
remand to the Planning Commission it should be sent back. Mayor Snider agreed and said
the conditions and findings from the Planning Commission are essentially moot now and
we cannot preserve things that were cut down. Project Planner Pagenstecher said the
Planning Commission has discretion about public values and the tree canopy is certainly
one of those and the tree canopy is gone. There are other public values such as open space
and pocket parks that could be considered.
Council President Goodhouse moved to remand this item to the Planning Commission.
Councilor Lueb seconded the motion.
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Mayor Snider asked if there was any further discussion. Councilor Anderson asked if it was
correct that the removal of the trees was not illegal. Project Planner Pagenstecher said that
was correct. Councilor Goodhouse clarified that while it was not illegal to remove the trees,
it changed a condition of approval so it needs to go back to the Planning Commission.
Mayor Snider conducted a vote and the motion passed unanimously.
Yes No
Councilor Newton ✓
Councilor Lueb ✓
Councilor Anderson ✓
Mayor Snider ✓
Council President Goodhouse ✓
Mayor Snider thanked everyone in the audience for coming and for their interest in the case. He
said Council just voted to remand to the Planning Commission and that is the only action
Council would be taking up tonight. Any interested party wanting to testify on the merits of the
application is encouraged to attend the Planning Commission hearing which is set for February
25,2019 at 7:00 p.m.in Tigard Town Hall.
6. INFORMATIONAL PUBLIC HEARING: CONSIDER APPROVAL OF RESOLUTION FOR
SECOND QUARTER BUDGET SUPPLEMENTAL
A. Mayor Snider opened the public hearing.
B. Mayor Snider said that anyone may offer testimony and there was a sign-up sheet at the
front of the room.
C. Senior Management Analyst Kang gave the staff report and described the key items in the
supplemental budget as listed in the attachments to the Agenda Item Summary. Staff
proposed to hire consultants to perform community outreach and community preference
testing for a future election. Finance is requesting an Accounting Assistant position to help
answer customer needs in a timely manner,as the amount of customers has increased by 20
percent. IT has requested to use one-time funds granted from the Metropolitan Area
Communications Commission (MACC) to update the audio/visual equipment in City Hall
and the Library Community Room. The Library received one-time funding from
Washington County Cooperative Library Services (WCCLS) to perform repairs and
maintenance in public spaces in the Library. The Police Department has identified the need
for a Traffic Sergeant position to oversee the Photo Enforcement program. Even though
this is a General Fund service,the program revenues will support the expenditures.
The Supplemental Budget also contains several grants in Police and Engineering to assist in
traffic and pedestrian safety. One Public Works request is to add a Pavement Management
Program Project Manager to implement a more robust program including management of
right-of-way maintenance contracts,Americans with Disabilities Act (ADA) projects and a
street maintenance fee audit.
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Senior Management Analyst Kang said grants are recognized in the Capital Improvement
Plan budget from the National Endowment for the Arts and the Washington County
Visitor Association for the Tigard Street Heritage Plaza Outdoor Museum in downtown
Tigard.
Overall,the 2019 Second Quarter Supplemental Budget increases the City's FTEs by 3.3
but none are materially supported by the General Fund.The City's budget will increase by
$2.3 million across 11 City funds. Expenditure increases are largely supported by
development,grants and some use of additional fund balances and contingencies.The
Supplemental does not impact the reserves of the City. Staff recommends approval of the
resolution.
D. Public Testimony-No one signed up to testify.
E. Mayor Snider closed the public hearing.
F. Council Discussion and Consideration:
Councilor Newton referred to the failed levy in May and asked staff to talk about the
funding sources and lack of impact on the General Fund as funds are adjusted for changing
service demands. Senior Management Analyst Kang said they are using some unanticipated
fund balances,intergovernmental grants and$340,000 of the contingency.The$340,000 is a
loan to the Town Center Development Agency.
In response to a question from Councilor Anderson,Mr. Kang said the Pavement
Management Program Manager is a new position.
Councilor Lueb asked about the time period for the TCDA loan to be paid back and
City Manager Wine said over the course of a fiscal year staff ensures that funding loaned
from the General Fund to the TCDA gets repaid. Mayor Snider said in this particular case it
would be dependent on some utilities providing accurate information to the tax assessment
office but he did not think the City could independently do it correctly. City Manager Wine
agreed and said it was also correct that the City cannot recover funding not received in the
first year of tax increment financing. She said this action is correcting it for future years.
G. Council Discussion and Consideration: Resolution No. 19-02
Councilor Goodhouse moved for approval of Resolution No. 19-02. Councilor Newton
seconded the motion. City Recorder Krager read the number and title of the resolution.
RESOLUTION No. 19-02—A RESOLUTION TO ADOPT THE FY 2019
SECOND QUARTER BUDGET SUPPLEMENTAL INCLUDING BUDGET
ADJUSTMENTS TO PUBLIC WORKS,POLICY AND ADMINISTRATION,
AND COMMUNITY SERVICES
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Yes No
Councilor Newton ✓
Councilor Lueb ✓
Councilor Anderson ✓
Mayor Snider ✓
Council President Goodhouse ✓
Mayor Snider conducted a vote and the motion to approve Resolution No. 19-02 passed
unanimously.
7. NON-AGENDA ITEMS There were none.
8. EXECUTIVE SESSION At 8:12 p.m. Mayor Snider made the following announcement: The
Tigard City Council will enter into an Executive Session to discuss labor negotiations under ORS
192.660(2) (d).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. He said the City
Council will adjourn from Red Rock Creek Conference Room after the Executive Session.
9. ADJOURNMENT
At 8:39 p.m. Councilor Goodhouse motioned for adjournment. Councilor Newton seconded the
motion. Mayor Snider conducted a vote and the motion passed unanimously.
Yes No
Councilor Newton ✓
Councilor Lueb ✓
Councilor Anderson ✓
Mayor Snider ✓
Council President Goodhouse ✓
Carol A. Krager,City Reco der
Attest:
Jas . Snider,Mayor
Date
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