HomeMy WebLinkAbout102907CITY OF PORT TOWNSEND
CITY COUNCIL
MINUTES OF THE SPECIAL BUSINESS MEETING OF OCTOBER 29, 2007
CALL TO ORDER AND PLEDGE OF ALLEGIANCE
The City Council of the City of Port Townsend met in special session the twenty-
ninth day of October, 2007, at 6:30 p.m. in the Port Townsend City Council
Chambers of City Hall, Mayor Mark Welch presiding.
ROLL CALL
Council members present at roll call were Frank Benskin, Laurie Medlicott, George
Randels, Catharine Robinson, Michelle Sandoval, and Mark Welch. Geoff Masci
was excused.
Staff members present were City Manager David Timmons, City Attorney John
Watts, Finance Director Michael Legarsky, Public Works Director Ken Clow, and City
Clerk Pam Kolacy.
PUBLIC HEARINGS
Mayor Welch reviewed the rules of procedure for legislative public hearings. He
noted the rules would apply to both public hearings.
PUBLIC HEARING -ORDINANCE 2957
AN ORDINANCE CORRECTING AND AMENDING THE 2007 BUDGET BY
APPROPRIATING THE SUM OF $72,000 TO THE GENERAL FUND; $35,280 TO
THE FIRE AND EMERGENCY MEDICAL SERVICES FUND; $175,000 TO THE
STORMWATER FUND; $335,000 TO THE WATER/SEWER FUND; $395,000 TO
THE SYSTEM DEVELOPMENT CHARGES FUND; $15,000 TO THE MEMORIAL
FUND; $12,000 TO THE LIBRARY FUND AND MAKING FINDINGS
Finance Director Michael Legarsky reviewed the packet materials.
There was no public comment.
After discussion, consensus of the Council was to direct staff to specify, prior to
adoption, the amount received by the Stormwater Utility Fund as a result of the
additional utility tax ($57,000). This will appear in the narrative in the fourth
"Whereas" clause on page 1 of the ordinance.
Motion: Ms. Robinson moved for first reading of Ordinance 2957. Mr. Welch
seconded. The motion carried unanimously, 6-t), by voice vote.
City Council Special Business Meeting Page 7 October 29, 2007
PUBLIC HEARING -ORDINANCE NO. 2958
AN ORDINANCE ADOPTING THE BUDGET FOR THE CITY OF PORT
TOWNSEND, WASHINGTON, FOR THE FISCAL YEAR ENDING
DECEMBER 31, 2008
City Manager David Timmons reviewed the 2008 Preliminary Budget, which was
distributed to Council members (a draft Finance Director's budget was previously
distributed to the Council). Mr. Timmons noted that the key issue in 2008 is
sustainability of the General Fund.
There was no public comment.
Ms. Medlicott stated she couldn't vote for first reading, as she has not had enough
time to review the budget document.
Motion: Mr. Welch moved for first reading of Ordinance 2958. Mr. Randets
seconded. Motion carried, 4-2, by voice vote, Benskin and Medlicott opposed.
RECESS
Mayor Welch declared a recess at 7:36 p.m. for the purpose of a break.
1:7xK~7:-r/~.I~
The meeting was reconvened at 7:50 p.m.
ORDINANCE 2953
AN ORDINANCE OF THE CITY OF PORT TOWNSEND AMENDING THE PORT
TOWNSEND MUNICIPAL CODE CHAPTER 13.05 UTILITY RATES AND
CHARGES AND ESTABLISHING AN EFFECTIVE DATE
City Manager David Timmons reviewed the packet materials, noting his
recommendation to remove the fire sprinkler tap fee and to eliminate the
Commercial B (over 800,000 gallons per month) customer classification.
Regarding the tap fees, he stated that we do not know the actual cost of service and
could delete the fee and deal with it during the utility rate update in three years.
Regarding the customer classification, he stated that Fort Worden is the only
customer affected by this rate; modifying the metering system at the Fort, which is
planned, would effectively remove them from the classification. That would result in
no need for the classification.
There was no public comment.
City Council Special Business Meeting Page 2 October 29, 2007
Ms. Robinson stated she has concerns about dropping the tap fees, since the
consulting firm that did the utility rate study said our current rate is probably 50%
lower than it should be.
Ms. Sandoval stated that the Council had recommended a sunset clause for the tap
fees at the last meeting so that they would continue in place until further study had
been done.
Mr. Randels stated that the consultant seems to associate revenues with costs;
when it first came to the Council's attention it was stated that the revenue from the
taps was $8,800 per year; however, he noted that the building owners who install
sprinklers save money for the City by controlling fires which would take large
amounts of water to suppress if they were allowed to burn until the Fire Department
could arrive.
Mrs. Medlicott expressed concern about the number of customers who had taps
installed but are not paying the tap fee.
Mr. Benskin stated his preference would be to remove the fee, but he could support
the sunset clause.
Motion: Mr Randels moved for adoption of Ordinance 2953 with the removal of the
tap fees and removal of the Commercial B (over limit) rate as recommended by the
City Manager. Mr. Welch seconded.
Ms. Sandoval expressed concern that if the tap fees were eliminated, the cost would
be spread among the rest of the utility customers. She stated she would like to have
more information before just eliminating the fee.
Public Works Director Ken Clow asked that the Council add language to clarify that
the fees are being dropped as an incentive for businesses to have sprinkler systems;
this would provide the reasoning for not including a charge recommended by FCS in
the rates.
Motion: Mr Randels moved to amend the ordinance to add a sentence in the
recitals to the effect that dropping the sprinkler tap fee acts as an incentive to
businesses to have sprinklers installed. Mr. Welch seconded. Motion failed on a 3-
3 tie, with Medlicott, Robinson and Sandoval opposed.
Ms. Robinson stated she would rather not suspend the fees for three years until
another study is done.
Ms. Sandoval stated it seems irresponsible to go ahead without knowing how this
will affect other ratepayers.
City Council Special Business Meeting Page 3 October 29, 2007
Mr. Randels stated he could compromise by supporting the sunset clause if the City
moves quickly to make sure all users are brought into the system and begin paying
the monthly fee.
Motion: Ms. Robinson moved to amend the main motion to include Exhibit 8-2 as
written with no deletions or changes. Mr. Randels seconded.
Mrs. Medlicott said that although she has long been a supporter of Fort Worden, she
does not support elimination of the Commercial B (over) rate because the facility is
the largest user of water at the most critical time of the year.
Ms. Sandoval stated that the Fort will change the billing by re-metering in which case
the single user overage will be eliminated; she confirmed that she does understand
the philosophy behind the overage.
Vote on amendment carried, 4-2, with Benskin and Medlicott opposed.
Motion: Mr. Randels moved to add a sentence to the ordinance providing that
private fire protection tap fees expire on December 31, 2008, unless extended by
Council. Motion carried, 5-7 by voice vote, Benskin opposed.
Vote on main motion: motion to adopt Ordinance 2953 as amended carried, 4-2, by
roll call vote, Benskin and Medlicott opposed.
ORDINANCE 2959
AN ORDINANCE OF THE CITY OF PORT TOWNSEND AMENDING THE MODEL
BUSINESS AND OCCUPATION TAX ORDINANCE, CHAPTER 5.04A OF THE
PORT TOWNSEND MUNCIPAL CODE
ORDINANCE 2960
AN ORDINANCE OF THE CITY OF PORT TOWNSEND AMENDING
THE ADMINISTRATIVE PROVISIONS OF THE MODEL BUSINESS AND
OCUPATION TAX ORDINANCE, CHAPTER 5.048 OF THE
PORT TOWNSEND MUNICIPAL CODE
Finance Director Michael Legarsky reviewed the packet materials. He noted that
adoption of the new model B&O ordinance is a state mandate. He also noted the
apportionment change was estimated by the Department of Revenue to have a
negative impact of about $15,000 on the City's revenues.
There was no public comment.
Motion: Mr. Welch moved for first reading of Ordinance 2959 and Ordinance 2960.
Mrs. Medlicott seconded.
City Council Special Business Meeting Page 4 October 29, 2007
Motion: Mr. Randels moved to waive Council rules for first and second reading so
the ordinances could be adopted at this meeting. Mrs. Medlicott seconded. The
motion to waive rules carried unanimously, 6-0, by voice vote.
Vote on motion to adopt Ordinance 2959 and Ordinance 2960 carried unanimously,
6-0, by roll call vote
ADJOURN
There being no further business, the meeting was adjourned at 8:39 p.m.
Attest:
r V/ ~Y ~ r ' 1" ~ ry
Pam Kolacy, MMC
City Clerk
City Councii Special Business Meeting Page 5 October 29, 2007