HomeMy WebLinkAbout061713 CITY OF PORT TOWNSEND
MINUTES OF THE REGULAR SESSION OF JUNE 17, 2013
CALL TO ORDER AND PLEDGE OF ALLEGIANCE
The Port Townsend City Council met in regular session the seventeenth day of June,
2013, in the City Council Chambers. Mayor David King called the meeting to order at
6:30 p.m.
ROLL CALL
Councilmembers present at roll call were Robert Gray, David King, Catharine
Robinson, Michelle Sandoval, Deborah Stinson, and Mark Welch with Kris Nelson
excused.
Staff members present were City Manager David Timmons, Public Works Director
Ken Clow, Public Services Director Rick Sepler, and City Clerk Pam Kolacy.
CHANGES TO THE AGENDA
Mr. Gray requested that Item F (Wayfinding Phase II contract authorization) be
removed from the consent agenda for discussion. It was agreed to place it as Item B
under Unfinished Business.
SPECIAL PRESENTATION:
Proclamation: Amateur Radio Week
Mayor King read a proclamation declaring the week of June 17, 2013, as Amateur
Radio Week. John Ebner accepted on behalf of the American Radio Relay League.
Council member Stinson commended the group for its work.
COMMENTS FROM THE PUBLIC
Public comment
Pat Moore regarding interfund loans, progress on Customs House and utility rate
increases.
Robere Le Huquet regarding upgrade of the Visitors Information Center.
Colby Fox regarding street parking near Fort Worden.
City staff response
City Council Business Meeting June 17, 2013 Page 1 of 7
City Manager Timmons responded to issues raised during public comment.
CONSENT AGENDA
Bills, Claims and Warrants
Vouchers 120852 through 120860 in the amount of$220,206.64
Voucher 120861 in the amount of$13,988.82
Voucher 120862 in the amount of$953.25
Electronic Fund Transfer (EFT) in amount of$97.51
EFT in amount of $697.18
Vouchers 120751 through 120759 in the amount of$1,798.04
Vouchers 120760 through 120848 in the amount of$345,819.76
Vouchers 120849 through 120850 in the amount of$1,017,832.19
EFT in the amount of$9,825.68
Approval of Minutes: May 20, 2013
Appointments to Committees/Advisory Boards: Parks, Recreation and Tree
Advisory Board Jason Cecil (Position 4, Horticulture, Term expires May 1,
2016) Non-Motorized Transportation Advisory Board Lys Burden,
reappointment (Position 6, Term expires May 1, 2016) Pat Teal, reappointment
(Position 7, Term expires May 1, 2016) Historic Preservation Committee
Marsha Moratti, reappointment (Position 6, Term expires May 1, 2016) Rosalind
Russell, reappointment (Position 7, Term expires May 1, 2016) Lodging Tax
Advisory Committee Will O'Donnell, reappointment (Position 3, Term expires
May 1, 2016) Janette Force reappointment (Position 6, Term expires May 1,
2016) Arts Commission Erin Fristad, reappointment (Position 9, Term expires
May 1, 2016)
Authorization for the City Manager to award the bid and execute the contract
with StripeRite Inc. for the 2013 pavement striping program in various
locations of Port Townsend
Resolution 13-018, Authorizing the City Manager to Execute an
Intergovernmental Master Contract Usage Agreement with Washington State
Department of Enterprise Services (DES)
Motion: Michelle Sandoval moved to approve the consent agenda with the removal of
Item F (Wayfinding project Phase II) and a correction to the minutes of May 20. On
Page 2, the spelling of Roger Birman's name would be corrected (from "Berman.)"
Mark Welch seconded.
Vote: motion carried unanimously, 5-0 by voice vote.
UNFINISHED BUSINESS
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Authorization for the City Manager to execute a contract with the Washington
State Historical Society for a Washington State Heritage Capital Project Fund
Grant in the amount of $363,750 for the restoration of the Carnegie Library
Building.
Public Works Director Ken Clow reviewed the staff report. The grant is for the
restoration of the Carnegie Library Building as part of the Library Seismic Retrofit
project. The funds can only be used for the Carnegie restoration, and are not
eligible for use as part of a Library expansion project. Once the contract is
approved the City will be able to apply for a reimbursement for $230,000 for funds
already expended (of the total of approximately $885,000 expended to date). Mr.
Clow noted that remaining eligible pieces of the Carnegie's restoration include new
carpet, removal of the current elevator, restrooms and utility closets; HVAC
modifications, historically correct lighting fixtures, and exterior concrete work.
There was no public comment.
Motion: Catharine Robinson moved to authorize the City Manager executing a
Heritage Capital Project Fund grant contract with the Washington State Historical
Society for a $363,750 grant for the restoration of the interior and exterior of the
Carnegie Library Building. Deborah Stinson seconded.
Vote: motion carried unanimously, 6-0 by voice vote.
AUTHORIZATION FOR THE CITY MANAGER TO AWARD THE BID AND EXECUTE
A CONTRACT WITH THE LOWEST RESPONSIBLE, RESPONSIVE BIDDER TO
FABRICATE AND INSTALL SIGNAGE FOR THE PORT TOWNSEND WAYFINDING
PROJECT PHASE II
Public Services Director Rick Sepler gave the staff report. He noted that approval
would authorize the City Manager to award the bid and execute a contract for
fabrication and installation of signage for the Port Townsend Wayfinding project
Phase II. The project has had three separate approvals by the Council and there
remains $153,000 of federal funding for the sign construction. Specific signage text
will be presented to Council at a future date.
Mr. Gray stated he has had feedback regarding the sign on the Community Center
grass. He said that seniors are worried about running into the sign because it blends
in with the background. Mr. Sepler gave some background information on the sign,
noting it is not finished, and stated he would follow up.
Public comment:
Colby Fox regarding sign pollution.
Motion: Michelle Sandoval moved to authorize the City Manager to award the bid and
execute a contract with the lowest responsible, responsive bidder to fabricate and
install signage for the Port Townsend Wayfinding project Phase ll. Mark Welch
seconded.
Vote: motion carried unanimously, 6-0 by voice vote.
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NEW BUSINESS
Authorization for the City Manager to enter into contract for automatic meter
reading interface (AMI)
City Manager David Timmons reviewed the staff report. He noted that the Council
reviewed the matter at the June 10, 2013 Council workshop. He said the citizen
Climate Action Committee previously identified replacing water meters with "remote
read" meters as part of their recommended action plan which was approved by the
Council. Staff was then directed to work with the Resource Conservation Officer to
investigate how to best implement the plan. In early 2012, Council authorized an
agreement with the State Department of Energy for the Energy Savings
Performance Contracting Program. Since then, staff has been working with
Honeywell to perform the energy savings audit. The AMI is part of that review and
is brought forward separately at this time due to concerns that the new "low lead"
water rules to be implemented on January of 2014 may require full meter
replacement which could double the cost of the project and preclude any cost
benefit resulting from AMI installation.
The AMI reduces utility operational costs, meter reading costs, vehicle operations
and maintenance costs, vehicle fuel costs, transmitter repair and replacement cost,
and billing reconciliation costs. Mr. Timmons said that the AMI investment does
not impact the current rate recommendation but has a neutral impact. Honeywell
offers a guarantee of system performance which warrants that the proposed system
will perform as specified and will yield savings as indicated in the materials. There
is also a catastrophic failure warranty provided. Estimated payback from
operational savings will be realized in 12.5 years and the project provides
cost stabilization on utility operations and maintenance.
There was discussion of the "low lead" requirements.
Financing would be through revenue bonds and would not affect the City's general
obligation debt total. The utility does not currently have any debt obligation except
trust fund loans with interest rates guaranteed by the state.
There was further discussion about which components of the program are included
in the current financing package.
Staff will review how much the termination fee will be if the project does not go
forward.
Councilmember Stinson gave a brief explanation of how the item got onto the
Climate Action Committee work plan.
Public comment
Patrick Moore had questions regarding the project.
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Steve Oakford spoke in support of the project, noting that the timing seems right in
light of the pending EPA "low lead" decision.
Councilors commented that this is a good opportunity to add tools for both the City
and homeowners to manage their accounts effectively and do it in a cost neutral
way; that this will become standard for most municipalities; that there are fixed
costs that must be covered to make the system work. Mr. Gray expressed support
for the project but concern about whether the project is really neutral in cost. He
stated that more information is needed.
Mr. Timmons said that this will allow him to go to the next phase of the project and
he will return to Council with a financing package for Council approval.
Motion: Deborah Stinson moved to authorize the City Manager to enter into an
agreement(s) with the State of Washington and Honeywell for Automatic Meter
Interface consistent with the summary in the agenda bill. Mark Welch seconded.
Vote: motion carried, 5-1 by voice vote, Robert Gray opposed.
Ordinance 3090 Amending PTMC Chapter 13.05 Utility Rates and Charges and
Amending Chapter 13.03 System Development Charges and Excluding the
Capital Surcharge from the City Utility Tax
David Timmons presented the staff report on new utility rates. The Council has
reviewed preliminary rate models and most recently reviewed a presentation at the
June 10 workshop which included elements such as revenue requirements, rate
design, system development charges (SDCs) and the outside-city multiplier.
He stated that the City is facing a significant number of capital project expenditures
related to the utilities. Consultant Financial Consulting Solutions, Inc. (FCS)
findings show that the operating revenue of the water utility is not fully covering
overhead and maintenance expenses. Adoption of the proposed rates to be
effective August 1, 2013 is recommended with SDC increases phased in. It is also
recommended that the Finance and Budget Committee review the SDC payment
options prior to implementation.
Clarifications regarding prior rate increases were made. Mr. Timmons explained
the arrangement with the Mill for water; that the Port and Fort pay for water and that
the golf course pays for potable water but not irrigation water. No credits for
potential sales of surplus property or timber have been factored in but if that
happens the capital surcharge rates can be adjusted. Mr. Gray stated he believes
more information should be provided to the public.
There was no public comment.
Staff will review the headings (Annual Rate Increase and Rate Multipliers) on
Exhibits A and B to see if there are errors.
There was further discussion about how information is communicated to the public.
City Council Business Meeting June 17, 2013 Page 5 of 7
Low income qualifications were reviewed.
After further conversation, staff was directed to remove SDC-related portions of the
ordinance pending review, and determine whether the headers in Exhibits A and B
should be deleted.
Motion: Mark Welch moved to approve first reading of Ordinance 3090 Amending
the Port Townsend Municipal Code Chapter 13.05 Utility Rates and Charges,
Including Capital Surcharge and Outside-City Multiplier, and Amending Chapter
13.03 on System Development Charges (SDC), and Excluding the Capital
Surcharge from the City Utility Tax, and establishing an effective date, that
staff bring back information requested during the discussion and to task the
Finance and Budget Committee with review of the SDC payment options. Deborah
Stinson seconded.
Vote: motion carried, 5-1 by voice vote, Robert Gray opposed.
Motion: Michelle Sandoval moved revisit surplus properties that belong to the utility
fund and also the timber cruise information and have staff come up with a program
for suggestions for how to mitigate the surcharge, present the information
to Council and assign review to the Special Projects Committee for
recommendation. Mark Welch seconded.
Vote: motion carried unanimously, 6-0 by voice vote.
Mayor King declared a recess at 8:36 p.m. for the purpose of a break.
The meeting resumed at 8:45 p.m.
PRESIDING OFFICER REPORT
Appoint Subcommittee of Council to work on Succession Planning
Mayor King stated that he has appointed Councilors Robinson, Gray and Nelson to
work with the City Manager on succession planning issues.
CITY MANAGER REPORT
Authorize City Manager to recruit for assistant IT Position
Mr. Timmons reviewed the information on the City's need for technology assistance
and the proposal to hire another employee for the information technology
department. He noted the City's growing dependence on technology and the need
for technical support coverage at all times. He reviewed cost savings through
efficiency and technology upgrades as well as the potential for charging a per-unit
charge to City departments.
There was no public comment.
City Council Business Meeting June 17, 2013 Page 6 of 7
Motion: Deborah Stinson moved to authorize the City Manager to establish a
position for Information Technology Assistant. Mark Welch seconded.
Vote: motion carried unanimously, 6-0 by voice vote.
Schedule Council Budget Retreat (suggest July 25 at 1 p.m.)
Mr. Timmons stated a budget retreat would be scheduled for Thursday, July 25, at
1:00 p.m. either in the Cotton Building or the Pope Marine Building. Ms. Robinson
was not sure she would be able to attend at that time. It was requested that Council
members contact the City Manager as soon as possible if the date did not work for
them.
SUGGESTIONS FOR NEXT OR FUTURE AGENDA, REGULAR MEETING AND/OR
STUDY SESSION
COMMENTS FROM COUNCIL
Finance and Budget Committee Report (April financials and annual report)
Mr. Timmons noted that Council has received copies of the 2012 Annual Report,
and that the annual state audit will begin in July.
EXECUTIVE SESSION
ADJOURN
There being no further business, the meeting was adjourned at 9:53 p.m.
Attest:
Pamela Kolacy, MMC
City Clerk
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