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HomeMy WebLinkAbout2017-0502 Council Agenda PACKET i CITY of SHLAND ~fl1portant: Any citizen may orally address the Council onnon-agenda items during the Public Forum. Any citizen may submit written comments to the Council on any item on the Agenda, unless it is the subject of a public hearing and the record is closed. Time permitting, the Presiding Officer may allow oral testimony. If you wish to speak, please fill out the Speaker Request form located near the entrance to the Council Chambers. The chair will recognize you and inform you as to the amount of time allotted to you, if any. The time granted will be dependent to some extent on the nature of the item under discussion, the number of people who wish to speak, and the length of the agenda. AGENDA FOR THE REGULAR MEETING ASHLAND CITY COUNCIL May 2, 2017 Council Chambers 1175 E. Main Street Note: Items on the Agenda not considered due to time constraints are automatically continued to the next regularly scheduled Council meeting [AMC 2.04.030.E.] 7:00 p.m. Regular Meeting I. CALL TO ORDER II. PLEDGE OF ALLEGIANCE III. ROLL CALL IV. MAYOR'S ANNOUNCEMENTS V. APPROVAL OF MINUTES 1. Study Session of April 17, 2017 2. Business Meeting of April 18, 2017 VI. .SPECIAL PRESENTATIONS & AWARDS 1. Presentation on You Have Options Program VII. PUBLIC FORUM Business from the audience not included on the agenda. (Total time allowed for Public Forum is 15 minutes. The Mayor will set time limits to enable all people wishing to speak to complete their testimony.) ~~5 minutes maximum] Vlll. CONSENT AGENDA 1. Approval of minutes of boards, commissions, and committees 2. Endorsement of SOPride for the purpose of hanging a banner 3. Annual reappointments to commissions, committees, and boards 4. Approval of, "A resolution consenting to the redesignation of the Jackson County Enterprise Zone with Jackson County serving as the enterprise zone sponsor" COUNCIL MEETINGS ARE BROADCAST LIVE ON CHANNEL 9, OR ON CHARTER CABLE CHANNEL 180. VISIT THE CITY OF ASHLAND'S WEB SITE AT WWW.ASHLAND.OR.US IX. PUBLIC HEARINGS (Persons wishing to speak are to submit a "speaker request form"prior to the commencement of the public hearing. Public hearings shall conclude at 9:00 p.m. and be continued to a future date to beset by the Council, unless the Council, by atwo-thirds vote of those present, extends the hearing(s) until up to 10:30 p.m. at which time the Council shall set a date for continuance and shall proceed with the balance of the agenda.) 1. Public hearing and approval of, "A resolution revising rates for electric service pursuant to Ashland Municipal Code Section 14.16.030 and repealing Resolution 2015-13" 2. Public hearing and approval of resolutions titled, "A resolution adopting a storm drain utility fee schedule pursuant to Ashland Municipal Code Section 4.27.050 and repealing Resolution 2016-07" and "A resolution revising rates for water service pursuant to Ashland Municipal Code Section 14.04.030 and repealing Resolution 2016-09" and "A resolution revising rates for wastewater (sewer) service pursuant to Ashland Municipal Code Section 14.08.035 and repealing Resolution 2016-08." X. UNFINISHED BUSINESS 1. Downtown parking management strategy 2. Selection of Interim City Recorder XI. NEW AND MISCELLANEOUS BUSINESS 1. Appointment to Citizen Budget Committee 2. 2017 Council liaisons to boards, commissions and committees 3. Discussion to rescind Council vote on April 18, 2017 XII. ORDINANCES, RESOLUTIONS AND CONTRACTS 1. Approval of second reading by title only of an ordinance titled, "An ordinance amending AMC Chapter 1.08 General Penalties, Section 1.08.005F(2) to reflect prior amendment to AMC 10.120.020 persistent violation" 2. Approval of second reading by title only of an ordinance titled, "An ordinance amending AMC 14.04.060 Water Connections outside the city limits" [with the correction of one word in Section 1.14.04.060B.3.i "direction" to "discretion"] XIII. OTHER BUSINESS FROM COUNCIL MEMBERSIREPORTS FROM COUNCIL LIAISONS XIV. ADJOURNMENT OF BUSINESS MEETING !n compliance with the Americans with Disabilities Acf, if you need special assistance to participate in this meeting, please contact the Cify Administrator's offrce at (541) 488-6002 (TTY phone number 1-800-735-2900). Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements fo ensure accessibility to the meeting (28 CFR 35.102-35.104 ADA Title 1). COUNCIL MEETINGS ARE BROADCAST LIVE ON CHANNEL 9.OR ON CHARTER CABLE CHANNEL 180. VISIT THE CITI' OF ASHLAND'S VVEB SITE AT WWW.ASHLAND.OR.US City Council Study Session Meeting April 17, 2017 Page 1 of 2 MINUTES FOR THE STUDY SESSION ASHLAND CITY COUNCIL Monday, April 17, 2017 Siskiyou Room, 51 Winburn Way Mayor Stromberg called the meeting to order at 5:30 p.m. in the Siskiyou Room. Councilor Morris, Darrow, Slattery, and Lemhouse were present. Councilor Seffinger and Rosenthal were absent. Council moved agenda item #3. Discussion of process for upcoming executive recruitments to the May 16, 2017 Council meeting so the Mayor and a full Council could participate in the discussion. Council went on to discuss moving Study Session topics to the regular business meeting on Tuesday. Opposing comments supported having Study Sessions separate and possibly as needed. City Administrator John Karns would add the topic to a future Study Session. 1. Public Input Huelz Gutcheon/POB 754 Ashland/Crunched numbers on the climate, costs, and realities and concluded it was bad. Carbon momentum was out of control. The US was getting gas from war zones. Electricity was now a need. Japan recently stated it would take forty years to clean up Fukushima and cost hundreds of billions of dollars. France and Russia had dumped their nuclear waste into the ocean. Wind and solar needed to take precedence. The City needed to hire people already trained in renewable energy that drove electric cars or used solar. 2. Discussion of joining International Cities of Peace David Wick and Irene Kai from the Culture of Peace Commission provided background on Ashland becoming an International City of Peace. Currently, there were 161 International Cities of Peace globally. International Cities of Peace promoted peace, peace building, and the consciousness of the culture of peace. The mission was, "Foster peace as a consensus value in cities of pease around the world." It spread the value of honoring others within the community. The United Nations defined International Cities of Peace as "A community that endeavors to make progress against violence and foster a culture of peace. A culture of peace is determined by the citizens of each community." Ashland had the base for this already through the Culture of Peace Commission. It was an association, no monetary requirements from the City was necessary beyond saying yes and supporting it through a proclamation. It would brand Ashland as a City of Peace. The World Monument would become a draw for tourists. The Culture of Peace Commission was currently discussing ways to minimize the carbon footprint of the Peace Flame. Fred Arment, the executive director of the International Cities of Peace was interested in doing a case study on Ashland for other cities. Council supported becoming part of the International Cities of Peace and having a proclamation read at a future Council meeting. Mayor Stromberg noted Councilor Seffinger had some questions that needed answered. Ms. Kai and Mr. Wick would meet with her to resolve them prior to the proclamation coming to Council. Mr. Wick was anticipating launching Ashland as an International City of Peace during a Green Show at the Oregon Shakespeare Festival June 16, 2017. City Council Business Meeting April 18, 2017 Page 1 of 9 MINUTES FOR THE REGULAR MEETING ASHLAND CITY COUNCIL Apri118, 2017 Council Chambers 1175 E. Main Street CALL TO ORDER Mayor Stromberg called the meeting to order at 7:00 p.m. in the Civic Center Council Chambers. ROLL CALL Councilor Slattery, Morris, Lemhouse, Seffinger, and Darrow were present. Councilor Rosenthal arrived at 7:34 p.m. MAYOR'S ANNOUNCEMENTS Mayor Stromberg announced a vacancy on the Citizen's Budget Committee. The deadline for applications was Wednesday, April 26, 2017. APPROVAL OF MINUTES The minutes of the Business Meeting of March 21, 2017, and the Study Session of Apri13, 2017 were approved as presented. The minutes of the Business Meeting of April 4, 2017 were approved with a correction to page 4 of 6, second paragraph, correcting "Doge Way" to "Dodge Way." SPECIAL PRESENTATIONS & AWARDS 1. Annual presentation from Historic Commission Historic Commission Chair Dale Shostrom announced National Historic Preservation Week would occur the week of May 16, 2017. Commissioner Keith Swink explained the Historic Commission reviewed planning applications, building permits, and sign permits within the Historical Districts. The Commission worked with developers and property owners to ensure new construction and renovation complimented the Historic Districts. Accomplishments included recommendations on 15 land use applications, 70 building aYld sign permits, and over 450 volunteer consultation hours for the Historic Review Board. The Commission also provided input on several restoration and public art projects, and coordinated events for the 2016 National Historic Preservation Week. The theme for National Historic Preservation Week 2017 was "Discover America's Hidden Gems." The awards ceremony would occur Tuesday, May 16, 2017 at the Ashland Community Center at noon. On Wednesday, May 17, 2017, the Ashland Memorial Mausoleum at the Mountain View Cemetery would be open for self guided tours. Friday, May 19, 2017, at 2:00 p.m., the Historic Commission and Ashland Heritage Committee would host a walking tour of Hyde Street, Manzanita Street, and North Main Street. This tour would start in front of the Community Development building at 51 Winburn Way. 2. Proclamation of May 2017 as National Historic Preservation Month The Mayors proclamation of May 2017 as National Historic Preservation Month was read aloud. PUBLIC FORUM Tom Marr/955 North Mountain AvenuelAsked that Council immediately lower utility rates. Neighbors had recently moved due to the high cost of Ashland utilities. Electricity, sewer, and water were basic human necessities. To use them as a revenue stream was inappropriate. Raising and taxing the rates was regressive and hurt the impoverished and lower income. Costs should reflect operations and the cost of providing those services. Huelz GutcheonlPO Box 754/Referenced Bangladesh's natural evolution from aid received due to the City Council Business Meeting Apri118, 2017 Page 2 of 9 1971 famine and the countries present use of technology and solar energy. Climate change action needed to happen immediately. In Ashland, the Southern Oregon University dormitories were a good fit for zero net energy. It was not happening because someone in Texas owned the buildings. Councilor Lemhouse/Slattery m/s to move New and Miscellaneous Business agenda item #1. 2016- 2017 Social Service Grant allocation recommendation review below Ordinances, Resolutions, and Contracts. Voice Vote: all AYES. Motion passed. CONSENT AGENDA 1. Approval of minutes of boards, commissions, and committees 2. Tree Commission request to name the Southern Oregon University Spirit Tree a City of Ashland Heritage Tree 3. Approval of resolution titled, "A resolution authorizing signatures, including facsimile signatures, for banking services on behalf of the City of Ashland" 4. Rogue Credit Union Appeal Adoption of Findings 5. EPA `~aterSense Labeling Program, letter of support Councilor Lemhouse/Seffinger mis to approve the Consent Agenda. Voice Vote: all AYES. Motion passed. PUBLIC I~EARINGS 1. Public hearing on the 2016 Community Development Block Grant (CDBG) Award and CDBG Action Plan development . Housing Program Specialist Linda Reid explained the City received four applications for Community Development Block Grant (CDBG) funds totaling $258,036. The City anticipated receiving $158,726 for 2017. Program administration reserved 20% or $31,745. The remaining $126,981 plus an additional $131,055 in reprogrammed funds from prior years would go to eligible projects benefiting Ashland's low- incomepopulation. The total amount of funding available for capital improvement projects was the entire $258,036 with 15% or $23,808 of the 2017 allocation going to public service activities. For public service project funds, St. Vincent de Paul was requesting $25,500 in CDBG funding to continue their program assisting low-income and at risk households, preventing homelessness, and providing security deposits and rental assistance. Maslow Project requested $10,000 to assist homeless and at risk families in the Ashland School District. For capital improvement projects, the City received two applications. One from Ashland Tiny House Group requesting $193,250 to purchase or lease land and public facility improvements to the site selected. Family Solutions requested $59,348 to complete repairs to a public facility that served children engaged in the foster care system. Staff evaluated the proposals and based recommendations on eligibility, the City's Five-Year Consolidated Plan for the use of CDBG funds, agency experience, and capacity, and the readiness of each project to proceed. The Housing and Human Services Commission (HHSC) voted in support of staff s recommendations. Both staff and the HHSC recommended the following allocations: • $59,348 to Family Solutions for the rehabilitation of their Ashland Facility • $16,665 to St. Vincent De Paul Home Visitation Program • $7,143 to Maslow Project School Based Services St Vincent de Paul and the Maslow Project were public service activities and that limited the amount of money they could receive. The other projects fell under capital improvement projects and did not have a City Council Business Meeting Apri118, 2017 Page 3 of 9 limit. The City would have a timeliness test in May and at that time needed to have less than one and a half times of the annual allocation in the federal government account. The City would be fine this year and would receive the new allocation in July. Awarding the recommended projects would draw down enough funding before the next timeliness test. Public Hearing Opened: 7:30 p.m. Vicky Weissl590 Fernwood DrivelSt. Vincent de Paul/St. Vincent de Paul was the only organization addressing the needs of the homeless and those in extreme poverty run exclusively by volunteers. All funds collected went directly to those in need. Last year with the CDBG funds, they placed 16 adults and 5 children into homes. Using their own funds, they housed some of the homeless temporarily until they found perrrlanent housing. St. Vincent de Paul often worked with clients for a year or more. Councilor Rosenthal arrived at 7:34 p.m. Karen Logan/261 Otis Street/Ashland Tiny House Group/Explained they had two projects, the Angel House project and Ashland Tiny House Village. She noted $160,000 not yet awarded and asked Council to consider a reservation of funds. The agency had obtained a financial commitment of approximately $500,000 to purchase land. St. Vincent de Paul would refer clients and do the means testing required for low-income. The Ashland Tiny House Group intended to include low-income in addition to homeless, disabled, or elderly people. Maslow Project committed to referring their clients as well. They were currently working with the City of Medford and Hope Village at Rogue Retreat. She formally requested Council reserve the funds that would formalize their project once they identified land. Thomas Johnson/1836 Fremont StreetlExecutive Director/For 46 years, Family Solutions previously known as Southern Oregon Child Study & Treatment Center (SOCSTC) in Jackson County and Family Friends in Josephine County provided community based mental health services to children and families. Their mission was "Develop and provide community based services that will serve as an alternative to having children placed in residential and institutional settings." Family Solutions put counselors and behavior specialists in the home working with the children, parents, and family members. They kept children in school by providing counselors on site in the Medford, Phoenix, and Talent school districts. For children who cannot attend public school because of emotional or behavioral problems, Family Solutions provided a day treatment program where children attended school along with mental health and psychiatric care. The grant would benefit their treatment center in Ashland. Public Hearing Closed: 7:41 p.m. Councilor Seffinger/Lemhouse m/s to direct staff to draft the 2017 Annual Action Plan for the use of Community Development Block Grant funds reflecting the award of CDBG funding for the 2017 Program year as follows: $59,348 to Family Solutions for rehabilitation of their Ashland Facility, $7,143 to the Maslow Project for school based services, and X16,665 to St. Vincent De Paul -Home Visitation Program. DISCUSSION: Councilor Seffinger explained the three programs chosen had proven their effectiveness over the years and were important to the community. Council Lemhouse added they showed a consistent record of success in the service they delivered. He appreciated Ms. Logan's testimony but thought the program needed more work. Councilor Darrow noted the Ashland Emergency Food Bank referred people to the St. Vincent de Paul Home Visitation Program daily. Roll Call Vote: Councilor Seffinger, Morris, Darrow, Lemhouse, Slattery, and Rosenthal, YES. Motion passed. The City reissued requests for proposals (RFP) in the past usually when it was close to the timeliness cap City Council Business Meeting April 18, 2017 Page 4 of 9 and they needed to expend funding. It was not necessary to do that at this time because the City was within the timeliness cap. The remaining amount would roll over into the next year for a combined total for potentially larger projects. The Housing and Urban Development (HUD) had addressed potential federal fund changes to the CDBG grant process and was assuming everything would remain the same as usual. Councilor Slattery/Lemhouse m/s reestablish the order of the agenda. Voice Vote: all AYES. Motion passed. UNFINISHED BUSINESS -None NEW ANll MISCELLANEOUS BUSINESS 1. 2016-2017 Social Service Grant allocation recommendation review and decision Housing and Human Services Commission (HHSC) vice Chair Rich Rhode explained the HHSC adjusted the process to reflect Council goals and how the Commission allocated funds. They structured standard questions to determine how the applicant participated in Ashland, number of volunteers, as well as budget information. After they made their recommendations, they realized there was $1,033.50 less than allocated. Council would have to make those adjustments to the allocated amounts. Council could divide the applicants by the amount and remove $86 from each. Council commented HHSC minutes documented the vote for the CDBG funds but did not seem to capture the vote for the social services grants. Council raised concern that Commissioner Harris appeared to sit through the discussion and voted on the final recommendation when she was the board president of one of the applications, Options for Homeless Residents in Ashland (OHRA). Vice Chair Rhode explained the Commissioner declared a conflict of interest but thought she could make a fair decision based on her knowledge of services in the valley. Housing Program Specialist Linda Reid would review the tape and minutes of the meeting to determine. whether the Commissioner voted or not. Staff received direction on a potential conflict of interest from the City Attorney who determined it was not an actual conflict of interest. For the sake of transparency, the attorney recommended that Commissioner Harris not participate in the process. Commissioner Harris agreed she would not take part in the discussion for appearances sake but would remain present during the meeting. She then proceeded to participate in some of the discussion. City Attorney Dave Lohman did not have a complete understanding of all the facts. It appeared Commissioner Harris did not participate in the voting and did not suggest allocation amounts. Ms. Reid would listen to the tape and confirm if Commissioner Harris actually voted. Mr. Lohman noted this was not a violation of the state ethics rules. City rules of conflict were stricter and required a participant to disclose a conflict and refuse to participate if their judgment might be impaired. He had recommended if there was any possibility of impaired judgment, the person should not participate at all primarily for appearance purposes. It sounded like in this case, Commissioner Harris did both, participated in the discussion and maybe voted or not. It was in a gray area. Council commented that people could influence others in passive ways. Everything had influence on outcomes. Mr. Lohman agreed. Even under state rules, if a person had an actual conflict, they should not participate at all. Although, they did not have to leave the room, the Attorney General's office recommended leaving to remove the possibility ofnon-verbal communication influencing a decision. The same would apply to the City's rules. At the least, not participating meant going to the back of the room. Vice Chair Rhode explained applicants spoke during their presentations to the HHSC on the disparity in their allocation requests between the City of Medford and the City of Ashland if they served both jurisdictions. They also provided the number of people they were serving in each area. Applicants used City Council Business Meeting Apri118, 2017 Page 5 of 9 grant allocations from the City of Ashland for people in Ashland. Mr. Lohman confirmed there was no issue allocating funds to faith agencies if the recipient was doing work the City decided was important for civic purposes rather than advancing religion. Mayor Stromberg explained the First Presbyterian Church of Ashland had experienced plumbing issues following winter shelter nights and were asking for help from the City. Ms. Reid added they were also requesting funds for laundry, replacing blankets, and heating and lighting for shelter nights. Councilor Lemhouse/Rosenthal m/s that Council allocate the following under social services grants: • CASA - $5,000 • Center for Non Profit Legal Services - $10,595 • Community Volunteer Network-Foster Grandparent Program - $2,060 • Community Volunteer Network-RSVP Program - $4,120 • Community Works-Dunn House - $16,000 • Community Works-SANS - $3,500 • Community Works-Helpline - $10,625 • Jackson County SART - $7,500 • RVCOG-Meals on Wheels - $12,000 • St. Vincent dePaul-Housing Program - $40,000 • OHRA-Housing, Employment & Health Program - $4,000 • Maslow-At Risk Youth - $12,600 • First Presbyterian Church-Shelter Improvements - $1,000 • Jobs with Justice-Social Services - $5,000 For a total of $134,000. DISCUSSION: Councilor Lemhouse liked the pre-set questions and the responses they elicited. He wanted to fund agencies that had a proven record of success. He also tried to allocate funds to agencies not necessarily served by other applicants. Councilor Rosenthal explained few communities in the state had a social service grant program. He thought St. Vincent de Paul was underfunded. They historically invested more non-Ashland funds into the community and were a proven performer. There was an issue whether the public process administered by the HHSC was fair. There were also questions whether OHRA was a proven performer yet. He had asked OHRA for their strategic plan but they had not provided it to him. Having a commissioner who may have influenced the Commission in some way was also a concern. Councilor Slattery thought St. Vincent de Paul deserved the full amount. The reduced allocation to OHRA was a harsh penalty. The City had invested in OHRA and there were some issues along the way but OHRA had become more effective over the two years. The penalty damaged OHRA and he wanted Council to reconsider the amount. Councilor Seffinger was glad the Meals on Wheels program was included in the allocation. There were not many services for seniors in the area. Councilor Darrow thought the reduction to OHRA was significant. The agency did a lot of work on housing and employment support through the Resource Center. She did not want their funding cut to the point of making them ineffective. Councilor Morris noted OHRA received a $100,000 grant from the City and had used it for sustaining their organization. He was concerned that 52% went to payroll, 48% went to facilities, and nothing for services. He did not want the reduction to make OHRA ineffective either. St Vincent dePaul and the Meals on Wheels program should be funded at 100%. Councilor Lemhouse clarified his decision was not strictly penalty based. He was unhappy with the process and did not think it served the public well. Council supported an earlier endeavor to provide City Council Business Meeting Apri118, 2017 Page 6 of 9 $100,000 of initial funding for OHRA with the intent it was seed money. OHRA had remained reliant on the City, and needed to find other funding mechanisms in order to become sustainable. OHRA also needed a strategic plan. Councilor Slattery did not want to make an investment over the last two years only to have it come up short. He was uncomfortable having the HHSC making the recommendations on the social service grants. Alternately, he had concerns about not taking their allocation suggestions. He would not support the motion. Roll Call Vote: Councilor Rosenthal, Morris, Seffinger, and Lemhouse, YES, Councilor Slattery and Darrow, N0. Motion passed 4-2. ORDINANCES RESOLUTIONS AND CONTRACTS 1. Approval of second reading by title only of an ordinance titled, "An ordinance amending AMC 9.30.020 to extend the current smoking ban to include 130 N. Pioneer Street and any space within ZO feet of pathways for smoke to enter places of employment or enclosed spaces open to the public" City Attor~ley Dave Lohman explained there were two changes proposed to the existing ordinance. One included the parking lot at 130 North Pioneer Street. The second increased the distance from 10 to 20 feet as a buffer between people smoking and doorways, windows, and air vents. A third. minor change was the ordinance referred to the downtown by means of a map instead of a verbal description. The map referenced the downtown area described in AMC 10.120.010(B)(1) that related to persistent violations. A correction to the map would move the boundary line to include the sidewalk. The corrected map was included in the packet for second reading. Councilor Rosenthal/Lemhouse mis to approve Ordinance #3140. DISCUSSION: Councilor Rosenthal made the motion to ban smoking in City parks. He preferred not allowing smoking in the downtown area at all. He hoped the ordinance would make a difference. Councilor Darrow, Morris, Slattery, Seffinger, Lemhouse, and Rosenthal, YES. Motion passed. 2. Approval of second reading by title only of an ordinance titled, "An ordinance amending Chapter 11.26 to limit the use of public parking lots for purposes other than parking vehicles" City Attorney Dave Lohman explained there was one change between First and Second Reading in the fifth Whereas that now read, "Whereas, exclusionary unpermitted occupancy of public parking spaces and access to them for uses other than vehicle parking inconveniences the general public and imposes undue financial burdens on the City; and." The ordinance applied to any City owned parking lot. The City would provide signage for the parking and smoking ordinances. Councilor RosenthallMorris m/s to approve Ordinance #3141. DISCUSSION: Councilor Rosenthal appreciated the ordinance coming forward and thought it was common sense. Roll Call Vote: Councilor Slattery, Rosenthal, Seffinger, Darrow, Lemhouse, and Morris, YES. Motion passed. 3. Approval of second reading by title only of an ordinance titled, "An ordinance amending Chapter 10.120.010 to include City of Ashland's 130 N. Pioneer Street parking lot within the Enhanced Law Enforcement Area" City Attorney Dave Lohman explained there were no changes between the First and Second Reading. The ordinance would include the west side of the street and sidewalk in addition to the parking lot. The Enhanced Law Enforcement Area (ELEA) map would also include the west side of the street on North Main Street as it crossed Ashland Creek. The persistent violator ordinance adopted in 2014, made three violations, misdemeanors, or felonies, a misdemeanor itself. The Municipal Court Judge could expel anyone with three violations of the six ordinances pertaining to the persistent violator code for three months to a year. The defendant had four opportunities from the first violation to the Judge making the determination for expulsion to make a case. City Council Business Meeting Apri118, 2017 Page 7 of 9 Councilor Slattery/Lemhouse m/s to approve Ordinance #3142. Roll Call Vote: Councilor Morris, Darrow, Rosenthal, Slattery, Lemhouse, and Seffinger, YES. Motion passed. 4. Approval of a resolution to assess utility fees to fund additional Police positions Police Chief Tighe O'Meara made a correction to a statement he made at the last Council meeting regarding population. Ashland population was over 18,000 twenty years ago. Staff proposed three options to fund five police officers. One added a $4 surcharge on each electric meter to fund public safety operations. Another was a $5.35 per month surcharge on each water meter. The third was a hybrid option that added a $3 surcharge per water meter and $1.75 for each electric meter. Dave Helmichl468 Williamson Way/Requested Council "take a beat" in the approval of increasing police staff and the proposed methods to pay for the positions. The public process had not been informed soon enough or allowed input. He wanted Council to postpone and hold a public hearing to gauge public response. Andrew Kubik/1251 Munson Drive/Had several concerns regarding the item and the process. He thought it was overriding the Budget Committee. He brought a copy of the employment agreement with the Police Association, and the City's Administrative Policy 2004.01.020. Both documents contained information on hiring. He asked Council to pull the agenda item and meet with the Budget Committee. Garrett Furuictil264 Van Ness/Was a Budget Committee member but spoke as a citizen regarding the process. He read from a document submitted into the record asking Council to reconsider the process they were using. Debbie Neisewander/1159 Tolman Creek Road/Was not happy with the process either. She did not understand why the funding did not come up for this item when Council was re-appropriating the meals tax. She did not have utilities for half the winter and would not be able to get utilities if Council kept raising the rates. Other concerns included the homeless crisis, issues on the streets, and that the community had not had time to discuss what was happening. She wanted Council to slow down the process, involve the community, and address the issues appropriately. Mayor Stromberg responded there were programs for citizens unable to afford utilities and encouraged Ms. Neisewander to contact the Utility Billing Division at City Hall. Councilor Slattery/Darrow m/s to bring forward the requested police officers as an add package separate from a funding source similar to the other add packages coming up on Wednesday and Thursday night. DISCUSSION: Councilor Slattery was sensitive to the budget process. Elected Budget Committee representatives created policies, priorities, and strategic plans. Appointed Budget Committee members reviewed, advised, and voted on the tax rate and the budget. The Wednesday and Thursday meetings were about putting together add package recommendations for the full Budget Committee. He did not support biennial budgeting and thought it decreased the influence of appointed Budget Committee members. He supported increasing police staff. However, it needed to be within the context of the budget. Mayor Stromberg clarified the meetings for Wednesday and Thursday. Council would review and prioritize Council Goals and determine possible funding. The outcome would go to the Budget Committee. They would not be add packages. Councilor Lemhouse raised a point of clarification regarding the motion. Councilor Slattery clarified the motion would bring the request for increased staff as an add package or priority package to the budget officer who would work them into the budget for the budget process. Mayor Stromberg clarified they would be part of the budget, not add packages. City Council Business Meeting April 18, 2017 Page 8 of 9 Councilor Darrow was concerned about affordability regarding a utility surcharge. She wanted to find a way to support the addition of these officers and have room to fund them in a long-term perpetuity. The next two meetings would be looking at priorities, policy, and identifying revenue stream. She wanted more time to explore different revenue streams to fund the positions. Councilor Lemhouse agreed with the motion but might not support it. He supported Chief O'Meara's recommendation to add officers and understood what he was dealing with. A citizen to officer ratio was a guide only and not a way to determine staffing. The best way was trusting City staff to analyze needs. Limited staffing would create limited results. Tying it to utility rates was proper. Everyone would contribute fairly. A $4.75 monthly surcharge was manageable. City utility rates were lower than Pacific Power rates. However, with the upcoming budget season, it was wise to delay making a decision until Council saw the entire budget before deciding on funding. He did not think it should be an add package and would not support the motion. Councilor Morris did not support tying it to the electric meter. He preferred to see it as something Council enacted, and then reviewed later. He supported a biennial budget specifically for the off year review. He thought the Police Chief should get the hiring in place and determine if the funding stream was correct or if there were different options. Councilor Seffinger explained there were safety issues for the police in the city. When one officer took someone to jail in Medford, it left other officers in danger if something occurred. She supported moving forward on the hiring portion. Councilor Rosenthal read the primary role of the Budget Committee posted on the City website was to "ensure expenditures did not exceed revenues and the overall budget was consistent with the priorities of the Mayor and Council." He read further, "The Budget Committee does not change staffing levels, salary schedules, or negotiate salary contracts. It is not the committee's role to adjust policies or priorities set by the Council or to add, delete, increase or decrease programs." The discussion was on police staffing levels and a potential new funding mechanism. He appreciated the input and volunteer service of the appointed members of the Budget Committee. It was legitimate to question whether Council was moving too fast. During the past election, Council heard from citizens that public health and safety were high priorities. This was a response to the electorate. Having a public forum for input on funding might be a good idea. He did not support it going to the Budget Committee. Councilor Slattery thought the item should come forward with the other items Council would work on at the Wednesday and Thursday meetings. The issue was the funding mechanism. He wanted to see the item in the context of everything else at the two meetings. Mayor Stromberg explained currently the Police Department had four 6-hours shifts that consisted of a sergeant and three patrol officers. Due to health problems, trainings, turnover, and vacations, it was typically a sergeant and two officers. If an event occurred in two separate areas, there were not enough officers to respond resulting in assistance from neighboring city police departments. Adding an officer to each shift and another officer as the School Resource Officer provided better coverage. He suggested Council pass the policy decision to authorize staffing and discuss revenue sources Wednesday or Thursday. Councilor Slattery withdrew his motion. Councilor Slattery/Darrow m/s to approve the hiring of five police officers and wanted the funding issues brought forward to the priorities discussions on Wednesday and Thursday. Roll Call Vote: Councilor Seffinger, Slattery, Rosenthal, Lemhouse, Morris, and Darrow, YES. Motion passed. City Council Business Meeting April 18, 2017 Page 9 of 9 5. Approval of first reading by title only of an ordinance titled, "An ordinance amending AMC Chapter 1.08 General Penalties, Section 1.08.OOSF to reflect prior amendment to AMC 10.120.020 persistent violation" and move onto second reading City Attorney Dave Lohman explained there were five violations in the Enforced Law Enhancement Area (ELEA) that might qualify for a persistent violation if someone committed one or a combination three times within a 3-month period. Council added two more November 2015. One required a dog license and the other involved smoking marijuana in public. These violations were not added to the penalty section of 1.08 General Penalties that made it clear a court appearance was mandatory. The proposed ordinance would add them to that section. Councilor Lemhouse/Seffinger m/s to approve First Reading of an ordinance titled, "Ordinance Amending AMC Chapter 1.08 General Penalties, Section 1.08.005F(2) To Reflect Prior Amendment To AMC 10.120.020 Persistent Violation" and move onto Second Reading. Roll Call Vote: Councilor Morris, Seffinger, Lemhouse, Darrow, Rosenthal, and Slattery, YES. Motion passed. 6. Approval of first reading by title only of an ordinance titled, "An ordinance amending AMC 14.04.060 Water Connections outside the city limits" and move onto second reading City Attorney Dave Lohman explained Council passed the first reading December 2016. Council discussed the impacts the ordinance might have during a subsequent Study Session. Council then tabled the item. It was now back with one addition that made it clear Council had the discretion to decide whether to allow someone to make use of water outside city limits even if they met the criteria in the statute. He indicated an error in 14.04.060(B)(3)(i) that "...at the Council's direction," should read, "...at the Council's discretion." Councilor Seffinger/Lemhouse m/s to approve First Reading of an Ordinance titled, "An Ordinance Amending AMC 14.04.060 Water Connections Outside the City Limits," and move on to Second Reading. DISCUSSION: Interim City Administrator John Karns explained with the City's mutual aid agreements throughout the two County area, using city water for fire outside city limits was a moot point. The Ashland Fire Department used resources outside city limits. Roll Call Vote: Councilor Rosenthal, Morris, Seffinger, Slattery, Darrow, and Lemhouse, YES. Motion passed. OTHER BUSINESS FROM COUNCIL MEMBERS/REPORTSFRQM COUNCIL LIAISONS Councilor Lemhouse appreciated Council's ability to deal with the agenda, disagree, and still work through the issues. ADJOURNMENT OF BUSINESS MEETING Meeting adjourned at 9:48 p.m. Dana Smith, Assistant to the City Recorder John Stromberg, Mayor City Council Business Meeting April l 8, 2017 Page 9 of 9 5. Approval of first reading by title only of an ordinance titled, "An ordinance amending AMC Chapter 1.08 General Penalties, Section 1.08.005F to reflect prior amendment to AMC 10.120.020 persistent violation" and move onto second reading City Attorney Dave Lohman explained there were five violations in the Enforced Law Enhancement Area (FLEA) that might qualify for a persistent violation if someone committed one or a combination three times within a 3-month period. Council added two more November 2015. One required a dog license and the other involved smoking marijuana in public. These violations were not added to the penalty section of 1.08 General Penalties that made it clear a court appearance was mandatory. The proposed ordinance would add them to that section. Councilor Lemhouse/Seffinger m/s to approve First Reading of an ordinance titled, "Ordinance Amending AMC Chapter 1.08 General Penalties, Section 1.08.005F(2) To Reflect Prior Amendment To AMC 10.120.020 Persistent Violation" and move onto Second Reading. Roll Call Vote: Councilor Morris, Seffinger, Lemhouse, Darrow, Rosenthal, and Slattery, YES. Motion passed. 6. Approval of first reading by title only of an ordinance titled, "An ordinance amending AMC 14.04.060 Water Connections outside the city limits" and move onto second reading City Attorney Dave Lohman explained Council passed the first reading December 2016. Council discussed the impacts the ordinance might have during a subsequent Study Session. Council then tabled the item. It was now back with one addition that made it clear Council had the discretion to decide whether to allow someone to make use of water outside city limits even if they met the criteria in the statute. He indicated an error in 14.04.060(B)(3)(i) that "...at the Council's direction," should read, "...at the Council's discretion." Councilor Seffinger/Lemhouse mis to approve First Reading of an Ordinance titled, "An Ordinance Amending AMC 14.04.060 Water Connections Outside the City Limits," and move on to Second Reading. DISCUSSION: Interim City Administrator John Karns explained with the City's mutual aid agreements throughout the two County area, using city water for fire outside city limits was a moot point. The Ashland Fire Department used resources outside city limits. Roll Call Vote: Councilor Rosenthal, Morris, Seffinger, Slattery, Darrow, and Lemhouse, YES. Motion passed. OTHER BUSINESS FROM COUNCIL MEMBERS/REPORTSFRQM COUNCIL LIAISONS Councilor Lemhouse appreciated Council's ability to deal with the agenda, disagree, and still work through the issues. ADJOURNMENT OF BUSINESS MEETING Meeting adjourned at 9:48 p.m. Dana Smith, Assistant to the City Recorder h Strom erg, Mayor Minutes for the Conservation Commission March 22, 2017 Page 1 of 3 MINUTES FOR THE ASHLAND CONSERVATION COMMISSION Wednesday, March 22, 2017 Siskiyou Room, 51 Winburn Way 1. Call to Order Chair Bryan Sohl called the meeting to order at 6:00 p.m. Commissioners Jamie Rosenthal, David Sommer, Roxane Beigel-Coryell, Risa Buck and Cara Cruikshank were present. Staff member Adam Hanks was present. Commissioner Mark Weir was late. Council liaison Rich Rosenthal, commissioners Marni Koopman, and James McGinnis were absent. 2. Consent Agenda BucklBeigel-Coryell m/s to approve the minutes of January 25 and February 22, 2017, as presented. Discussion: None. Voice Vote. All Ayes. 3. Announcements The next commission meeting will be April 26, 2017. The documentary, "We the People 2.0," will be shown on Thursday, March 30th at the Ashland Unitarian Universalist Church, starting at 6:30 p.m. SOU has lots of events planned for Arbor Day (April 14th) and Earth Week (Apri117-21). Check their website for more info. There will be a natural building workshop at the SOU farm on Saturdays in April and May. See the Farm Facebook page for details. SOU has sent out an RFP for stadium lighting retrofit, and responses are due back tomorrow. Commi~~sioner Mark 1~eir arrived 6:1 D p.m. Tomorrow (March 23) a public hearing on the Jordan Cove pipeline will be held in the Medford library from 4:00 - 8:00 p.m. The annual Earth Day event will be on April 22nd 4. Public Forum Louise Shawkat -announced that the People's Climate march will take place on Apri129th from 3:00 - 6:00 p.m, at Pear Blossom Park. On April 8th, from 10:30 a.m. -noon, will be a town hall with both Representative Pam Marsh and Senator Alan DeBoer. SOCAN is showing the documentary, "Before the Flood," on March 29th. She also announced that the Siskiyou Singers will be performing on April 22nd and 23rd in a concert titled, "The Beauty of the Earth." Jeff Sharpe -stated that the February 21St update to Council regarding the 10x20 ordinance had lots of information from lots of groups. He offered kudos to staff for their recommendation to Council regarding an environmental assessment. He feels an assessment is vital not just for the Minutes for the Conservation Commission March 22, 2017 Page 2 of 3 10x20 project, but the other proposed ideas for the site. He fears Council doesn't understand the time-sensitive nature of the solar-array project, with the financing options sun setting. He would like the group to encourage Council to move forward with the motion proposed by staff at the February 21st meeting regarding the site assessment. Hanks gave an overview of the presentation to Council on the 10x20 ordinance status. Group requested that Councilor Rosenthal give an update of the 10x20 progress at the next meeting (either in-person or written}. 5. Reparts/Presentations/ Updates Ashland School District Quarterly Update -Sommer gave highlights of recent ASD activities: • 'The solar array at Helman Elementary was not working (possibly for an extend time), but it's still under warranty and so is being repaired. • .ASD is reviewing proposals for adding solar to the parking lot area of Willow Wind school. 'They started purchasing battery-powered equipment from STIHL, and plan to continue to do so. They are finding the use of the equipment is good for more than just tranditional environmental reasons, but also for high-fire season safety and for not disturbing classrooms with excess noise. • 'They are also looking into the possibility of purchasing abattery-powered riding lawn mower. • .ASD is looking for incentives for artificial turf on the sports fields. Sommer gave an overview of the kind of turf they have installed and some of the issues they have encountered. Group thanked Sommer and gave their appreciation for his enthusiasm in finding ways to make ASD more efficient. City Conservation Programs and Operations -Hanks stated Conservation staff member Dan Cunningham participated in the Energize Rogue events. Hanks stated that preparing the budget for the ?017-2019 Biennium is currently the main focus of city staff. He gave an overview of some of the budget challenges and how positions such as the proposed LEAP staff member will be handled. He stated that out of the recent solar site assessment by Conservation staff member Larry Giardia two likely locations for new solar were identified -the roof of the Public Works building at 90 North Mountain and locations at the Airport. Finding funding sources will be the next challenge. 6.Old Business Sneak Preview Column - Buck/Cruickshank m/s to approve the bottle bill article as presented. Discussion: none. Voice Vote: All Ayes. Motion Passes. Group discussion potential article topics and agreed to the following: • May -Low impact living class announcements, compiled by Hanks (group to send class information to him to collate) • .f une -Water, written by the water subcommittee • ,fuly - a LEAP recap, written by Sohl Minutes for the Conservation Commission March 22, 2017 Page 3 of 3 Climate & Energy Action Plan - Sohl informed the group that the plan was approved by Council but the two ordinances (one for starting a new commission and one for the overall reduction goal) are being studied by staff and will be brought back to Council in the future. Conser>>ation Commission Powers and Duties Discussion - Sohl asked the group to consider the questions, ``What is the need to continue this commission in light of the CEAP approval?" and, "What needs to be part of the CEAP commission that might be formed?" Buck stated she's less concerned with a commission that isn't yet formed but would like the group to consider what activities the group does that must continue. She listed recent activities she believes are valuable. Beigel-Coryell stated the group should focus on the strengths of the members, including education and outreach, which might not be a big part of the CEAP commission. Group discussed the history of the Conservation Commission. Group discussed the ways in which this group has changed over the years. They agreed that the outreach and education has been valuable to the community. Weir stated he sees no need for a separate LEAP commission. Instead, he would prefer the Conservation Commission to continue with expanded membership and the LEAP as a sub- committee ofthe commission. Sohl stated that this would be a fairly radical adjustment in thinking, but he does like the idea. He's always thought that the LEAP should be a large group with very active subcommittees focused on water, electric and recyclinglwaste. Cruickshank agreed that it makes sense to have a more robust Conservation Commission with subcommittees of very specific focuses. She is concerned that if there are two commissions the group still needs a way to help divide the duties between the two. Group agreed to continue the discussion of the powers and duties at the next commission meeting. 7. New Business Nomination of 2017 Chair/Vice Chair -Group discussed who might be willing to take this on and Buck informed the group about conversations she had with Koopman regarding the possibility ofbeing co-chairs together. Beigel-Coryell/Sommer m/s to nominate Koopman as chair and Buck as vice-chair. Discussion: Buck wanted to be clear that Koopman had suggested co-chairs. Group discussed this but determined that co-chairs can't really work. As Koopman agreed in her conversations with Buck to lead the meetings, it would make more sense to just call her the chair, even if they share the other duties. Voice Vote: All Ayes. Motion Passes. 8. Wrap Up Group requested that there be a continued discussion of powers and duties at the next meeting. Meeting adjourned at 8:05 p.m. Respectfully submitted, Diana Shiplet Executive Assistant Council Business Meetin Title: Endorsement of SOPride forthe Purpose of Hanging a Banner From: Diana Shiplet Administrative Analyst Diana.shiplet@ashland.or.us Summary: The SOPride event organizers would like to hang a banner across E. Main Street September 25- October 1, 2017. However, per ODOT and City of Ashland regulations, the only banners allowed to be hung across E. Main Street are those for City events or City-endorsed events. Council must decide if they will endorse this request to hang an anniversary banner. Actions, Options, or Potential Motions: I move approval of endorsement of SOPride for the purposes of hanging a banner across East Main Street. Staff Recommendation: N/A Resource Requirements: City staff'time for installing the banner is paid for by the $125 banner hanging fee. Endorsement by the Council does not include waiver of any fees. SOPride will be required to pay all fees associated with hanging the banner. Policies, Plans and Goals Supported: NIA Background and Additional Information: City of Ashland and ODOT regulations require that all banners hung across E. Main Street be for city events or city endorsed events. Any non-city event must request endorsement by a city commission with final approval by the Council or must directly request endorsement from the Council in order to qualify for banner hanging. SOPride is not a city event, nor is it a City grant recipient but they are requesting endorsement by the Council to hang a banner. Attachments: Banner Application Page 1 of 1 C i T Y O F SHLAN BA.~NER .APPLICATZ~~ ~ Please fill in the information requested below and submit this foam to the City Administrator, 20 E. Main Street, Ashland, OR 9750. Upon approval of your application by the City . Administrator, the City of Ashland will obtain approval from ODOT, and then collect the $125 fee. Please write below exactly what will be printed on the banner, AlI banners will be reviewed for any offensive or inappropriate message content by the City of Ashland and ODOT. ~'Iease note: No Adve~~trsing of any kind, lYo,~l~orie nu~ribe~s, ajld .No ~veb oa~ e~rnail addresses af~e~erttiitted on f1 banner. ~ ~ l 1 ~ ~ r NAME OF ORGANIZATIONI: ~ ~ ~ n CONTACT PERSON: = ~ PHONE: ~ ADDRESS OF ORGANIZATIONICONTACT; ~~C, ~A.} 1 ~l wEEI~ REQCIESTED FOR BANNER ~ {FOR C~T'Y USA ONLX} THIS APPLICATION IS: L7 APPROVED FOR A CITY OF ASHLAND SPONSORED OR ENDORSED EVENT. ❑ NOT APPROVED. DATE: CITY ADMINISTRATOR Date Fee Paid to City of Ashland: (i'OR QDOT USA ONLY) TDE ABOVE APPLICATION ISM ❑ APPROVED NOT APPROVED, DATE: ODOT Revised 2/22112 ' B sines Meetin Council u Title: 2017 Annual Reappointments to Commissions, Committees, and Boards From: Barbara Christensen City Recorder Barbara.christensen@ashland.or.us Summa Approval of the Mayor's recommendations for the Annual Appointments to the various Commissions, Committees and Boards. Actions, Options, or Potential Motions: I move to approve the Mayor's recommendations for the Annual Appointments to the various Commissions, Committees and Boards. Staff Recommendation: NIA Resource Requirements: NIA Policies, .Plans and Goals Supported: AMC 2.04.090 (C) Regular Commission and Board Membership Appointments Except for the Municipal Audit Commission (AMC 2.11) all Regular advisory committees and boards not required by state law to be appointed by the City Council shall be appointed by the Mayor with the consent of the Council. The Mayor may request assistance or recommendations from Councilors in making appointments. Background and Additional Information: The ending term for most Commission/Board members is Apri130, 2016. Proper notice was made in our local newspaper and the City's website on the vacancies. Appointments are 3-year appointments with terms ending April 30, 2019 with exception of the Planning Commission which are 4-year appointments with terms ending April 30, 2020 and the Band Board which are 1-year terms. All appointments at this time are for members who are asking for reappointment. Any new applications for appointments will come to a future meeting for council confirmation. Attachments: List of reappointments Page 1 of 1 C 1 T Y O F SHLAN CITY OF ~S H LAN REAPPOINTMENT LIST FOR ANNUAL APPOINTMENTS 2017 AIRPORT COMMISSION (3) positions available (2)Term ending 4/30/2020; (1) 4/30/2018 Reappointment George Schoen -appointed 2/02/2016 BAND BOARD (8) positions available -Terms ending 4/30/2018 Reappointment Don Bieghler -appointment time unknown David Hoxie -appointment time unknown Sylvia Schmeling -appointed 6/19/2012 Ling Helphand -appointed 6/17/2014 Ed Wight - appointed 6/17/2014 Tim McCartney -appointed 6/17/2014 Bruce Dresser -appointed 5/O1/2016 BUILDING APPEALS BOARD (2) positions available -Terms ending 4/30/2020 Reappointment Darrell Boldt Tom Giordano CONSERVATION COMMISSION (1) position available -Term ending 4/30/2020 Reappointment Bryan Sohl -appointed 6/17/2014 FOREST LANDS COMMISSION (1) position available -Term ending 4/30/2020 Reappointment Luke Brandy -appointed 12/18/2014 HISTORIC COMMISSION (3) positions available -Term ending 4/30/2020 Reappointment Bill Emery -appointed 9/02/2014 HOUSING & HUMAN SVGS COMMISSION (3) positions available -Term ending 4/30/2020 Reappointment Joshua Boettiger -appointed 12/17/2013 PLANNING COMMISSION (1) position available -Term ending 4/30/2021 Reappointment Roger Pearce -appointed 6/0212015 PUBLIC ARTS COMMISSION (2) positions available -Terms ending 4/30/2020 Reappointment Richard Newman -appointed 11 /04/2014 Laurel Merchant -appointed 5/OS/2015 WILDFIRE MITIGATION (3) positions available -Terms ending 4/30/2020 Reappointment Tracy Peddicord -appointed 8/02/2016 Stephen Gagne -appointed 4/30/2017 City Hall City Recorder's Office Tel; 54188-5307 20 E Main Fax. 541-552-2059 Ashland, Oregon 97520 TTY; 800-735-2900 www.ashland.or.us ' iness Meetin Council Bus Resolution Consenting to Redesignation of the Jackson County Title: Enterprise Zone m Hanks Interim Assistant to the City From: Ada Administrator adam.hanks a~,ashland.or,us Summa The Jackson County enterprise zone, of which the E-1 zoned lands within Ashland are a part, expires June 30, 2017. To maintain the enterprise zone property tax incentive benefits for these employment lands within Ashland, Jackson County is required to apply to the State of Oregon for a redesignation. In order to do so, all jurisdictions with lands included in the Jackson County enterprise zone must approve via resolution a consent to be redesignated. Actions, Options, or Potential Motions: I move approval of a resolution titled, "A resolution consenting to the redesignation of the Jackson County Enterprise Zone with Jackson County serving as the enterprise zone sponsor." Staff Recommendation: Staff recommends that Council approves the attached resolution to maintain the property tax incentives available to traded sector businesses within the E-1 zoned lands in Ashland. Resource Requirements: No resources are required for this action. City Administration staff work with Jackson County and Southern Oregon Regional Economic Development Inc. (SOREDI) to assist businesses who qualify for this property tax incentive program. Approved business expansion projects receive three to five year property tax abatements for the qualifying improvements. Policies, Plans and Goals Supported: Including E-1 lands within the Jackson County enterprise zone was a specific action in the Council adopted Economic Development Strategy. (#6.4) Background and Additional Information: The enterprise zone is an economic development tool to provide property tax incentives for eligible businesses that are growing and creating new jobs. Eligible business activities are generally described as traded sector businesses such as manufacturing, assembly, shipping, storage, call centers, processing, fabrication, and headquarters facilities. These businesses must also be located within the enterprise zone, which in Ashland is consistent with the Employment zoning designation (E-1). Pagelof2 C[TY OF ~HLAN Qualifying businesses and projects are eligible for a property tax waiver, called an abatement, if the business commits to an increase in their employment of at least 10 percent. These jobs must be maintained for the duration of the minimum three year tax abatement period. The tax abatement applies to any new construction, addition or significant tenant improvement on the property and is valid for three tax years and up to five years if the jobs created meet certain wage requirements for the region. Several projects in Ashland have qualified for the property tax abatement since Ashland's inclusion in 2012, resulting in business expansion and job growth in the traded sector of Ashland's local economy. Attachments: Draft Redesignation Resolution Ashland Enterprise Zone informational flyer Page2of2 CITY OF S H LAN RESOLUTION N0.2017- A RESOLUTION CONSENTING TO THE REDESIGNATION OF THE JACKSON COUNTY ENTERPRISE ZONE WITH JACKSON COUNTY SERVING AS THE ENTERPRISE ZONE SPONSOR RECITALS: A. The Oregon Legislature has created the Enterprise Zone program as a means of allowing local governments to provide property tax incentives for traded-sector business expansion B. By request of City Council via resolution 2012-26, the Jackson County Board of Commissioners approved the inclusion of certain taxlots within Ashland into the Jackson County Enterprise Zone C. The State of Oregon provides Enterprise Zone designations for a ten year period. Prior to expiration, Jackson County must request a redesignation of the zone to retain the property tax incentives available to the lands within the zone boundaries. D. The Jackson County Enterprise Zone expires on June 30, 2017. THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTION 1. Pursuant to ORS 285C.065/285C.245, The City of Ashland consents to the redesignation of an Oregon enterprise zone to be named: The Jackson County Enterprise Zone. SECTION 2. The redesignation includes the same Ashland taxlots previously included in the enterprise zone scheduled to expire June 30, 2017 referenced in resolution 2012-26 SECTION 3. Jackson County will serve as the sponsor of the enterprise zone SECTION 4. Redesignation of this enterprise zone takes effect on the date that the latest resolution of a sponsoring or consenting government is adopted, or later as so stipulated by the Oregon Business Development Department in its determination pursuant to any revision and resubmission of documentation. This resolution was duly PASSED and ADOPTED this day of , 2017, and takes effect upon signing by the Mayor. Barbara Christensen, City Recorder SIGNED and APPROVED this day of , 2015. John Stromberg, Mayor Reviewed as to form: David H. Lohman, City Attorney Page 1 of 1 Enter rise Zone E-commerce Zone eil p ~~'~at is it? What is it? The Enterprise Zone is an economic development tool The E-Commerce Zone offers income tax exemptions approved by the State of Oregon to provide property for investments made in computer equipment, tax incentives for eligible businesses that are growing network servers, data storage, communications and and creating new jobs. other hardware and software systems that facilitate and expand conducting business over the internet. ~hataretha benefits? Qualifying businesses receive a minimum of three Wh at a re th e benefits? years of property tax exemption associated with new Qualifying businesses receive income tax exemptions construction, additions, or significant tenant uncertain e-commerce related investments. improvements on the property. The exemption can ~ extend to five years if certain compensation ~ aW d a eS It Wa r~~ . requirements are met. Qualifying internet based businesses located within i one of Ashland's three Jackson County Enterprise i Zones receive income tax exemptions on qualifying In exchange for the property tax waiver, called an hardware and software investments. a abatement, qualifying businesses committo a ~ 3 m of a 10 ercent increase in em to ment Wha S e~lgl bye? minlmu p p y where the expansion occurs. The jobs created must be Eligible businesses have more than 50% of business maintained for the duration of the tax benefit (and sales activities generated or processed using the + must meet specific compensation levels to qualify internet. Primary activities include technical support, during years four and five). claims processing, client evaluation, shipping, warehousing or other similar operations. ~ha~s e.iibe? Business or property owners located in the Jackson Review the Jackson County Enterprise zone maps on County Enterprise Zone may be eligible. Eligible the reverse side to determine if your business is business activities are generally described as traded located in one of the three Ashland zone areas. sector businesses such as manufacturing, assembly, shipping, storage, call centers, processing, fabrication, and headquarter facilities. Review the Jackson County Enterprise zone maps on the reverse side to determine if your business is located in one of the three Ashland zone areas. Find out ifyou're in an Enterprise Zane. See reverse side. CITY OF business ~ ore • • ® ~ ~S H LAN D business grows r d~ so e to help business prosper Enter rise Zones p Ashland St ~IVe A Cal to learn 1°~0~'~ Contact Adam Hanks at the City of Ashland to find out more about how your business may be able to take advantages of s~s~lo 66 these ro rams. 4ei N ~ p g ~a ro Business Resources a Business owners in Ashland benefit from a strong support oP ~yo~~ system of community partners focused on helping Rd ~`o businesses succeed and grow in Ashland. Below are a few key resources for local businesses: Ashland Fiber Network EastNodeA AFN is the city-owned telecommunications service that features speeds of up to 1 Gigabit. AFN fiber services are locally supported and 99.9% "always on". -for service details ~Ma;~st The Ashland Business Resource Portal Led by the Ashland Chamber of Commerce and supported by the City, SOU, US Bank, Ashland Fiber Network and others, the portal is a dynamic website created as a one-stop site .o Airport ro for business news, economic data, educational workshops ~ v and business assistance for starting, growing and 0 Ashland st ~ ~ developing business in Ashland. -for more information 0 East Node B SOREDI Southern Oregon Regional Economic Development, Inc. is the Rogue Valley's business development resource made up c of private and public sector partners with a mission of helping businesses prosper and grow throughout the region. ~ -for more information z E Hersey St Ashland Innovators Conference Created by the Ashland Chamber of Commerce in collaboration with Southern Oregon University, the annual Ast ~ conference showcases innovative companies, organizations Bst and students in Ashland. Enterprise Zones We$t Node -for more information Contact Information CITY O F ADAM HANKS, Administration ~ adam@ashland.or.us 1541-552-2046 ~S H LAN D 20 East Main Street, Ashland, OR 97520 Council Business Meetin Title: Proposed Cost of Service Electric Utility Rate Increase From: Mark Holden Director of IT and Electric Utility mark.holden@ashland.or. us Summary: As requested by the Council at the March 20, 2017, Study Session, the Electric Utility is bringing forward the reviewed Rate Design recommendations for electric rate changes. The Rate Design is based on the recently completed Cost of Service and Financial Study (COS). The Rate Design recommends a rate increase per customer class based on the cost to serve that unique customer class. The system average increase is 6.9% but varies by the actual cost to serve the individual customer class. The increase is anticipated to be effective July 1, 2017. The projected rate increase provides funding for increased BPA (Power and Transmission) costs, Operations (Personnel Services, Materials and Services), and budgeted capital projects anticipated in the approved Electric System 10-Year Planning Study. If adopted, the rate increase will cost the typical residential consumer an additional $7.33 per month including the Electric Users Tax. Separately, the Electric Department miscellaneous fees/charges and line extension charges are not increasing for the period beginning July 1, 2017. Actions, Options, or Potential Motions: I move approval of a resolution titled, "A resolution revising rates for electric service pursuant to Ashland Municipal Code Section 14.16.030 and repealing Resolution 2015-13". Staff Recommendation: The staff recommends Council approve the Cost of Service based Rate Design increase to be effective July 1, 2017. The recommended rate increase will provide for increased costs and will continue to provide a safe and reliable electric system. Resource Requirements: No new resources required. Existing resources will be used to implement and manage the recommended rate changes. Policies, Plans and Goals Supported: Administrative Goals Supported: 29. Promote conservation as along-term strategy to protect the environment and public utility needs. 40. Ensure on-going fiscal ability to provide desired and required services at an acceptable level. 51. Develop fee/rate structure that is consistent with adopted master plans and studies. Page 1 of 5 CITY O F SHLAND i Plans/Studies Supported: Electric System Ten -Year Planning Study (2014) Electric Cost of Service Study and Financial Projection (October, 2016) 2016 Community Livability Report (Citizen Survey): The current survey indicates eighty-six percent of the citizens rate the Electric Utility as either excellent or good. The proposed rate changes allow the Electric Utility to maintain these favorable ratings. Background and Additional Information: The Council has expressed the desire to set rates based on the recently completed Cost of Service and Financial Study (COS). As directed by Council at the October 31, 2016 Study Session, a Rate Design was undertaken based on the results of the COS. The Rate Design was presented and discussed at the March 20, 2017 Council Study Session. The COS evaluated how the utility's costs are allocated across different customer classes to determine whether those costs are accurately reflected in rates. The COS identified the cost to serve each class of customer and provides a model to ensure these costs are recovered through equitable charge and rate structures (i.e. all classes carry their fair share). The COS recommended a series of rate changes over afive-year period. The Rate Design implements the COS rate model. The rate increase is driven by the increases in BPA costs, Personnel Services, MaterialslServices, and projects identified in the Electric System 10-Year Planning Study. The rate increase is anticipated in the BN 2017-2019 Electric Department budget. The requested rate increase provides funding for the identified cost areas creating the requirement. The cost areas are presented here in summary. BPA (Note: Budgeted/Anticipated % -BPA finalizes rates in the August/September timeframe) • Power: 7.4% - increase in the cost of power purchased by the City • Transmission: 25% - increase in the cost of delivering power to the City Operations • Personnel Services: 14% increase total personal services -contractual wages, duty pay, health insurance, PERs contributions • Materials and Services: 5.5% Increase -franchise fees (6.7%), central services (5.4%), ALEAP (7.6%) Capital Investment (support for Electric System 10-Year Planning Study) • Oak Knoll Substation SCADA Upgrade, fiber optic communication line and hardened fiber communication devices • Oak Knoll design and Mountain Ave Substation purchase study • Phase 1, Design of Ashland Substation Upgrade -Distribution cage replacement (safety, reliability) Ending Fund Balance Page2of5 CITY OF SHLAN i • The ending fund balance is intended for emergencies/catastrophic events and large equipment failures (high cost distribution equipment -large transformers, control equipment). As discussed in the Cost of Service and the Rate Design, the existing ending fund balance represents thirty-five days in operating cash, prudent and industry norms recommend a minimum of seventy days in operating cash. The proposed Rate Design accomplishes the recommended fund balance over afive-year period. • Risks in the next Biennium o BPA: Cost Allocation Recovery Clause (CRAG) - BPA may implement CRAG charges due to lower than planned secondary market power sales (excess power available on market is depressing prices If BPA has associated costs, the Electric Utility's proportion of the charges are passed through to the utility from BPA. o BPA: Oversupply Management Protocol (OMP) -BPA implements OMP when excess generation is available in BPAs management area. The current high water year means more generation available than needed across the BPA management area. BPA may need to curtail generation resources (primarily wind) to keep their management area in balance (i.e. generation = demand). A curtailment may trigger OMP and OMP associated costs. If BPA has associated costs, the Electric Utility's proportion of the charges are passed through to the utility from BPA. Fiscal Implications Council has indicated to staff a preference for more frequent, measured increases over infrequent, large increases. The increased costs identified above will be met by the rate changes proposed in the table below. A summary of actual and proposed average rate changes for the Electric Department are: Rate Adjustments by FY 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Increase % 0.0 4.0 0.0 4.0 5.3 5.3 3.6 4.5 0 6.9 4.3 Actual Proposed Alternative solution: Cost Reductions • Reduce BPA costs -BPA costs are tied to usage. However, reducing usage does not displace an equal share of other costs. Fixed costs such as maintenance, materials, and infrastructure are not reduced when usage is lowered. ~ Reduce operation costs -Requires personnel reduction within a lean organization. Personnel reductions would hinder the operation and maintenance of the system leading to lower system reliability and lower system safety. Cuts to internal charges or technology debt payments would shift costs to other departments. • Reduce capital investment -Capital investment costs are an investment in the safety, reliability and operation of the electric system. Lack of funding for investing in the electric system will create an unfunded backlog of prof ects needed to safeguard the reliability and operation of the system. A lack of further investment would weaken the reliability of the system and result in a larger backlog and higher costs in the future. Page 3 of 5 C 1 T Y O F SHLAND i Under investment would eventually lead to the systems inability to serve the electric needs of the City. • Reduce conservation costs -Also reduces the benefits expected from conservation initiatives. Electric Bill Comparisons Residential comparisons are not always apples to apples. Different utilities design their charges to satisfy the unique needs of the utility's environment. Pacific Power, the only other significant power provider in the Rogue Valley, is an investor owned utility, not a municipality. A comparison of current charges follows. City of Ashland City of Ashland Residential -single family dwelling Pacific Power (Talent, OR) Current with 7.1% increase Average monthly usage =1000 kwh kwh cost/unit Total kwh cast/unit Total kwh cast/unit Total Total Usage 1000 1000 1000 Basic Charge $ 9.50 $ 9.50 $ 9.62 $ 9.62 $ 11.00 $ 11.00 Delivery Charge 1000 0.04433 44.33 Supply Energy Charge Block 1 far 32 Days 1000 0.05599 55.99 500 0.06563 32.82 500 0.07011 35.06 500 0.08073 40.37 500 0.08521 42.61 sub total $ 109.82 82.81 88.67 Public Purpose 3.00% 3.29 Energy Conservation Charge 1000 0.00367 3.67 Low Income Assistance 0.84 JC Boyle Dam Removal 1000 0.00038 0.38 Copco & Iran Gate Dam Removal 1000 0.00118 1.18 BPA Columbia River Benefits for 32 Days 1000 (0.01039) (10.39) Franchise Fee 1.50% 1.65 EI e ctri c Uti I ity total 110.44 82.81 88.67 Electric Utilitytotalmore/(less) than Pacfic Power bill forsame kwh use: (27.63) (25%) (21.77) (20%) Ashland Electric; Users Tax (General Fund) $ 20.70 $ 22.17 Electric Uti lity total plus Electric User Tax 110.44 103.51 110.84 Electric charges plus Ashland Electric UserTax more/(less) than Pacfic Power bill for same kwh use: (6.93) (6%) 0.40 0.4% Note: Data as of February 1,2017 Please note: 1. The typical Ashland residential customer uses about 1000 kWh per month at a cost of $82.81. 2. The projected 7.1% residential rate change will increase the cost to $88.67 or $5.86 per month. The typical Ashland residential customer, including the Electric Users Tax, currently pays $6.93 less than a comparable Pacific Power customer. After the rate increase the typical Ashland residential customer, including the Electric Users Tax will pay $0.40 more than a comparable Pacific Power customer. Assistance Pro rg ams If qualified, the following programs are funded from utility rates and maybe available to City of Ashland utility customers to help pay utility bills. The bulk of the funding for these programs comes from fees and charges collected through utility rates. The programs are: Page4of5 CITY OF S H LAl'~1 • Senior and Disabled Discount program -helps qualifying customers to pay monthly utility bills. The dollar amount of assistance available to the customer usually rises with the size of the bill. • Low Income Energy Assistance Program • The City provides a HEAT donation program • The City's Conservation Department helps residents by providing services to lower energy use. Attachments: • Resolution for Electric Rates, Cost of Service Design and Rate Design model • Rate Tables • Council Communication - "Discussion of Rate Design", March 20, 2017 • Document - City of Ashland Rate Design, March 14, 2017 • Council Communication, "Presentation on Electric Cost of Service Study", October 31, 2016 • Document -Electric Cost of Service Study and Financial Projection, October, 2016 Page 5 of 5 C I? Y O F SHLAN RESOLUTION N0.2017- A RESOLUTION REVISING RATES FOR ELECTRIC SERVICE PURSUANT TO ASHLAND MUNICIPAL CODE SECTION 14.16.030 AND REPEALING RESOLUTION 2015-13 THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTION 1. The electric rate schedules are increased by the percentages in the following table. These rates for electric service provided by the City of Ashland are effective with usage on or after July 1, 2017, per the attached rate tables. Residential Seasonal Commercial Outdoor Commercial Govt/Muni Govt/Muni Govt Large Residential Single/ Lighting Three Phase Single Three Service Telecom Phase Phase 7.52% 8.90% 7% 6.90% 6% 8.90% 5.50% 5.50% SECTION 2. Copies of this resolution shall be maintained in the Office of the City Recorder and shall be available for public inspection during regular business hours. SECTION 3. Classification of the fee. The fees specified in Section 1 of this resolution are classified as not subject to the limits of Section 1 lb of Article XI of the Oregon Constitution (Ballot Measure 5). SECTION 4. Resolution 2015-13 is repealed on the date new rates established by this Resolution are effective. SECTION 5. This resolution takes effect upon signing by the Mayor. This resolution was duly PASSED and ADOPTED this day of May, 2017, and takes effect upon signing by the Mayor. Dana Smith, City Recorder Assistant SIGNED and APPROVED this day of May, 2017. John Stromberg, Mayor Reviewed as to form: David H. Lohman, City Attorney Resolution No. 2017- Page 1 of 1 City of Ashland, Oregon RESIDENTIAL SERVICE Applicable: Tosingle-family residential customers when all service is supplied to one point of delivery. Monthly Billing: The Monthly Billing shall be the sum of the Basic and Energy Charges. Basic Char e: Jai ~0~~ Jul 2017 Per Month $ 9.62 $ 11.00 ~n~r Chair e~ Per. k ~ h Ju. , 201 a ,~ul 2017 First 500 kWh $ 0.06563 $ 0.07011 500 kWh - 5000 kWh $ 0.08073 $ 0.08521 Over 5000 kWh $ 0.08073 $ 0.12000 Minimum Charge: The monthly minimum charge shall be the Basic Charge. A higher minimum may be required under contract to cover special conditions. Special Conditions: Residential Horsepower load requirements of greater than 3 HP must comply with the City of Ashland's Electric Service Manual. Continuing Service: This schedule is based on continuing service at each service location. Disconnect and reconnect transactions shall not operate to relieve a customer from monthly minimum charges. City of Ashland, Oregon SEASONAL RESIDENTIAL SERVICE Applicable: This rate is applicable to seasonal residential uses such as owner occupied single-family residential customers providing travelers accommodations, and when all service is supplied atone point of delivery. Monthly Billing: The Monthly Billing shall be the sum of the Basic and Energy Charges. Banc Char e; Jul 215 Jul 2017 Per Month $ 9.62 $ 91.00 finer .Char e. Per kWh ...Jul 2015 Elul 2017 First 600 kWh $ 0.07293 $ 0.07927 601 kWh - 5000kWh $ 0.08062 $ 0.08696 Over 5000 kWh $ 0.08062 $ 0.12000 Minimum Charge: The monthly minimum charge shall be the Basic Charge. A higher minimum may be required under contract to cover special conditions. Special Conditions: Residential Horsepower laad requirements of greater than 3 HP must comply with the City of Ashland's Electric Service Manual. Continuing Service: This schedule is based on continuing service at each service location. Disconnect and reconnect transactions shall not operate to relieve a customer from monthly minimum charges. 1 i t I I City of Ashland, Oregon COMMERCIAL SERVICE 1 TELECOMMUNICATIONS Page 1 of 3 Applicable: This schedule is applicable to non-residential and multiple-family residential customers whose entire requirements are supplied hereunder, and whose loads have never registered 1,000 kilowatts or more, more than once in any consecutive 18- month period. Deliveries at more than one point, or more than one voltage and phase classification, will be separately metered and billed. Service for intermittent, partial requirements or highly fluctuating loads, or where service is seasonally disconnected during any one year period will be provided only by special contract for such service. Monthly Billing: The monthly billing shall be the sum of the Basic, Demand (if applicable), Energy, and Reactive Power Charges, plus applicable Metering and Delivery adjustments. Basic Charge: 30 kW or less $ 17.23 $ 18.50 Over 30 kW $ 64.67 $ 64.67 x.~... y a 'a - --a- c.:: 30 kW or less $ 34.47 $ 37.00 Over 30 kW $ 112.10 $ 112.10 Demand Charge: No charge for the first 15 kW of demand. For all kW in excess of 15 kW s _ ~ nemend Ch ~ ~ Jul. ~'~~~~f' ' 4 ~ I Per kW $ 4.11981 $ 4.75000 Energy Charge: , A din le Phase Jul ~~F~~,d ; v bbl ~0~7 Per kWh up to 3,000 kWh $ 0.07804 $ 0.08340 3001- 20000 kWh $ 0.07829 $ 0.08365 over 20,000 kWh $ 0.07866 $ 0.08402 f~ ~"h ree ~ ~ ~ J~1 ' Per kWh up to 3,000 kWh $ 0.07145 $ 0.07514 3001- 20,000 kWh $ 0.07193 $ 0.07562 over 20,000 kWh $ 0.07212 $ 0.07581 City of Ashland, Oregon COMMERCIAL SERVICE 1 TELECOMMUNICATIONS Page 2 of 3 Minimum Charge: The monthly charge shall be the basic charge. A higher minimum may be required under contract to cover special conditions. Reactive Power Charges: The maximum 30-minute reactive demand for the month in kilovolt-amperes in excess of 25% of the measured kilowatt demand the same month will be billed, in addition to the above charges, at rate shown below per kvar of such excess reactive demand. Reactive Power ~h r e Jul 2i1 ~ ~ ~3 Per kvar $ 0.07740 $ 0.08 Demand: Demand shall be the kilowatts shown by, or computed from the readings of the City's demand meter for the 30-minute period of customers greatest use during the month, determined to the nearest kilowatt. Metering & Delivery Voltage Adjustments: The above monthly charges are applicable without adjustment for voltage with delivery and metering are at the City's standard secondary voltage, Metering: For as long as metering voltage is at the City's available primary distribution voltage of 11 kV or greater, the above charges shall be reduced by one and one-half percent ~1 1l2 to compensate for losses. Delivery: For as long as delivery voltage is at City's available primary distribution voltage of 11 kV or greater, the total of the above charges will be reduced by 15 Cents per kilowatt of load size used far the determination of the Basic Charge billed in the month. A High Voltage Charge of $46.30 per month will be added where such deliveries are metered at the delivery voltage. When a new delivery is, at the request of the customer, made by means of City-owned transformers at a voltage other than a locally standard distribution voltage, the above charges for any month will be increased by 15 Cents per kilowatt of load size used for the determination of the Basic Charge billed in the month. The City retains the right to change its line voltage or classification thereof at any time, and after reasonable advance notice to any customer affected by such change, such customer then has the option to take service at the new line voltage or to accept service through transformers to be supplied by City subject to the voltage adjustments above. Contract: The City may require the customer to sign a written contract which shall have a term of not less than one (1) year. i i3 i 1 t gF E E e E y Lk Y City of Ashland, Oregon COMMERCIAL SERVICE 1 TELECOMMUNICATIONS Page 3 of 3 4 Installation and Maintenance: The City may contract for the installation and maintenance of electric facilities an the customer's premises. The terms of such service shall be set forth in a contract, the form and terms of which shall be approved by the City Council. Monthly charges x made by the City as reimbursements for ownership, operation and maintenance costs applicable to facilities installed to furnish service under rules of this schedule shall be determined in accordance with the following: (1) Operating Charge shall be equal to 2/3 of 1% per month of the installed cost of facilities paid for by the customer. : 2 Facilities Char a shall bee ual to 1 112 % er month of the installed cost of facilities aid for b the customer. { 9 q p p~ Y I (3) Transformer Capacity Charge shall be equal to 1 b Cents per nameplate kva. 4 Special Conditions: k F Customers shall not resell electric service received from the City under provisions of this schedule to any person, except by written permission of the City, and where customer meters and bills any ofhis/her tenants at City's regular rates for the type i of service which such tenant may actually receive. i f Continuing Service: This schedule is based on continuing service at each service location. Disconnect and reconnect transactions shall not operate to relieve a customer from monthly minimum charge. x F X i z i "s i e Y H G C { C- 1 C ii S f I } h e gi 3 a S t F l d 2 1 k i 4 Y yy~ 3 f i 7 I n 1 5 z City of Ashland, Oregon GOVERNMENT I MUNICIPAL SERVICE Page 1 of 3 Applicable: This schedule is applicable to governmental customers whose entire requirements are supplied hereunder, and whose loads have never registered 1,000 kilowatts or more, more than once in any consecutive 18-month period. Deliveries at more than one point, or more than one voltage and phase classification, will be separately metered and billed. Monthly billing: The monthly billing shall be the sum of the Basic, Demand (if applicable}, Energy, and Reactive Power Charges, plus applicable Metering and Delivery adjustments. Basic Charge: g ~ a Si ~s~e ~ Jui ~ ~ 3 30 kW or less $ 17.23 $ 18.50 Over 30 kW $ 64.67 $ 64.67 . ~~3~ ~IA 30 kW or less $ 34.47 $ 37.00 Over 30 kW $ 112.10 $ 112.10 Demand Charge: No charge for the first 15 kW of demand For all kW in excess of 15 kW Per kW $ 4.19 $ 4.75 Energy Charge: Sin le r ~ Jul t~~~ ~ ~ Per kWh u to 3,000 kWh $ 0.09437 $ 0.09371 3001 - 20,000 kWh $ 0.07077 $ 0.08871 over 20,000 kWh $ 0.06632 $ 0.08871 . , Three~Phase ~ ~ Jul Per kWh u to 3,000 kWh $ 0.10082 $ 0.10433 3001- 20,000 kWh $ 0.07645 $ 0.07996 over 20,000 kWh $ 0.07166 $ 0.07517 City of Ashland, Oregon GOVERNMENTAL l MUNICIPAL SERVICE Page 2 of 3 Minimum Charge: The monthly minimum charge shall be the basic charge. A higher minimum maybe required under contract to cover special conditions. Reactive Power Charges: The maximum 30-minute reactive demand for the month inkilovolt-amperes in excess of 25% of the measured kilowatt demand the same month will be billed, in addition to the above charges, at rate shown below per kvar of such excess reactive demand. ~Ve~l~pw~r Chi e ~ ~J~I ~ _ Per kvar $ 0.77401 $ 0.81658 Demand: Demands shal► be the kilowatts shown by, or computed from the readings of the City's demand meter for the 30-minute period of customer's greatest use during the month, determined to the nearest kilowatt. Metering & Delivery Voltage Adjustments: The above monthly charges are applicable without adjustment for voltage with delivery and metering are at the City's standard secondary voltage. Metering: For as long as metering voltage is at the City's available primary distribution voltage of 11 kV or greater, the above charges shall be reduced by one and one-half percent (1 112 to compensate for losses. Delivery: For as long as delivery voltage is at City's available primary distribution voltage of 11 kV or greater, the total of the above charges will be reduced by 15 Cents per kilowatt of load size used for the determination of the Basic Charge billed in the month. A High Voltage Charge of $43.68 per month will be added where such deliveries are metered at the delivery voltage. When a new delivery is, at the request of the customer, made by means of City-owned transformers at a voltage other than a locally standard distribution voltage, the above charges far any month will be increased by 15 Cents per kilowatt of load size used for the determination of the Basic Charge billed in the month. The City retains the right to change its line voltage or classification thereof at any time, and after reasonable advance notice to any customer affected by such change, such customer then has the option to take service at the new line voltage or to accept service through transformers to be supplied by City subject to the voltage adjustments above. Contract: The City may require the customer to sign a written contract which shall have a term of not less than one (1) year. e E e k I i Cify of Ashland, Oregon E' GOVERNMENTAL 1 MUNICIPAL SERVICE Page 3 of 3 a E Installation and Maintenance: The City may contract for the installation and maintenance of electric facilities on the customer's premises. The terms of such service shall be set forth in a contract, the form and terms of which shall be approved by the City Council. Monthly charges r made by the City as reimbursements for ownership, operation and maintenance costs applicable to facilities installed to furnish service under rules of this schedule shall be determined in accordance vuith the following: (1) Operating Charge shall be equal to 213 of 1% per month of the installed cast of facilities paid for by the customer. (2) Facilities Charge shall be equal to 1 112 % per month of the installed cast of facilities paid for by the customer. (3) Transformer Capacity Charge shall be equal to 15 Cents per nameplate kva. K 1 G 3 Special Conditions: z Customers shall not resell electric service received from the City under provisions of this schedule to any person, except by written permission of the City, and where customer meters and bills any of hislher tenants at City's regular rates far the type of service which such tenant may actually receive. l I Continuing Service: K This schedule is based on continuing service at each service location. Disconnect and reconnect transactions shall not 9 operate to relieve a customer from monthly minimum charges. h 4 z~j i a' 5 1 3 k z 3 r T E t 5 g j{ 3 F f Y i S E 3 S r i B i i i t i 3, k E S S r G a R t !i A i City of Ashland, Oregon GENERAL SERVICE -GOVERNMENTAL LARGE SERVICE Page 1 of 2 Applicable: This schedule is applicable to electric service loads which have registered a peak demand of 1,000 to 3,000 kilowatts more than once in any consecutive 18-month period. Deliveries at more than one point, or more than one voltage and phase classification, will be separately metered and billed. Service for intermittent, partial requirements, or highly fluctuating loads, or where service is seasonally disconnected during any one-year period will be provided only by special contract for such service. Monthly Billing: The Monthly Billing shall be the sum of the Basic, Demand (if applicable), Energy, and Reactive Power Charges, plus appropriate Metering and Delivery adjustments. o ~)ul X015 ~ ~ Jul 2017 Basic Char e $ 2,639.36 $ 2,639.36 Demand Char a er kW $ 4.91760 $ 6.00000 Ener Char a er kWh $ 0.05766 $ 0.05912 Minimum Charge: The monthly minimum charge shall be the basic charge. A higher minimum charge maybe required by contract. On-Peak Period Billing Demand: The on peak period kilowatts shown by or computed from the readings of City's demand meter for the 30-minute period of customer's greatest use during the month, determined to the nearest kilowatt. Reactive Power Charge: The maximum 30-minute reactive demand for the month in kilovolt-amperes in excess of 25% of the measured kilowatt demand for the same month will be billed, in addition to the above charges, at rate shown below per kvar of such excess reactive demand. r a - Ju~ ~ ~ :2017 Per kvar $ 0.77393 $ 0.81649 Metering: For as long as metering voltage is at the City's available primary distribution voltage of 11 kV or greater, the above charges shall be reduced by (1-1 112%) to compensate for losses. City of Ashland, Oregon GENERAL SERVICE -GOVERNMENTAL LARGE SERVICE Page 2 of 2 Delivery: Far as long as delivery voltage is at City's current locally available primary or transmission voltage the total of the above charges will be reduced by the following amount per kilowatt of load size used for the determination of the Basic Charge billed in the month; and where such deliveries are metered at the delivery voltage, the following high voltage charges shall be added. ~ :f rd ~B~VGe V0~ ~~~1 ~ ~ n e~ Prima volts a of 11 kV or reater $ 0,15 $ 0.16 Transmission volts a of 60 kV or reater $ 0.32 $ 0.34 d , . . ~ ~ ~ ~ ~ P'~ ~ ttth. Prima volts a of 11 kV or reater $ 43.68 $ 46.08 Transmission volts a of 60 kV or reater $ 424.45 $ 447.79 When a new delivery, or an increase in capacity for an existing delivery is, at the request of the customer, made by means of City-owned transformers at a voltage other than a locally standard distribution voltage, the above charges for any month will be increased by 15 cents per kilowatt of load size for the determination of the Basic Charge billed in the month. The City retains the right to change its line voltage or classifications thereof at any time and after reasonable advance notice to any customer affected by such change, such customer then has the option to take service at the new line voltage or to accept service through transformers to be supplied by City subject to the voltage adjustments above. Contract: The City may require the customer to sign a written contract which shall have a term of not less than one (1) year. Installation and Maintenance: The City may contact for the installation and maintenance of electric facilities on the customer's premises. The terms of such service shall be set forth in a contract, the form and terms of which shall be approved by the City Council. Monthly charges made by the City shall be approved by the City Council. Monthly charges made by the City as reimbursement for ownership, operation and maintenance costs applicable to facilities installed to furnish service under rules of the Schedule shall be determined in accordance with the following: (1) operating Charge shall be equal to 2/3 of 1 % per month of the installed cost of facilities paid for by the customer. (2} Facilities Charge shall be equal to 1 1/2% per month of the installed cost of the facilities as determined by the City for facilities installed at City's expense. (3) Transformer Capacity Charge --shall be equal 15 (cents) per nameplate kva. Special Conditions: Customers shall not resell electric service received from the City under provisions of this schedule to any person, except by written permission of the City, and where customer meters and bills any of his/her tenants at City's regular rates for the type of service which such tenant may actually receive. City of Ashland, Oregon OUTDOOR AREA LIGHTING SERVICE Monthly Billing: The following rate schedule is no longer available for new residential installations and is for outdoor area lighting service furnished from dusk to dawn by City-owned high pressure sodium luminaries which may be served by secondary voltage circuits from City's existing overhead distribution system, and mounted on City-owned woad poles and served in accordance with City's specifications as to equipment and facilities, shall be as follows: (1) Net Monthly Rate Per Luminaire: ~ ~ ~ . ~ ~~ntpa~ Lum~~ tm s a 2415 Jul ~~~7 Hi h-Pressure Sodium 5,800 $ 21.69 $ 23.15 Hi h-Pressure Sodium 22,000 $ 31.31 $ 33.40 Hi h-Pressure Sodium 50,000 $ 50.08 $ 53.55 Existing Residential Monthly Billing: - . ~ ~ ~ Ju X015 ~ I Hi h-Pressure Sodium 5,800 $ 16.68 $ 17.85 Hi h-Pressure Sodium 22,000 $ 24.09 $ 25.70 Hi h-Pressure Sodium 50,000 $ 38.53 $ 41.20 . (2) Pole Charge: A monthly charge of $1.89 per pole shall be made for each additional pole required in excess of the luminaries installed. ~ J A I 015 0 ,J 1 201T a Per Month $ 1.89 $ 2.00 Maintenance: Maintenance will be performed during regular working hours as soon as practicable after customer has notified City of service failure. The City reserves the right to contract for the installation andlor maintenance of lighting service provided hereunder. Suspension of Service: R The customer may request temporary suspension of power for lighting by written notice. During such periods the monthly rate will be reduced by the City's estimated average monthly re-tamping and energy costs for the Luminaire. 1 E Contract: Due to the investment involved and cost of initial installation, the term of the contract shall be by written agreement with the I Electric Department, the form of which shall have prior approval by the City Council, and the term of which shall be for not less than three (3) years. Council Stud Session . Title: Discussion of Electric Rate Design Item Type: Presentation and Request for Direction Requested by Council? Yes From: Mark Holden, director of IT and electric utility holdenm@ashland.or.us Discussion Questions: Does the recommended rate design maintain a safe and reliable electric distribution system for the citizens of Ashland`? ~ Is the recommended rate design fair and equitable? • Does the recommended charge and rate design provide a sustainable rate system based on the Electric Cost of Service Study and Financial Projection (COS -October, 2016)? Resource Requirements: The rate design provides the funding for the safe and reliable operations of the electric utility. Su~~ested Next Steps: Staff recommends the COS based Rate Design for future charges and rates. Staff recommends the developed class specific charges and rates be used as the basis for future charges and rates. Implementation of the Rate Design will phase in the COS recommendations. Staff is seeking guidance from Council on this point: • Shall staff move forward with the rate design as presented/discussed and bring these rates forward for approval at a future Council business meeting? Policies, Plans and Goals Supported: Council Goals Supported: 22.1 Prepare for the impact of climate change on the community Administrative Goals Supported: 29. Promote conservation as a long-term strategy to protect the environment and public utility needs. 40. Ensure on-going fiscal ability to provide desired and required services at an acceptable level. 51. Develop feelrate structure that is consistent with adopted master plans and studies. Plans/Studies Supported: Electric System Ten -Year Planning Study (2014) Electric Cost of Service Study and Financial Projection (October, 2016) Pagelof3 CITY OF SHLAND Background and Additional Information: The most recent electric rate increase was on July 1, 2015. The Rate Design recommended rates are anticipated to be effective on July 1, 2017. The COS identified the cost to serve each class of customer and provided a model to ensure these costs are recovered through equitable charge and rate structures (i.e. all classes carry their fair share). Taken together the Electric System Ten Year Planning Study, COS and the Rate Design provide direction and support for near and long term operation of the Electric Department. At the October 31, 2016 Council Study Session council directed an electric rate design be performed based on the Electric Cost of Service Study and Financial Projection (COS -October 2016) presented at the study session. The COS is the basis for the presented Rate Design. Rate Design implements the approved Cost of Service Model 1. Rate Adjustments: Rate adjustments are necessary for the long-term reliability and long- termhealth ofthe electric system. Rate adjustments are needed to ensure no class of customer is unintentionally burdened with costs beyond those needed to support their usage. The COS analysis of the costs and cost drivers reveals the need to change rate design to equitably recover these costs. In addition, the cost of service based rate design provides the flexibility and fairness to develop future rates dealing with innovations in electric service (e.g. efficiency, demand response, distributed energy resources) without unfairly shifting costs to unrelated classes. 2. Cost of Service: Many municipal electric utilities, electric cooperatives, and public utility districts are operating or moving toward a cost of service rate design model. Investor Owned Utilities (e.g., Pacific Corp, Portland General) operate under the cost of service rate design model. The recommended COS based Rate Design: o Identifies and unbundles costs o Allots costs to appropriate rate classes o Builds a financial model of the Utility based on cost of service o Creates the charges and rates o Encourages conservation efforts by decoupling required operational revenue from the effects of encouraging lower consumption The cost of service rate design model uses the Electric Department's costs and assigns these costs to the class of customer benefiting from the costs. The cost of service rate design model provides the flexibility, accuracy, fairness, and financial stability needed to operate in an evolving integrated utility environment. 3. Cross-Subsidies: When examined on a cost basis, the current rate structure contains inequities between customer classes. The cost of service model identifies costs, identifies the classes benefiting from those costs, and assigns the cost to these rate classes. The existing classes are not fully aligned with the COS results. However, the COS analysis Page2of3 CITY OF ~.SHLAND shows the current rates are, on average, within 9.5% of the desired goal. Over time, the recommended Rate Design implements the COS without large swings in customer rates (please see below: Table 1: Proposed Rate Changes). 4. Customer CharPe: Customer charges (Ashland's current Basic Charge) are adjusted to cover the actual cost to serve each class of customer. Rate Design adjustments are meant to eliminate subsidies among classes of customers. As conservation continues to emerge as a higher priority, an industry trend is to fund conservation through a fired monthly customer charge. Including conservation in the fixed charge provides stable funding for conservation efforts and reduces the need to adjust electric rates as the investment in conservation is adjusted up or down. The fixed rate decouples conservation funding from the variability (most often weather related) of electric consumption and could help provide stable funding for the developing Climate and Energy Action Plan (CEAP). Staff has completed the cost of service rate design. Subject to guidance from the Council, the recommended rate design will be brought back to the Council for approval in May, 2017. Implementation of the rates, once reviewed and approved by the Council, is anticipated for July 1, 2017. The COS and Rate Design provide the Electric Department with a methodology and road map to accomplish an equitable rate structure where customer classes contribute their fair share. In addition, the COS and Rate Design provide for the long-term safety, reliability and financial health of the electric utility. A summary of rate adjustments (charges + rates) proposed in the Rate Design: Table 1: Proposed Rate Changes Rate Adjustments by FY 2018 2019 2020 Increase % 6.90 4.32 2.90 Recommended (net -charges and rates) (from Rate Design page 3) Please see the attached City of Ashland Rate Design for detailed individual rate information. Notes to Table 1: The rate increase percentage is not a broad application of the single increase percentage across all customer classes. Rather, the rate increase percentage represents the net effect of the class-specific rate design rates. Since the COS identified revenue for some classes of customers are above and others below the identified cost of service, rates change an average of 6.9% in FY2018 (range 6.9% ± 2%) and 4.32%, 2.90% in the following years. Attachments: City of Ashland Rate Design, January 17, 2017 Council Communication, "Presentation on Electric Cost of Service Study", October 31, 2016 Electric Cost of Service Study and Financial Projection, October, 2016 Page 3 of 3 G I? Y O F SHLI~ND City of Ashland Rate Design 3/14/2017 Utility Financial Solutions, LLC 185 Sun Meadow Court Holland, MI USA 49424 (616 393-9722 Fax (616) 393-9721 Email: mbeauchamp@ufsweb.com Submitted Respectfully by: Mark Beauchamp, CPA, CMA, MBA President, Utility Financial Solutions ~l='c3tih' E1f111tCt~I :°l~IlitlUtCY. lLC' City of Ashland Rate Design Table of Contents Page Rate Design Summary 3 Proposed Residential Single-Phase Rates 4 Proposed Seasonal Residential Single Rates 6 Proposed Commercial Single/Telecomm Rates 7 Proposed Outdoor Lighting Rates 8 Proposed Commercial Service Three Phase Rates 9 Proposed Govt/Muni Single Phase Rates 10 Proposed Govt/Muni Three Phase Rates 11 Proposed Governmental Large Service Rates 12 2 City of Ashland Rate Design Rate Design Summary Projected Projected Projected Projected Revenues Under Revenues Under Revenues Under Revenues Under Proposed Rates Proposed Rates Proposed Rates Change Change Change Customer Class Current Rates Year 1 Year 2 Year 3 Year 1 % Year 2 % Year 3 Residential Single-Phase $ 7,410,275 $ 7,967,778 $ 8,329,088 $ 8,597,320 7.52% 4.53% 3.22% Seasonal Residential Single 60,785 66,195 69,196 71,425 8.90% 4.53% 3.22% Commercial Single/Telecomm 1,788,904 1,914,127 1,996,434 2,051,336 7.00% 4.30% 2.75% Outdoor Lighting 19,703 21,061 21,848 22,489 6.90% 3.75% 2.90% Commercial Service Three Phase 3,168,263 3,358,358 3,492,693 3,580,010 6.00% 4.00% 2.50% Govt/Muni Single Phase 222,773 242,597 257,883 267,940 8.90% 6.30% 3.90% Govt/Muni Three Phase 917,686 968,159 1,004,465 1,027,065 5.50% 3.75% 2,25% Governmental Large Service 878,093 926,259 960,993 982,616 5.50% 3.75% 2,25% Totals $ 14,466,481 $ 15,464,534 $ 16,132,599 $ 16,600,201 6.90% 4.32% 2.90% Electric Rate Design 3 of 12 City of Ashland Rate Design Residential Single-Phase Rates Current Year 1 Year 2 Year 3 Monthly Facilities Charge: All Customers $ 9.62 $ 11.00 $ 12.50 $ 14.00 Energy Charge: Block 1(0 - 500 kWh) $ 0.06563 $ 0.07011 $ 0.07216 $ 0.07313 Block 2 (501- 5,000 kWh) $ 0.08073 $ 0.08521 $ 0.08726 $ 0.08823 Block 3 (Excess) $ 0.08073 $ 0.12000 $ 0.12500 $ 0.12750 Revenue from Rate $ 7,410,275 $ 7,967,778 $ 8,329,088 $ 8,597,320 Change from Previous 7.5% 4.5% 3.2% Change by Monthly k1Nh Usage 12.0 % 10.0% 8.0% 6.0% 4.0% 2.0% 0.0 250 500 750 1000 1250 1500 1750 2000 2250 2500 ---Year 1 --Year 2 Year 3 Change by Monthly kWh Usage $14.00 $12.00 $10.00 $8.00 $6.00 $4.00 $2.00 250 500 750 1000 1250 1500 1750 2000 2250 2500 ---Year 1 -Year 2 Year 3 Electric Rate Design 4 of 12 City of Ashland Rate Design Residential Single-Phase Rate Change Effect by Usage Usage Year 1 Year 2 Year 3 250 9.6% 7.0% 5.7% 500 8.5 % 5.5 % 4.1% 750 7.6% 4.5% 3.2% 1000 7.1% 4.0% 2.7% 1250 6.8% 3.7% 2.4% 1500 6.6% 3.5% 2.2% 1750 6.4% 3.3% 2.0% 2000 6.3% 3.2% 1.9% 2250 6.2% 3.1% 1.8% 2500 6.2 % 3.1% 1.8% Rate Change Effect by Usage Usage Year 1 Year 2 Year 3 250 $ 2.50 $ 2.01 $ 1.74 500 $ 3.62 $ 2.52 $ 1.98 750 $ 4.74 $ 3.03 $ 2.23 1000 $ 5.86 $ 3.54 $ 2.47 1250 $ 6.99 $ 4.05 $ 2.71 1500 $ 8.11 $ 4.57 $ 2.95 1750 $ 9.23 $ 5.08 $ 3.19 2000 $ 10.35 $ 5.59 $ 3.43 2250 $ 11.47 $ 6.10 $ 3.68 2500 $ 12.59 $ 6.61 $ 3.92 Electric Rate Design 5 of 12 q~FS City of Ashland Rate Design Seasonal Residential Single Rates Current Year 1 Year 2 Year 3 Monthly Facilities Charge: All Customers $ 9.62 $ 11.00 $ 12.50 $ 14.00 Energy Charge: Block 1(0 - 600 kWh) $ 0.07293 $ 0.07927 $ 0.08209 $ 0.08381 Block 2 (601- 5,000 kWh) $ 0.08062 $ 0.08696 $ 0.08978 $ 0.09150 Block 3 (Excess) $ _0.08062 $ 0.12000 $ 0.12500 $ 0.12750 Revenue from Rate $ 60,785 $ 66,195 $ 69,196 $ 71,425 Change from Previous 8.9% 4.5% 3.2% Change by Monthly kWh Usage 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% 0.0% 250 500 750 1000 1250 1500 1750 2000 2250 2500 ---Year 1 Year 2 Year 3 Change by Monthly kWh Usage $20.00 $1s.oo $16.00 $14.00 $12.00 $10.00 $8.00 $6.00 - $4.00 - $2.00 250 500 750 1000 1250 1500 1750 2000 2250 2500 --Year 1 -Year 2 Year 3 Electric Rate Design 6 of 12 ~;E~~~,r;~,~i~,~~,h~~;~ City of Ashland Rate Design Commercial Single/Telecomm Rates Current Year 1 Year 2 Year 3 Monthly Facilities Charge: 30kw or Less/Power Supply $ 17.23 $ 18.50 $ 21.00 $ 23.00 Over 30kW $ 64.67 $ 64.67 $ 64.67 $ 64.67 Energy Charge: Block 1(0 - 3,000 kWh) $ 0.07804 $ 0.08340 $ 0.08550 $ 0.08648 Block 2 (3001- 20,000 kWh) $ 0.07829 $ 0.08365 $ 0.08575 $ 0.08673 Block 3 (Excess) $ 0.07866 $ 0.08402 $ 0.08612 $ 0.08710 Demand Charge Block 1(0-15 kW) $ - $ - $ - $ - Block 2 (Excess) $ 4.12 $ 4.75 $ 5.50 $ 6.25 Power Cost Adjustment: All Energy $ - $ - $ - $ - Revenue from Rate $ 1,788,904 $ 1,914,127 $ 1,996,434 $ 2,051,336 Change from Previous 7.0% 4.3% 2.8% Change by Monthly klNh Usage 9.0% 8.0% 7.0% 6.0% 5.0% 4.0% 3.0% 2.0% - 1.0 0.0% 250 750 1250 1750 2250 2750 3250 3750 4250 4750 --Year 1 --Year 2 Year 3 Change by Monthly kWh Usage $30.00 $25.00 $20,00 $15.00 $10.00 $5.00 250 750 1250 1750 2250 2750 3250 3750 4250 4750 --Year 1 -Year 2 Year 3 Electric Rate Desi n 7 of 12 City of Ashland Rate Design Outdoor Lighting Current Rates Current Year 1 Year 2 Year 3 Monthly Light Charge: Lamp HPS 5800 Non Res $ 21.69 $ 23.15 $ 23.80 $ 24.50 HPS 22000 Non Res $ 31.31 $ 33.40 $ 34.65 $ 35.65 HPS 50000 Non Res $ 50.08 $ 53.55 $ 55.55 $ 57.15 HPS 5800 Res $ 16.68 $ 17.85 $ 18.60 $ 19.15 HPS 22000 Res $ 24.09 $ 25.70 $ 26.50 $ 27.25 HPS 50000 Res $ 38.53 $ 41.20 $ 42.75 $ 44.00 Wood Pole $ 1.89 $ 2.00 $ 2.10 $ 2.15 Revenues from Current Rates $ 19,703 $ 21,061 $ 21,848 $ 22,489 Change from Previous 6.89% 3.74% 2.93% Electric Rate Desi n 8 of 12 g Llility Finantinl S~ilutionti, LLC City ofAshland Rate Design Commercial Service Three Phase Rates Current Year 1 Year 2 Year 3 Monthly Facilities Charge: 30kw or Less $ 34.47 $ 37.00 $ 40.00 $ 45.00 Over 30kW $ 112.10 $ 112.10 $ 112.10 $ 112.10 Energy Charge: Block 1(0 - 3,000 kWh) $ 0.07145 $ 0.07514 $ 0.07706 $ 0.07754 Block 2 (3001-17,000 kWh) $ 0.07193 $ 0.07562 $ 0.07754 $ 0.07802 Block 3 (Excess) $ 0.07212 $ 0.07581 $ 0.07773 $ 0.07821 Demand Charge Block 1(0 -15 kW) $ - $ - $ - $ - Block 2 (Excess) $ 4.12 $ 4.75 $ 5.50 $ 6.25 Power Cost Adjustment: All Energy $ _ - $ - $ - $ - Revenuefrom Rate $ 3,168,263 $ 3,358,358 $ 3,492,693 $ 3,580,010 Change from Previous 6.0% 4.0% 2.5% Change by Load Factor - 27.5kW Demand 7.0% 6.0 5.0% 4.0 3.0% 2.0% 1.0% 0.0% 25% 30% 35% 40% 45% 50% 55% 60% 65% 70% --Year 1 --Year 2 Year 3 ri Rate Desi n 9 of 12 .~Vl'~ Elect c g UtGty ~in,mti+l S>h0.iwa. LAC' City ofAshland Rate Design Govt/Muni Single Phase Rates Current Year 1 Year 2 Year 3 Monthly Facilities Charge: 30kw or Less/Power Supply $ 17.23 $ 18.50 $ 21.00 $ 23.00 Over 30kW $ 64.67 $ 64.67 $ 64.67 $ 64.67 Energy Charge: Block 1(0 - 3,000 kWh) $ 0.09437 $ 0.09371 $ 0.09562 $ 0.09538 Block 2 (3001- 20,000 kWh) $ 0.07077 $ 0.08871 $ 0.09562 $ 0.10038 Block 3 (Excess) $ 0.06632 $ 0.08871 $ 0.09562 $ 0.10038 Demand Charge Block 1(0 -15 kW) $ - $ - $ - $ - Block 2 (Excess) $ 4.19 $ 4.75 $ 5.50 $ 6.25 Revenue from Rate $ 222,773 $ 242,597 $ 257,883 $ 267,940 Change from Previous 8.9% 6.3% 3.9% Change by Monthly k1Nh Usage 12.0% 10.0% 8.0 6.0 4.0 2.0% 0.0% 250 600 950 1300 1650 2000 2350 2700 3050 3400 -Year 1 iYear 2 Year 3 10 of 12 ~Vl' 7 Electric Rate Design LRd~n~FuWa«iil S•hcw. LiC City of Ashland Rate Design Govt/Muni Three Phase Rates Current Year 1 Year 2 Year 3 Monthly Facilities Charge: 30kw or Less $ 34.47 $ 37.00 $ 40.00 $ 45.00 Over 30kW $ 112.10 $ 112.10 $ 112.10 $ 112.10 Energy Charge: Block 1(0 - 3,000 kWh) $ 0.10082 $ 0.10433 $ 0.10433 $ 0.10433 Block 2 (3001- 20,000 kWh) $ 0.07645 $ 0.07996 $ 0.07996 $ 0.07996 Block 3 (Excess) $ 0.07166 $ 0.07517 $ 0.07803 $ 0.07837 Demand Charge Block 1(0 -15 kW) $ - $ - $ - $ - Block 2 (Excess) $ 4.19 $ 4.75 $ 5.50 $ 6.25 Power Cost Adjustment: All Energy $ - $ - $ - $ - Revenuefrom Rate $ 917,686 $ 968,159 $ 1,004,465 $ 1,027,065 Change from Previous 5.50% 3.75% 2.25% Change by Load Factor - 27.5kW Demand 6.0% 5.0% 4.0% 3.0% 1.0% 0.0% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60% ---Year 1 ~-o--Year 2 Year 3 i R e Desi n 11 of 12 ~Vr'7 Electrc at g tkdw F'mmi.J Sv'tcuel. ilC' City of Ashland Rate Design Governmental Large Service Rates Current Year 1 Year 2 Year 3 Monthly Facilities Charge: Monthly Charge $ 2,639.36 $ 2,639.36 $ 2,639.36 $ 2,639.36 Energy Charge: All Energy $ 0.05766 $ 0.05912 $ 0.05963 $ 0.05902 Demand Charge All Demand $ 4.92 $ 6.00 $ 7.00 $ 8.00 Power Cost Adjustment: All Energy $ - $ - $ - $ - Revenuefrom Rate $ 878,093 $ 926,259 $ 960,993 $ 982,616 Change from Previous 5.49% 3.75% 2.25% Change by load Factor 8.0% 7.a% 6.0% 4.0% 3.0% 2.0% 1.0% 0.0% 30% 35% 40% 45% 50% 55% 60% 65% 70% 75% --Year 1 ---Year 2 Year 3 Electric Rate Desi n 12 of 12 ~L//'7 g Utd~a FvaR.i~l x+hicve: L! C' CITY 4F ~SHLANI~ Council Communication October 31, 2016 Stud Session y Presentation on Electric Cost of Service Study FROM: Mark Holden, director of IT and electric utility, mark.holden~a,ashland.or.us SUMMARY This is a Study Session to receive and review the results of the Electric Cost of Service and Financial Projection QCOS) for the City's Electric Department. This communication provides background for the presentation. A cost of service study evaluates how a utility's costs are allocated across different customer classes to determine whether those costs are accurately reflected in rates. The COS recommends a series of rate changes over afive-year period. Staff is requesting guidance to move forward with a rate design using the cost of service model developed in the COS and, subject to future rate review and approval by the Council, implementation of the rates developed as a result of the COS based rate design process. COUNCIL GOALS SUPPORTED: 22. Prepare for the impact of climate change on the community BACKGROUND AND POLICY IMPLICATIONS: In compliance with Council direction of May 5, 2015 a COS was performed prior to requesting future rate changes. The COS focuses on the (ong term financial viability and stability of the Electric Utility. The COS provides guidance to the Electric Department in evaluating and recommending charges and rates. The COS identifies the cost to serve each class of customer and provides a model to ensure these costs are recovered through equitable charge and rate structures (i.e. all classes carry their fair share). Taken together with the Department's Ten Year Capital Plan, the COS provides support for near and long term operation of the Electric Department. The City last performed a cost of service study in Fall 2013. The city, through the RFP process, contracted with Utility Financial Solutions, LLC, to perform the current COS. The COS began in July, 2016 and was completed in October, 2016. Summary of Results • Charge and rate adjustments are needed to reach and maintain long term financial stability • The cost of service model is recommended as the basis for charge and rate decisions o Unbundles (decouples) cost structures -unbundling costs is a process of identify costs which do not change ("fixed costs") and are not directly related to the consumption (variable) of electricity. The COS assigns unbundled costs to the appropriate customer Page 1 of 4 ~r CITY ()F ASHLAND class fixed charge (Ashland's Basic Fee). Unbundling can ensure the long term safe and reliable operation of the distribution systemlutility independent of the variable quantity (or source) of electricity sold. o Equitably assign costs -identifies and assigns the cost to serve customer classes and assigns costs appropriately o Encourages Conservation ■ By uncoupling the Utility's fixed costs from consumptive (usage) rates the Utility need not raise consumptive rates to continue to recover fixed charges as actual consumption flattens/declines (conservation). In addition, the conserving customer will see the direct and motivational benefit of lower consumptive bill charges resulting from the customer's conservation efforts. ~ Cross-subsidies exist in the current rate structures. Some classes are above the identified cost of service; some classes are below the identified cost of service. The COS ensures each class is paying their share. The Customer Charge (Ashland's Basic Charge) is proposed to be based on the cost of service for each class of customer. Conservation charges (fixed) are unbundled from usagelconsumptionanl combined with the Customer Charge. Discussion of Results 1. Rate Adjustments: Rate adjustments are necessary for the long term reliability and long term health of the electric system. Rate adjustments are needed to ensure no class of customer is unintentionally burdened with costs beyond those needed to support their usage. A detailed analysis of the costs and cost drivers reveals the need to adjust rates to equitably recover these costs. In addition, the cost of service model provides the flexibility and fairness to develop rates when dealing with innovations in electric service (e.g. efficiency, demand response, distributed energy resources) without unfairly shifting costs to unrelated classes or future generations. 2. Cost of Service: Many municipal electric utilities, electric cooperatives, and Public Utility Districts are operating or moving toward a cost of service model. Investor Owned Utilities (e.g., Pacific Corp, Portland General) operate under the cost of service model. The cost of service model: o Identifies and unbundles costs o Identifies rate classes o Distributes costs to appropriate rate class o Builds a financial model of the Utility based on cost of service o Provides a basis for developing charges and rates o Encourages conservation efforts by decoupling required operational revenue from the effects of encouraging lower consumption The cost of service model developed in the COS analyzes the Electric Department's costs and assigns these costs to the class of customer benefiting from the costs. The cost of service model provides the flexibility, accuracy, fairness, and financial stability needed to operate in an evolving integrated utility environment. Page 2 of 4 ~r CITY C)F ~.SHLAI~D 3. Cross-Subsidies: When examined on a cost basis, the current rate structure contains inequities between classes. The cost of service model identifies costs, identifies the classes benefiting from those costs, and assigns the cost to these rate classes. The existing classes are not fully aligned with the COS results. However, the COS analysis shows the current rates are, on average, within 9.5% of the desired goal. Over time, the rates can be brought in line with the cost of service model without large swings in customer rates (please see below: Table 1: Proposed Rate Changes). 4. Customer Charge: Customer charges (Ashland's current Basic Charge) are adjusted to cover the actual cost to serve each class of customer. Adjustments are meant to eliminate subsidies among classes of customers. As conservation continues to emerge as a higher priority for many utilities, an industry trend is to fund conservation through a fixed monthly customer charge. A fixed conservation charge provides stable funding for conservation efforts and reduces the need to adjust electric rates as the investment in conservation is adjusted up or down. The fixed rate decouples conservation funding from the variability (most often weather related) of electric consumption and could provide stable funding for the forthcoming Climate and Energy Action Plan (LEAP). Staff has completed the cost of service portion of the COS. Subject to Council guidance, a rate design and implementation schedule will be completed by late December, 2016. Implementation of the cost of service based rates, once reviewed and approved by the Council, is anticipated for July 1, 2017. FISCAL IMPLICATIONS: . The COS provides the Electric Department with a methodology and road map to accomplish an equitable rate structure where customer classes contribute their fair share and provides for the long term safety, reliability and financial health of the electric system. A summary of rate adjustments recommended in the COS are: Table 1: Proposed Rate Changes Rate Adjustments by FY 2018 2019 2020 2021 2022 Increase % 6.90 2.75 2.75 2.75 2.75 Recommended (COS page 7, Table 6 and page 18, Table 15) Notes to Table 1: The rate increase percentage is not a broad application of the single increase percentage across all customer classes. Rather, the rate increase percentage represents the net effect of the class-specific cost of service rates. Since COS revenue for some classes of customers are above and others below the identified cost of service, rates will change an average of 6.9% in FY2018 (range 6.9% ~ 2%) and 2.75% in the following years. Page 3 of 4 ~r CITY C)F ~SHL~1~D STAFF RECOMMENDATION AND REQUESTED ACTION: Staff recommends the COS as the basis for future charges and rates. Staff recommends the development of interim, class specific charges and rates to gradually implement (phase in) the COS recommendations. Staff is seeking guidance from Council on these points: • Should staff move forward and design charges and rates using the results of the COS (cost of service model)? • Should subsidies in the Government and Municipal customer classes be maintained/increased/decreasedlexpanded? • Shall staff plan for a phased implementation of the rates developed as a result of the COS (one, two, or three-year phase in)? SUGGESTED MOTION: N/A ATTACHMENTS: Summary Report, CITY OF ASHLAND ELECTRIC DEPARTMENT, "Electric Cost of Service Study and Financial Projection", October 2016 Page 4 of 4 ~r ~ day r ' ~ o Su n1 n1a ry ~e ~rt ~~TY 0 _ AEI E L TR C DEPA N -y 4 t ]jj ` Electric Cost of Service Study and Finar~i~jl ~ e~~ion October 2016 f 'Utility inanaal Solutions, LLC ~pQC~a~a~ x~ east of Sexvi~e, Rate Ilesi and Finan~~a~ Ar~a~ysis This page intentionally left blank Utility Financial Solurions, LLC October 2016 Mark Holden Director of Electric Utility, Telecom and IT City of Ashland Electric Department 90 N. Mountain Ave Ashland OR Dear Mr Holden; We are pleased to present the Summary Report for the electric cost of service study and financial projection for the City of Ashland Electric Department (Ashland). This report was prepared to provide Ashland with a comprehensive examination of its existing rate structure by an outside party. The specific purposes of this rate study are: • Determine electric utility's revenue requirements for fiscal year 2018 • Identify cross-subsidies that may exist between rate classes • Recommend rate adjustments needed to meet targeted revenue requirements • Identify the appropriate monthly customer charge for each customer class This report includes results of the electric cost of service study and financial projection and recommendations onfuture rate designs. This report is intended for information and use by the utility and management for the purposes stated above and is not intended to be used by anyone except the specified parties. Sincerely, Utility Financial Solutions, LLC Mark Beauchamp CPA, M BA, CMA 185 Sun Meadow Ct Holland, MI 49424 Utility Financial Solutions, LLC TABLE OF CONTENTS 1. Introduction ............................................................................................................................................3 2. Cost of Service Summary ........................................................................................................................4 Utility Rate Process ...................................................................................................................................................4 Utility Revenue Requirements ..................................................................................................................................4 Projected Cash Flow .................................................................................................................................................5 Minimum Cash Reserve ............................................................................................................................................5 Debt Coverage Ratio .................................................................................................................................................6 Rate of Return ...........................................................................................................................................................6 Recommended Rate Track ........................................................................................................................................7 Cost of Service Summary Results ..............................................................................................................................7 Cost of Service Results ..............................................................................................................................................8 Distribution Costs .....................................................................................................................................................9 Power Supply Costs .................................................................................................................................................10 Combined Cost Summary .......................................................................................................................................10 3. Functionalization of Costs .....................................................................................................................11 Transmission ...........................................................................................................................................................11 Distribution .............................................................................................................................................................12 Distribution Customer Types ..................................................................................................................................12 Customer-Related Services .....................................................................................................................................12 Administrative Services ..........................................................................................................................................12 System Losses .........................................................................................................................................................13 4. Unbundling Process ..............................................................................................................................14 Distribution Breakdown ..........................................................................................................................................14 Customer-Related Cost Breakdown ........................................................................................................................15 Power Supply Cost Breakdown ...............................................................................................................................15 5. Significant Assumptions ........................................................................................................................16 Forecasted Operating Expenses .............................................................................................................................16 Load Data ................................................................................................................................................................16 Annual Projection Assumptions ..............................................................................................................................16 City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 1 a Utility Financial Solutions, LLC System Loss Factors ................................................................................................................................................17 Revenue Forecast ...................................................................................................................................................17 6. Recommendations and Additional Information ...................................................................................18 Accountant's Compilation Report ................................................................................................................20 LIST OF FIGURES Figure 1-Breakdown of Distribution Costs ................................................................................................14 Figure 2 -Breakdown of Customer Costs ....................................................................................................15 LIST OF TABLES ( 1 ) Table 1-Financial Statements without rate ad~ustments 4 Table 2 -Projected Cash Flows (without rate adjustments) .........................................................................5 Table 3 -Minimum Cash Reserves (without rate adjustments) ....................................................................5 Table 4 -Projected Debt Coverage Ratios (without rate adjustments) ........................................................6 Table 5 - Rate of Return Calculation .............................................................................................................7 Table 6 -Recommended Revenue Adjustments ...........................................................................................7 Table 7 - Cost of Service Summary ................................................................................................................8 Table 8 -Average Cost per kWh vs. Average Revenue per kWh ...................................................................8 Table 9 -Distribution Costs by Customer Class (COS) ...................................................................................9 Table 10 -Power Supply Costs by Customer Class ......................................................................................10 Table 11-Total Costs by Customer Class ....................................................................................................10 Table 12 -Breakdown of Ashland Cost Structure .......................................................................................14 Table 13 -Projected Operating Expenses for 2018- 2022 ..........................................................................16 Table 14 -Projection Annual Escalation Factors 2018- 2022 .....................................................................17 Table 15 -Recommended Rate Adjustments 2018- 2022 ..........................................................................18 Table 16 -Cost of Service Summary Results ...............................................................................................18 Table 17 -Customer Charge Comparison ...................................................................................................19 City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 2 ~'1~ Utility Financial Solutions, LLC 1. Introduction This report was prepared to provide the City of Ashland Electric Department (Ashland) with an electric cost of service study and financial projection and a comprehensive examination of its existing rate structure by an outside party. The specific purposes of the study are identified below: 1) Determine electric utility's revenue requirements for fiscal year 2018. Ashland's revenue requirements were projected for the period from 2018 - 2022 and included adjustments for the following: a. Projected power costs b. Capital improvement plan projected over next five years 2) Identify cross-subsidies that may exist between rate classes. Cross-subsidies exist when certain customer classes subsidize the electric costs of other customers. The rate study identifies ifcross-subsidies exist and practical ways to reduce the subsidies. The cost of service study was completed using 2018 projected revenues and expenses. The financial projections are forthe period from 2018-2022. 3) Recommend rate adjustments needed to meet targeted revenue requirements. The primary purpose of this study is to identify appropriate revenue requirements and the rate adjustments needed to meet targeted revenue requirements. The report includes along-term rate track for Ashland to help ensure the financial stability of the utility in future years. 4) Unbundled electric rates. The cost of providing electricity to customers consists of a number of components, including power generation, distribution, customer services, transmission, and transfers to the general fund. Electric unbundling identifies the cost of each component to aid the utility understanding of its cost structure. 5) Identify the appropriate monthly customer charge for each customer class. The monthly customer charge consists of fixed costs to service customers that do not vary based on the amount of electricity used. City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 3 x'11 Utility Financial Solutions, LLC 2. Cost of Service Summary Utility Rate Process Ashland retained Utility Financial Solutions to review utility rates and cost of service and make recommendations on the appropriate course of action. This report includes results of the electric cost of service and unbundling study and recommendations onfuture rate designs. Utility Revenue Requirements To determine revenue requirements, the revenues and expenses for Fiscal Years 2014, 2015 and 2016, 2017 budget were analyzed, with adjustments made to reflect projected operating characteristics. The projected financial statements are for cost of service purposes only. Table 1 is the projected financial statement for the Electric Department from 2018-2022. The 2018 rate of return calculation established an operating income target of $514k (See Table 5). Operating income for 2018 is projected at $(861)k and increases to $(1.9)M in 2022. Operating income is one target that helps to determine if rate adjustments are needed. The following pages review cash flow and other factors which can be important indicators. Table 1-Financial Statements (without rate adjustments) Description Projected 2018 Projected 2019 Projected 2020 Projected 2021 Projected 2022 Operating Revenues: Electric Sales Intergovernmental 184,500 189,113 193,840 198,686 203,653 Charges for Services 14,466,358 14,498,322 14,529,240 14,553,779 14,578,179 Other Charges for Services Revenue (not rates) 260,350 266,859 273,530 280,368 287,378 Miscellaneous 111,788 112,035 112,273 112,463 112,652 Total Operating Revenues $ 15,022,996 $ 15,066,327 $ 15,108,884 $ 15,145,297 $ 15,181,862 Operating Expenses: Purchases Electric -Supply $ 6,886,756 $ 6,901,972 $ 7,055,024 $ 7,349,618 $ 7,361,940 Electric -Transmission 957,477 957,477 976,626 1,015,691 1,015,691 Total Power Supply Expense $ 7,844,232 $ 7,859,449 $ 8,031,651 $ 8,365,309 $ 8,377,631 Distribution Electric -Distribution $ 3,500,018 $ 3,587,519 $ 3,677,207 $ 3,769,137 $ 3,863,365 Total Distribution Expense $ 3,500,018 $ 3,587,519 $ 3,677,207 $ 3,769,137 $ 3,863,365 Other Operating Expenses (Revenues) Admin -Conservation $ 739,153 $ 757,631 $ 776,572 $ 795,987 $ 815,886 Electric -Supply (non BPA) 97,990 100,440 102,951 105,525 108,163 Franchise Fee 1,472,671 1,476,518 1,480,277 1,483,415 1,486,556 Allocations Central Service -Power Supply (non BPA) 385,060 394,687 404,554 414,668 425,034 Central Service -Distribution 857,095 878,522 900,485 922,997 946,072 Use of Facilities Charge -Distribution 133,250 136,581 139,996 143,496 147,083 Technology Debt -Distribution 541,300 541,300 541,300 541,300 541,300 Depreciation Expense 313,406 325,406 349,406 373,406 397,406 Total Other Operating Expenses $ 4,539,924 $ 4,611,085 $ 4,695,541 $ 4,780,793 $ 4,867,500 Total Operating Expenses $ 15,884,175 $ 16,058,053 $ 16,404,398 $ 16,915,239 $ 17,108,497 Operating Income $ (861,179) $ (991,725) $ (1,295,515) $ (1,769,941) $ (1,926,635) City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 4 ~'1~ Utility Financial Solutions, LLC Projected Cash Flow Table 2 is the projected cash flow for 2018-2022, including projections of capital improvements as provided by Ashland. Changes in the capital improvement plan can greatly affect the cash balance and recommended minimum cash reserve target. The cash balance for 2018 is projected at $163k and $(6.85)M in 2022. The recommended minimum cash reserve level for 2018 is $3M and $3.25M for 2022. Table 2 -Projected Cash Flows (without rate adjustments) Description Projected 2018 Projected 2019 Projected 2020 Projected 2021 Projected 2022 Projected Cash Flows Net Income $ (855,886) $ (991,861) $ (1,296,193) $ (1,770,349) $ (1,926,770) Depreciation Expense/Amortization 313,406 325,406 349,406 373,406 397,406 Subtract Debt Principal (21,714) (21,714) (21,714) (21,714) (21,714) Cash Available from Operations $ (564,194) $ (688,170) $ (968,502) $ (1,418,657) $ (1,551,079) Estimated Annual Capital Additions 576,050 600,000 600,000 600,000 600,000 Net Cash From Operations $ (1,140,244) $ (1,288,170) $ (1,568,502) $ (2,018,657) $ (2,151,079) Beginning Cash Balance $ 1,303,054 $ 162,810 $ (1,125,360) $ (2,693,862) $ (4,712,519) Ending Cash Balance $ 162,810 $ (1,125,360) $ (2,693,862) $ (4,712,519) $ (6,863,598) Total Cash Available $ 162,810 $ (1,125,360) $ (2,693,862) $ (4,712,519) $ (6,863,598) Recommended Minimum $ 3,037,822 $ 3,080,294 $ 3,137,714 $ 3,215,368 $ 3,232,382 Minimum Cash Reserve Table 3 details the minimum level of cash reserves required to help ensure timely replacement of assets and to provide financial stability of the utility. The methodology used to establish this target is based on certain assumptions related to a percentage of operating expense, historical investment, capital improvements, and debt service to be kept in cash reserves. Based on these assumptions, Ashland should maintain a minimum of$3M in cash reserves for 2018 and $3.25M in 2022. Table 3 -Minimum Cash Reserves (without rate adjustments) Description Projected 2018 Projected 2019 Projected 2020 Projected 2021 Projected 2022 Minimum Cash Reserve Allocation Operation & Maintenance Less Depreciation Expense 12.3% 12.3% 12.3% 12.3% 12.3% Purchase Power Expense 12.3% 12.3% 12.3% 12.3% 12.3% Historical Rate Base 3% 3% 3% 3% 3% Current Portion of Debt Service Payment 100% 100% 100% 100% 100% Five Year Capital Improvements - Net of bond proceeds 20% 20% 20% 20% 20% Calculated Minimum Cash Level Operation & Maintenance Less Depreciation Expense $ 952,587 $ 970,668 $ 989,179 $ 1,008,065 $ 1,027,413 Purchase Power Expense 964,841 966,712 987,893 1,028,933 1,030,449 Historical Rate Base 502,521 520,521 538,521 556,521 574,521 Current Portion of Debt Service Reserve 22,664 22,393 22,121 21,850 - FiveYear Capital Improvements - Net of bond proceeds 595,210 600,000 600,000 600,000 600,000 Minimum Cash Reserve Levels $ 3,037,822 $ 3,080,294 $ 3,137,714 $ 3,215,368 $ 3,232,382 Projected Cash Reserves $ 162,810 $ (1,125,360) $ (2,693,862) $ (4,712,519) $ (6,863,598) Projected cash balances fall below the recommended minimums during the projection period. City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 5 ~'1~ Utility Financial Solutions, LLC Debt Coverage Ratio As Ashland has no bond debt and minimal other debt this section is included for educational purposes only so readers can be informed if considering debt. Debt coverage ratio can be ignored from the point of view of a current target. Table 4 is the projected debt coverage ratios with capital additions as provided by Ashland. The coverage required in bond ordinances is typically 1.15 -1.20, however the minimum recommended debt coverage ratio is established at 1.35 -1.40 for projection purposes a 0.20 premium to ordinance. Maintaining a higher debt coverage ratio is good business practice and helps to achieve the following: • Helps to ensure adequate funds are available to meet debt service payments in years when sales are low due to temperature fluctuations. • Obtain higher bond rating, if revenue bonds are sold in the future, to lower interest cost. Table 4 -Projected Debt Coverage Ratios (without rate adjustments) Description Projected 2018 Projected 2019 Projected 2020 Projected 2021 Projected 2022 Fixed Cost Coverage Ratio Cash Available for Debt Service $ (541,258) $ (665,506) $ (946,109) $ (1,396,536) $ (1,529,229) Off System Debt - - - - - TotalAvailable $ (541,258) $ (665,506) $ (946,109) $ (1,396,536) $ (1,529,229) Debt Service Including Off System Debt $ 22,936 $ 22,664 $ 22,393 $ 22,121 $ 21,850 Fixed Costs Coverage Ratio (23.60) (29.36) (42.25) (63.13) (69.99) Minimum Fixed Costs Coverage Ratio 1.4 1.4 1.4 1.4 1.4 Debt coverage is adequate for the projection period without changes in rates as the debt is minimal and not subject to ordinances or coverage covenants. Rate of Return The optimal target for setting rates is the establishment of a target operating income to help ensure the following: A. Funding of the inflationary increase on the assets invested in the system. The inflation on the replacement of assets invested in the utility should be recouped through the Operating Income. B. Funding of depreciation expense. C. Adequate rate of return on investment to help ensure current customers are paying their fair share of the use of the infrastructure and not deferring the charge to future generations. D. Funding of interest expense on the outstanding principal on debt. Interest expense is below the operating income line and needs to be recouped through the operating income balance. As improvements are made to the system, the optimal operating income target will increase unless annual depreciation expense is greater than yearly capital improvements. The revenue requirements for the study are set on the utility basis. Table 5 identifies the utility basis target established for 2018 is $514k and increases to $594k in 2022. City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 6 ~'1~ Utility Financial Solutions, LLC Table 5 - Rate of Return Calculation Description Projected 2018 Projected 2019 Projected 2020 Projected 2021 Projected 2022 Target Operating Income Determinants Net Book Value/Working Capital $ 7,398,546 $ 7,673,140 $ 7,923,734 $ 8,150,329 $ 8,352,923 Outstanding Principal on Debt 86,857 65,143 43,429 21,714 - System Equity $ 7,311,689 $ 7,607,997 $ 7,880,306 $ 8,128,614 $ 8,352,923 Target Operating Income Allocation Interest on Debt 1.41% 1.46% 1.56% 1.87% 0.00% System Equity 7.02% 7.01% 7.02% 7.06% 7.11% Target Operating Income Interest on Debt $ 1,221 $ 950 $ 679 $ 407 $ 136 System Equity $ 513,175 $ 533,305 $ 553,421 $ 573,539 $ 593,671 Target Operating Income $ 514,397 $ 534,255 $ 554,100 $ 573,946 $ 593,807 Projected Operating Income $ (861,179) $ (991,725) $ (1,295,515) $ (1,769,941) $ (1,926,635) Rate of Return in % 7.0% 7.0% 7.0% 7.0% 7.1% Recommended Rate Track The study identifies increasing current revenues in 2018, and increase annually thereafter to maintain debt coverage ratios and minimum cash targets. Table 6 is a summary of the financial results detailing the recommended revenue adjustments required to meet target operating income. Table 6 -Recommended Revenue Adjustments Projected Adjusted Target Fiscal Rate Projected Projected Operating Operating Projected Cash Recommended Year Adjustments Expenses Revenues Income Income Balances Minimum Cash 2018 6.90% $15,983,993 $ 16,021,174 $ 37,181 $ 514,397 $ 1,061,170 $ 3,050,128 2019 2.75% 16,200,713 16,496,007 295,294 534,255 1,064,512 3,097,882 2020 2.75% 16,591,249 16,983,654 392,404 554,100 1,189,252 3,160,751 2021 2.75% 17,147,575 17,478,199 330,623 573,946 1,277,106 3,244,012 2022 2.75% 17,387,713 17,986,935 599,222 593,807 1,658,269 3,266,806 Cost of Service Summary Results A cost of service study was completed to determine the cost of providing service to each class of customers and to assist in design of electric rates for customers. A cost of service study consists of the following general steps: 1) Determine utility revenue requirement for test year 2018 2) Classify utility expenses into common cost pools 3) Allocate costs to customer classes based on the classes' contribution to utility expenses 4) Compare revenues received from each class to the cost of service The cost of service summary is included as Table 7 which compares the projected cost to serve each class with the revenue received from each class. The change" column is the revenue adjustment necessary City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 7. ~'1~ Utility Financial Solutions, LLC to meet projected cost of service requirements. The cost of service summary uses the current rates including any adjustment factors. Table 7 - Cost of Service Summary Projected Customer Class Cost of Service Revenues % Change Residential Single-Phase $ 8,343,058 $ 7,410,275 12.6% Seasonal Residential Single 75,378 60,785 24.0% Telecommunications 73,981 68,342 8.3% Outdoor Lighting 19,156 19,703 -2.8% Commercial Service Single Phase 1,907,280 1,720,561 10.9% Commercial Service Three Phase 3,333,918 3,168,263 5.2% Governmental Service Single Phase 132,089 100,297 31.7% Governmental Service Three Phase 475,225 438,354 8.4% Municipal Service Single Phase 151,481 122,475 23.7% Municipal Service Three Phase 440,310 479,332 -8.1% Governmental Large Service 890,057 877,970 1.4% Total $ 15,841,934 $ 14,466,358 9.5% Cost of Service Results Table 8 shows the average cost of service per kWh and compares the cost to the average revenue per kWh for each customer class. Table 8 -Average Cost per kWh vs. Average Revenue per kWh Cost of Projected Service Revenues Customer Class $/kWh $/kWh Residential Single-Phase $ 0.0965 $ 0.0857 Seasonal Residential Single 0.1066 0.0859 Telecommunications 0.1185 0.1095 Outdoor Lighting 0.0960 0.0988 Commercial Service Single Phase 0.1060 0.0957 Commercial Service Three Phase 0.0897 0.0852 Governmental Service Single Phan 0.1345 0.1021 Governmental Service Three Phan 0.1052 0.0971 Municipal Service Single Phase 0.1361 0.1100 Municipal Service Three Phase 0.0795 0.0865 Governmental Large Service 0.0762 0.0752 Cost differences result from usage patterns of customers and how each class of customer used facilities based on load data provided by Ashland. City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 8 ~'1~ Utility Financial Solutions, LLC Distribution Costs Separation of distribution costs help identify distribution charges for each customer class and the fixed monthly customer charge. Distribution charge includes the following costs: • Operation and maintenance of distribution & transmission system • Contributions to general fund • Customer service • Customer accounting • Meter reading • Billing • Meter operation & maintenance • Administrative expenses The distribution charges consist of two components: • Monthly customer charge to recover the costs of meter reading, billing, customer service, and a portion of maintenance and operations of the distribution system. • Distribution rate based on billing parameter, (kW or kWh to recover the cost to operate and maintain the distribution system. Table 9 identifies the cost-based distribution rates for customer classes. Table 9 -Distribution Costs by Customer Class (COS) Monthly Customer Customer Class Charge Distribution Rate Billing Basis Residential Single-Phase $ 14.09 $ 0.0296 kWh Seasonal Residential Single 16.50 0.0418 kWh Telecommunications 19.45 0.0330 kWh Commercial Service Single Phase 43.46 11.45 kW Commercial Service Three Phase 103.90 10.35 kW Governmental Service Single Phase 51.68 10.16 kW Governmental Service Three Phase 155.98 11.19 kW Municipal Service Single Phase 58.97 12.75 kW Municipa I Service Three Phase 127.75 10.64 kW Governmental Large Service 1,635.79 11.17 kW City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 9 ~'1~ Utility Financial Solutions, LLC Power Supply Costs Table 10 identifies the average cost of providing power supply to customers of Ashland. Table 10 -Power Supply Costs by Customer Class Customer Class Demand Billing Basis Energy Billing Basis Residential Single-Phase $ 0.0077 kWh $ 0.0392 kWh Seasonal Residential Single 0.0100 kWh 0.0391 kWh Telecommunications 0.0109 kWh 0.0394 kWh Commercial Service Single Phase 2.80 KW 0.0393 kWh Commercial Service Three Phase 2.51 KW 0.0394 kWh Governmental Service Single Phase 3.14 KW 0.0394 kWh Governmental Service Three Phase 3.39 KW 0.0394 kWh Municipal Service Single Phase 3.29 KW 0.0392 kWh Municipal Service Three Phase 3.38 KW 0.0394 kWh Governmental Large Service 2.79 KW 0.0385 kWh Combined Cost Summary Table 11 identifies the cost of service rates for each customer class. Charging these rates would directly match the cost of providing service to customers identified in this study. Table 11-Total Costs by Customer Class COS COS Current Average Customer COS Monthly Conservation Customer Customer Class Charge Charge Charge Charge Residential Single-Phase $ 9.62 $ 14.09 $ 3.21 $ 10.87 Seasonal Residential Single 9.62 16.50 5.60 10.89 Telecommunications 17.23 19.45 3.49 15.96 Commercial Service Single Phase 20.29 43.46 7.81 35.65 Commercial Service Three Phase 49.95 103.90 36.07 67.83 Governmental Service Single Phan 17.23 51.68 18.00 33.68 Governmental Service Three Phan 101.01 155.98 87.73 68.25 Municipal Service Single Phase 18.79 58.97 8.37 50.60 Municipal Service Three Phase 54.72 127.75 59.73 68.02 Governmental Large Service 2,639.36 1,635.79 1,413.90 221.89 City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 10 •'1~ Utility Financial Solutions, LLC 3. Functionalization of Costs Delivery of electricity consists of many components that bring electricity from the power supply facilities to the communities and eventually into customer facilities. The facilities consist of four major components: transmission, distribution, customer-related services, and administration. Following are general descriptions of each of these facilities and the sub-breakdowns within each category. Transmission The transmission system is comprised of four types of subsystems that operate together: 1) Backbone and inter-tie transmission facilities are the network of high voltage facilities through which a utility's major production sources are integrated. 2) Generation set-up facilities are the substations through which power is transformed from a utility's generation voltages to its various transmission voltages. Terminology of Cost of Service 3) Sub-transmission plant consists of lower voltage facilities to transfer electric energy FUNCTIONALIZATION -Cost data arranged by functional category (e.g. power supply, from convenient points on a utility's transmission, distribution backbone system to its distribution system. CLASSIFICATION -Assignment of 4) Radial transmission facilities are those that functionalized costs to cost components are not networked with other transmission (e.g. demand, energy and customer lines but are used to serve specific loads related). directly. ALLOCATION -Allocating classified costs to Operation of the transmission system also consists of each class of service based on each class's providing certain services that ensure a stable supply contribution to that specific cost of power. These services are typically referred to as component. ancillary services. The Federal Energy Regulatory DEMAND COSTS -Costs that vary with the Commission (FERC) has defined six ancillary service maximum or peak usage. Measured in charges for the use of transmission facilities. For kilowatts (kW) Ashland, these charges will be passed-through charges ENERGY COSTS -Costs that vary over an by the control area operator. Ancillary services consist extended period of time. Measured in of the following: kilowatt-hours (kWh) • Mandatory Ancillary Service Charges: CUSTOMER COSTS -Costs that vary with the number of customers on the system, Reactive Supply and Voltage Control e.g, metering costs. Regulation and Frequency Response Service DIRECT ASSIGNMENT-Costs identified as Energy Imbalance Charges belonging to a specific customer or group of customers. Operating Reserves Spinning Operating Reserves Supplemental Reactive Power Supply City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 11 ~'1~ Utility Financial Solutions, LLC Power losses from use of transmission system Distribution The distribution facilities connect the customer with the transmission grid to provide the customer with access to the electrical power that has been generated and transmitted. The distribution plant includes substations, primary and secondary conductors, poles, and line transformers that are jointly used and in the public right-of-way. Substations typically separate the distribution plant from the transmission system. The substation power transformer "steps down" the voltage to a level that is more practical to install on and under city streets. Distribution circuits are divided into primary and secondary voltages with the primary voltages usually ranging between 35 kV and 4 kV and the secondary below 4 kV. Distribution CustomerTypes Sub-transmission customers are served directly from the substation feeder and bypass both the secondary and primary distribution lines. The charges for this type of customer should reflect the cost of the substation and not include the cost of primary or secondary line charges. Primary customers are typically referred to as customers who have purchased, owned, and maintained their own transformers that convert the voltage to the secondary voltage level. The rates for these customers should reflect the cost of substations and the cost of primary distribution lines and not include the cost of secondary line extensions. Secondary customers have the services provided by the utilities directly into their facilities. The utility provides the customer with the transformer and the connection on the customers' facilities. Customer-Related Services Certain administrative-type services are necessary to ensure customers are provided service connections and disconnections in a timely manner and the facilities are in place to read meters and bill for customer usages. These services typically consist of the following components: • Customer Services -The cost of providing personnel to assist customers with questions and dispatch personnel to connect and disconnect meters. • Billing and Collections-The cost of billing and collections personnel, postage, and supplies. • Meter Reading -The cost of reading customers' meters. • Meter Operation and Maintenance -The cost of installing and maintaining customer meters. Administrative Services These costs are sometimes referred to as overhead costs and relate to functions that cannot be directly- attributed toany service. These costs are spread to the other services through an allocator such as labor, expenses, or total rate base. These costs may consist of City administrative expenses, property insurance, and wages for higher level management of the utility. City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 12 ~'1~ Utility Financial Solutions, LLC System losses As energy movesthrough each component ofthe transmission and distribution system, some ofthe power is lost and cannot be sold to customers. Losses vary based on time of day and season. Typically, as system usage increases or ambient temperature increases, the percentages of losses that occur also increase. These losses are recovered from distribution customers through an analysis of the peak losses that occur in the system. The average system losses and unaccounted for energy for Ashland are approximately 4.1%. (Typical municipal system losses are approximately 5.4%) City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 13 ~'1~ Utility Financial Solutions, LLC 4. Unbundling Process The cost of power supply, distribution, and customer services are identified as part of the unbundling process and are the first step in determining unbundled charges to customers. The total revenue requirements of $15.85M are separated into four categories identified in Table 12. Table 12 -Breakdown of Ashland Cost Structure Utility Costs Power Supply $ 7,844,232 Distribution $ 4,406,582 Franchise Fee $ 1,472,671 Customer $ 2,118,448 $ 15,841,934 Ashland is projected to expend 49% of its total costs toward power supply. Distribution related costs are 28%; franchise fee is 10% and customer service 13%. These components are broken down into each of the subcomponents and are identified in the following sections. Distribution Breakdown Distribution rates consist of a number of different components. Total distribution-related costs of 4.4M for 2018 are broken down into the main components including substations, transformers, and distribution lines. Figure 1 shows the breakdown of distribution components identified in the study. Figure 1-Breakdown of Distribution Costs Distribution Costs Substations 27% Distribution Lines Transformers 56% 5% Technology Debt -Distribution 12 Each of these components is allocated to customer groups based on certain factors established in the study. These factors are based on the efficiency of each customer class and the time of day or the season City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 14 ~'1~ Utility Financial Solutions, LLC the electricity is used. Other factors are also considered, such as the length of line extensions to reach certain customer classes. Customer-Related Cost Breakdown Ashland total expenses for customer-related costs are $2.12M for 2018. The cost is broken down into the components identified in Figure 2. Figure 2 -Breakdown of Customer Costs Customer Costs Services 6°lo Meter 0&M 12% S~j Conservation ~ ~ 35% ~ Meter Reading 16~ ~:~3 Customer Service/Billing 31°10 Power Supply Cost Breakdown Power supply costs for 2018 were made up of purchased power expenses. City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 15 ~'1~ Utility Financial Solutions, LLC 5. Significant Assumptions This section outlines the procedures used to develop the cost of service and unbundling study for Ashland and the related significant assumptions. Forecasted Operating Expenses Forecasted expenses were based on 2014, 2015 and 2016, 2017 budget adjusted for power supply costs and inflation. The table below is a summary of the expenses used in the analysis; the projected operating expenses include an adjustment for any city contributions. Table 13 -Projected Operating Expenses for 2018- 2022 Description Projected 2018 Projected 2019 Projected 2020 Projected 2021 Projected 2022 Operating Expenses: Purchases Electric -Supply $ 6,886,756 $ 6,901,972 $ 7,055,024 $ 7,349,618 $ 7,361,940 Electric -Transmission 957,477 957,477 976,626 1,015,691 1,015,691 Total Power Supply Expense $ 7,844,232 $ 7,859,449 $ 8,031,651 $ 8,365,309 $ 8,377,631 Distribution Electric -Distribution $ 3,500,018 $ 3,587,519 $ 3,677,207 $ 3,769,137 $ 3,863,365 Total Distribution Expense $ 3,500,018 $ 3,587,519 $ 3,677,207 $ 3,769,137 $ 3,863,365 Other Operating Expenses (Revenues) Admin -Conservation $ 739,153 $ 757,631 $ 776,572 $ 795,987 $ 815,886 Electric -Supply (non BPA) 97,990 100,440 102,951 105,525 108,163 Franchise Fee 1,472,671 1,476,518 1,480,277 1,483,415 1,486,556 Allocations Central Ser~~ice -Power Supply (non BPA) 385,060 394,687 404,554 414,668 425,034 Central Ser~~ice -Distribution 857,095 878,522 900,485 922,997 946,072 Use of Facilities Charge -Distribution 133,250 136,581 139,996 143,496 147,083 Technology Debt -Distribution 541,300 541,300 541,300 541,300 541,300 Depreciation Expense 313,406 325,406 349,406 373,406 397,406 Total Other Operating Expenses $ 4,539,924 $ 4,611,085 $ 4,695,541 $ 4,780,793 $ 4,867,500 Total Operating Expenses $ 15,884,175 $ 16,058,053 $ 16,404,398 $ 16,915,239 $ 17,108,497 Operating Income $ (861,179) $ (991,725) $ (1,295,515) $ (1,769,941) $ (1,926,635) Power supply costs from 2018 - 2022 are based on Ashland's current charges adjusted for system growth factors and inflation. load Data Load data is one of the most critical components of a cost of service study. Information from the billing statistics were used to determine the usage patterns of each customer class after reconciling revenues with financial statements to ensure a good basis for development of the study. Annual Projection Assumptions The kWh sales forecast is based on FY2016 actual adjusted for 0.0625% growth. Table 14 details growth, inflation of expenses, changes in purchase power costs and interest earned on investments. City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 16 ~ • ~ 1 Utility Financial Solutions, LLC Table 14 -Projection Annual Escalation Factors 2018- 2022 Purchase Purchase Fiscal Power Power Investment Year Inflation Growth Change Transmission Income 2018 2.5% 0.2% 6.0% 4.0% 0.5% 2019 2.5% 0.2% 0.0% 0.0% 0.5% 2020 2.5% 0.2% 2.0% 2.0% 0.5% 2021 2.5% 0.2% 4.0% 4.0% 0.5% 2022 2.5% 0.2% 0.0% 0.0% 0.5% System Loss Factors losses occurring from the transmission and distribution of electricity can vary from year to year depending upon weather and system loading. Revenue Forecast The revenue forecast was based on FY2016 usages adjusted for growth rate assumptions. City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 17 ~'1~ Utility Financial Solutions, LLC 6. Recommendations and Additional Information INe recommend that the utility move toward cost of service for each customer class. The study indicates rate adjustments are needed to meet minimum cash and operating income targets. To ensure the utility meets financial targets and remains financially stable, the rate track identified in should be considered: Table 15 -Recommended Rate Adjustments 2018- 2022 Projected Adjusted Target Fiscal Rate Projected Projected Operating Operating Projected Cash Recommended Year Adjustments Expenses Revenues Income Income Balances Minimum Cash 2018 6.90% $15,983,993 $ 16,021,174 $ 37,181 $ 514,397 $ 1,061,170 $ 3,050,128 2019 2..'S% 16,200,713 16,496,007 295,294 534,255 1,064,512 3,097,882 2020 2.; 5% 16,591,249 16,983,654 392,404 554,100 1,189,252 3,160,751 2021 2.75% 17,147,575 17,478,199 330,623 573,946 1,277,106 3,244,012 2022 2.75% 17,387,713 17,986,935 599,222 593,807 1,658,269 3,266,806 The cost of service study identified some customer classes are subsidizing other customer classes. We recommend Ashland moves toward cost of service using a bandwidth of plus or minus 2%. Using the 6.9% rate adjustment, this would result in no customer class given a rate increase greater than 8.9% and the lowest increase would be 4.9%. Table 16 identifies the cost of service charges compared with the projected current revenues for each class. Classes that indicate glower % change than the total percentage change are providing subsidy to other customer classes, conversely customer classes with a higher % change than the total percentage are receiving subsidy. Table 16 - Cost of Service Summary Results Projected Customer Class Cost of Service Revenues % Change Residential Single-Phase $ 8,343,058 $ 7,410,275 12.6% Seasonal Residential Single 75,378 60,785 24.0% Telecommunications 73,981 68,342 8.3% Outdoor Lighting 19,156 19,703 -2.8% Commercial Service Single Phase 1,907,280 1,720,561 10.9% Commercial Service Three Phase 3,333,918 3,168,263 5.2% Governmental Service Single Phase 132,089 100,297 31.7% Governmental Service Three Phase 475,225 438,354 8.4% Municipal Service Single Phase 151,481 122,475 23.7% Municipal Service Three Phase 440,310 479,332 -8.1% Governmental Large Service 890,057 877,970 1.4% Total $ 15,841,934 $ 14,466,358 9.5% City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 18 ~'1~ Utility Financial Solutions, LLC Ashland may consider movements in the customer charges to move toward cost of service based customer charges to help ensure fixed distribution charges are collected in the customer charge. Table 17 compares the total cost of service monthly customer charges with the current charges. By charging cost of service rates for the monthly charge Ashland reduces it risk associated with power usage fluctuations due to weather etc. Table 17 -Customer Charge Comparison Current Average Customer COS Monthly Customer Class Charge Charge Residential Single-Phase $ 9.62 $ 14.09 Seasonal Residential Single 9.62 16.50 Telecommunications 17.23 19.45 Commercial Service Single Phase 20.29 43.46 Commercial Service Three Phase 49.95 103.90 Governmental Service Single Phan 17.23 51.68 Governmental Service Three Phan 101.01 155.98 Municipal Service Single Phase 18.79 58.97 Municipal Service Three Phase 54.72 127.75 Governmental Large Service 2,639.36 1,635.79 City of Ashland Electric Department Cost of Service & Electric Unbundling Study Page 19 Utility Financial Solutions 185 Sun Meadow Ct. Holland, MI 49424 Phone: 616-393-9722 Fax: 616-393-9721 Accountant's Compilation Report Governing Body City of Ashland Electric Department The accompanying forecasted statements of revenues and expenses of the City of Ashland Electric Department (utility) were compiled for the year ending December 31, 2018 in accordance with guidelines established by the American Institute of Certified Public Accountants. The purpose of this report is to assist management in forecasting revenue requirements and determining the cost to service each customer class. This report should not be used for any other purpose. A compilation is limited to presenting, in the form of a forecast; information represented by management and does not include evaluation of support for any assumptions used in projecting revenue requirements. We have not audited the forecast and, accordingly, do not express an opinion or any other form of assurance on the statements or assumptions accompanying this report. Differences between forecasted and actual results will occur since some assumptions may not materialize and events and circumstances may occur that were not anticipated. Some of these variations may be material. Utility Financial Solutions has no responsibility to update this report after the date of this report. This report is intended for information and use by the governing body and management for the purposes stated above. This report is not intended to be used by anyone except the specified parties. UTILITY FINANCIAL SOLUTIONS Mark Beauchamp, CPA, CMA, MBA Holland, MI October 2016 ' iness Meetin Council Bus Public Hearing to Consider Increasing Water, Wastewater and Storm Title: Drain Utility Rates From: Michael R. Faught Public Works Director mike.faught@ashland.or.us Summary: This is a public hearing to consider rate increases for water, sewer and storm drain fees. The proposed rate increases include a 4.5% water rate increase across-the-board, a 5% wastewater rate increase across-the-board and a 2.4% storm drain fee increase. If adopted these increases would cost a typical residence an additional $4.70 per month: $2.45 for water, $2.14 for wastewater and $.l 1 for storm drain. The system fees collected would be used to support maintenance, operations and capital expenditures to fund maintenance and to maintain regulatory compliance. If approved, the new rates will become effective July 1, 201.7. Actions, Options, or Potential Motions: Move approval of resolutions titled, "A resolution adopting a storm drain utility fee schedule pursuant to Ashland Municipal Code Section 4.27.050 and repealing Resolution 2016-07" and "A resolution revising rates for water service pursuant to Ashland Municipal Code Section 14.04.030 and repealing Resolution 2016-09" and "A resolution revising rates for wastewater (sewer) service pursuant to Ashland Municipal Code Section 14.08.035 and repealing Resolution 2016-08." Staff Recommendation: Staff recommends Council approve the attached resolutions raising water rates 4.5%, raising wastewater rates increase 5% and the storm water fee effective July 1, 2017. Resource Requirements: These rate increase have been incorporated into the proposed FY 2018-19 Biennium budget. Policies, Plans and Goals Supported: N/A Background and Additional Information: Water Fund Proposed Rate Increase The proposed 4.5% water rate increase is as projected by the recent water cost of service study. While the first year is on target it's important to note that the out years increase slightly from the cost of service study. This is due to the increase in personnel costs. The plan outlines $30.5 Page 1 of 3 C 1 T Y O F SHLAN million in capital projects to ensure compliance with all regulatory requirements and meet Ashland's current and future water system demands. Water Fund Annual Costs and Revenue RATE STUDY ANNUAti CASTS 2017 UPDATED ANNUA[_ COSTS $12,0OO,OC!0 CRATE STUDY REVEN{!E 201i UPDATE RATES REVENUE $10,0OO,OC10 4.00% 4.00% 4.00% 4.50% 2017 Update o _-_.w.m,~....~,~, $B,OOO,OC)0 4.50% Rate increases ~ n $6,0OO,OC30 Rate Study $4,0OO,OC10 Rate Increases 4.50% 3.50% 3,50% 3,50% 3.50% $2,000,000 t~0 T 2010-17 2017-18 2018-19 2019-20 2020-21 2021-22 Fiscal Year Crass cif Service St~~dy iv~laster Plan r~rciectio~ 568 ~ $66.78 S~~ ,,x$65.52 $64.21 5~~; ~-..,563.60 ~ ~ ~ s, ~6? ~ $61.74 Sb1.78 ~ ~ 59.87 ~ ~ ~~n $59.3 ~ , 558.17 E S5S $56.83 E $56.07 ~ i> $54.3fi ~ F ~ ~ ~ E 5~0 2017 2018 7.019 2020 2021 2022 If approved, the proposed 4.5% water rate increase will be effective July 1, 2017. Adopting the proposed water rate increase ensures adequate revenue streams to fund the capital projects and day-to-day operations as outlined in the plan. Some examples of the water capital Page2of3 CITY OF S H LAN projects include; the new 2.5 mgd water plant, new 2.6 mg Reservoir and Clearwell (Crowson II), Piping the TID ditch, etc. Wastewater Fund Proposed Rate Increase The proposed 5% wastewater rate increase is less than projected in the adopted Wastewater Master Plan. The plan outlines $10.8 million in high priority capital projects to ensure compliance with all regulatory requirements and meet Ashland's current and future wastewater system demands. Annual C~sCs Annul Revenue $10,0OO,OizO S9,OOO,Oi)0 $~,000,0~70 ~w,. $7,QOO,Oi)0 $6,000,0{a0 2017 Update Rate Increases 5.00% 5.00% 4.00% 3.00% 2.5090 $ 5,000,0+~0 $4,000,0~J0 $3,000,0+30 52 000 0+ ;0 Sewer Master Plan Rate Increases 10.009'0 5.009/ 5.00% $1,000,000 ?0 2017 201 2019 2020 2021 2022 Fisca! Year If approved, the proposed 5% wastewater rate increase will be effective July 1, 2017. Adopting the proposed wastewater rate increase ensures adequate revenue streams to fund the capital projects and day-to-day operations as outlined in the plan. Some examples of the wastewater capital projects include; effluent outfall relocation and Bear Creek shading; a new oxidation ditch at the treatment plant; new sewer capacity pipes that parallel Bear Creek; and pipe replacement projects. Attachments: Resolution regarding Storm Drain Fee Resolution regarding Water Rates Resolution regarding Wastewater Rates Additional Links: 1. Adopted Water Cost of Service Study may be viewed online Master Plan documents maybe viewed online at: http•//w~~v ashland or us/SIB/tiles/2012%20CWMP-Carollo(1).pdf 2. The adopted Wastewater Master Plan may be viewed online at: httpalw~~~u~.ashland.or.uslPage.asp`?NavID=14696 Page3of3 CITY OF SHLAN RESOLUTION N0.2017- A RESOLUTION ADOPTING A STORM DRAIN UTILITY FEE SCHEDULE PURSUANT TO ASHLAND MUNICIPAL CODE SECTION 4.27.050 AND REPEALING RESOLUTION 2016-07. THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTION 1. The "Storm Drain Utility Fee Schedule," marked "Exhibit A" and attached to this Resolution, is adopted as the Storm Drain Utility fee incorporating a 2.4% rate increase effective July 1, 2017. SECTION 2.One copy of this Resolution and "Exhibit A" shall be maintained in the office of the City Recorder and shall be available for public inspection during regular business hours. SECTION 3. The Fees adopted pursuant to this Resolution shall be effective July 1, 2017. SECTION 4. Resolution 2016-07 is repealed on the effective date of this Resolution. SECTION 5. The fees imposed by this Resolution are classified as not subj ect to the limits of Section 1 l b of Article XI of the Oregon Constitution (Ballot Measure No. 5). This resolution was read by title only in accordance with Ashland Municipal Code §2.04.090 duly PASSED and ADOPTED this day of , 2017. Barbara Christensen, City Recorder SIGNED and APPROVED this day of , 2017. John Stromberg, Mayor Reviewed as to form: David Lohman, City Attorney Page 1 of 1 Exhibit A City of Ashland STORM DRAINAGE UTILITY FEES WITHIN THE CITY LIMITS RESOLUTION 2017• Effective Date, July 1, 2017 Current 2.4% rate increase Storm Drainage Fee effective 7101116 effective 7101117 Unit A. Single Family $ 4.64 $ 4.75 Per month B. Condominium,1-9Units 1.99 2,04 Per month per unit C. Multi-Family,1-9Units 1.99 2,04 Per month per unit D, Mobile Home & Trailer,1-9Units 1.99 2.04 Per month per unit E. All other uses not classified above 1.54 1,58 Per 1,000 square feet impervious area F. Minimum charge per account 4.64 4.75 Per month NOTE: Users with in the Downtown Overlay District shall be charged on the same basis as elsewhere within the city. The minimum fee per month for any commercial account is: $ 4.64 $ 4.75 RESOLUTION N0.2017- A RESOLUTION REVISING RATES FOR WATER SERVICE PURSUANT TO ASHLAND MUNICIPAL CODE SECTION 14.04.030 AND REPEALING RESOLUTION 2016-09. THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTION 1. The water rate charges and rates as shown on the water rate schedule attached as Exhibit "A" shall be effective for actual or estimated consumption on or after July 1, 2017. Prorated calculations are permitted for any bills prepared for a partial month or billing period that overlaps the effective date of this Resolution. Miscellaneous Charges and Connection Fees established by previous resolutions remain in effect until revised by separate Council Action. SECTION 2. Copies of this resolution shall be maintained in the Office of the City Recorder. SECTION 3. Classification of the fee. The fees specified in Section 1 and Section 2 of this resolution are classified as not subj ect to the limits of Section 11 b of Article XI of the Oregon Constitution (Ballot Measure 5). SECTION 4. Resolution 2016-09 is repealed. This resolution was duly PASSED and ADOPTED this day of , 2017, and the effective date is July 1, 2017 upon signing by the Mayor. Barbara Christensen, City Recorder SIGNED and APPROVED this day of , 2017. John Stromberg, Mayor Reviewed as to form: David Lohman, City Attorney Page 1 of 1 City of Ashland, Oregon WATER SERVICE All water service provided by the City of Ashland shall be in accordance with Chapter 14.04 of the Ashland Municipal Code. Billing: The minimum monthly charge shall be the sum of the Customer Charge; Meter Charge; plus Quantity Charge, if applicable; and Miscellaneous Charges, if applicable. Billing shall occur monthly with charges due and payable upon receipt. Customer Charge: A single customer charge is applied to each water account regardless of the number of metered water services. Customer Char e, per account Jul 2016 'Jul -2017 Per month $ 11.74 $ 12.27 Meter Charge: The meter charge applies to all metered water services and does not include any water consumption. Meter Char a per meter Jul 2016 Ju1y2017: 0.75" and Fire Guard meters $ 13.75 $ 14.37 1" meter $ 14.34 $ 14.99 1.5" meter $ 65.61 $ 68.56 2" meter $ 104.27 $ 108.96 3" meter $ 209.08 $ 218.49 4" meter $ 331.60 $ 346.52 6" meter $ 652.47 $ 681.83 8" meter $ 1,034.38 $ 1,080.93 Quantity Charge: All customers will be charged the following rates per cubic foot of water used. Residential, per dwelling unit July 201.6 Judy 2017 October - Ma 0-300 cf per c cle $ 0.0246 $ 0.0257 301 to 1,000 cf per cycle $ 0.0307 $ 0.0321 1,001 to 2,500 cf per cycle $ 0.0415 $ 0.0434 Over 2,500 cf per cycle $ 0.0537 $ 0.0561 Residential, per dwelling unit June - Se tember - 0-300 cf per cycle $ 0.0246 $ 0.0257 301 to 1,000 cf per cycle $ 0.0307 $ 0.0321 1,001 to 2,500 cf per cycle $ 0.0415 $ 0.0434 2,501 to 3,600 cf per cycle $ 0.0537 $ 0.0561 Over 3,600 cf per cycle $ 0.0691 $ 0.0722 Residential Irrigation ' July 2016 July 2017 Octoher`= Ma 0-1000 cf per cycle $ 0.0307 $ 0.0321 1,001-2500 cf per cycle $ 0.0415 $ 0.0434 over 2,500 cf per cycle $ 0.0537 $ 0.0561 Residential Irrigation June -September 0 to 1,000 cf per cycle $ 0.0307 $ 0.0321 1,001 to 2,500 cf per c cle $ 0.0415 $ 0.0434 2,501 to 3,600 cf per cycle $ 0.0537 $ 0.0561 Over 3,600 cf per c cle $ 0.0691 $ 0.0722 City of Ashland, Oregon WATER SERVICE Commercial, less than 2" meter Jul 2016 Jul :201.7 0-2,500 cf per cycle $ 0.0307 $ 0.0321 > 2,500 cf per cycle $ 0.0415 $ 0.0434 Commercial, 2" or lar er meter 0-15,000 cf per cycle $ 0.0307 $ 0.0321 > 15,000 cf per cycle $ 0.0415 $ 0.0434 Institutional overnmental and munici al Jul 2016 Jul 2017 Per cubic foot $ 0.0294 $ 0.0307 CommerciaGand Institutional frri ation Jul 2016 July 201.7 October to Ma $ 0.0331 $ 0.0346 June to September $ 0.0449 $ 0.0469 Miscellaneous Charges: TID Irrigation: TID, unmetered service 'Jul 2016 Jul 2017- Per season, per acre or portion of acre $ 183.11 $ 198.53 TID, metered service_ Meter Replacement Char a*, b meter size 0.75" meter $ 1.18 $ 1.23 1" meter $ 1.77 $ 1.85 1.5" meter $ 2.79 $ 2.92 2" meter $ 3.76 $ 3.93 3" meter $ 8.06 $ 8.42 4" meter $ 17.51 $ 18.30 6" meter $ 24.28 $ 25.37 8" meter $ 29.27 $ 30.59 Quantity Charge $ 0.0022 $ 0.0023 *Meter replacement charge is assessed each month, regardless of consumption. Fire Protection Service: Fire:.Protection Service Jul 2016 Jul 2017 Customer Charge, if applicable $ 11.74 $ 12.27 Meter Replacement Char e $ 1.18 $ 1.23 Meter Charge $ 13.75 $ 14.37 Quantity Charge $ 0.0338 $ 0.0353 Unmetered Fire Protection Service $ 13.75 $ 14.37 Bulk Water: For water provided on a temporary basis through a bulk meter on a fire hydrant, the following charges apply: Bulk Water Jul 2016 J`ul 2Q17 Deposit* $ 1,859.28 $ 1,942.95 Basic Fee $ 234.77 $ 245.33 Quantit Char e $ 0.0338 $ 0.0353 *Deposit is refundable less basic fee, quantify charge, and any damage to the city meter, valve, wrench, and/or hydrant. Outside City Limits: All rates and charges for water service provided outside the city limits will be 1.5 times the rates for water service provided within the city limits. RESOLUTION N0.2017- A RESOLUTION REVISING RATES FOR WASTEWATER (SEWER) SERVICE PURSUANT TO ASHLAND MUNICIPAL CODE SECTION 14.08.035 AND REPEALING RESOLUTION 2016-08. THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTION 1. The wastewater (sewer) rate charges and rates as shown on the wastewater (sewer) rate schedule attached as Exhibit "A" shall be effective for actual or estimated consumption on or after Ju y 1, 2017. Prorated calculations are permitted for any bills prepared for a partial month or billing period that overlaps the effective date of this Resolution. Miscellaneous Charges and Connection Fees established by previous resolutions remain in effect until revised by separate Council Action. SECTION 2. Copies of this resolution shall be maintained in the Office of the City Recorder. SECTION 3. Classification of the fee. The fees specified in Section 1 and Section 2 of this resolution are classified as not subject to the limits of Section 1 lb of Article XI of the Oregon Constituti~~n (Ballot Measure 5). SECTION 4. Resolution 2016-08 is repealed. This resolution was duly PASSED and ADOPTED this day of , 2017, and the effective date is July 1, 2017 upon signing by the Mayor. Barbara Christensen, City Recorder SIGNED and APPROVED this day of , 2017. John Stromberg, Mayor Reviewed as to form: David Lohman, city Attorney Page 1 of 1 City of Ashland, Oregon SEWER SERVICE All sewer service provided by the City of Ashland shall be in accordance with Chapter 14.08 of the Ashland Municipal Code. Sewer quantity charges shall be adjusted annually in April based on the winter water consumption for the months of January, February, and March for all customers whose quantity charge is not determined by actual consumption. No exception from these rates will be allowed for unoccupied units. Billing: The minimum monthly charge shall be the sum of the Monthly Service Charge and Quantity Charge. Billing shall occur monthly with charges due and payable upon receipt. Service Charge: Residential Jul '201fi ' Jul 201.7 Monthly Service Charge, per unit $ 29.60 $ 31.08 Quantity Charge, per cf $ 0.04416 $ 0.04637 Quantity charge is based on winter water average in excess of 400 cubic feet, per unit Quantity Charge for single family residential water accounts with no consumption during the months of January, February and March will be based on 700 cubic feet. Multi-family residential accounts are all accounts in which more than one residential dwelling is attached to the same water service and shall be assessed a Monthly Service Charge for each unit. Quantity Charge for multi-family residential water accounts with no consumption during the months of January, February and March will be based on 500 cubic feet per unit. Commercial, Industrial, and Governmental Jul 2016 Jul. -2017 Monthly Service Charge $ 30.89 $ 32.43 Quantity Charge, per cf $ 0.04903 $ 0.05148 Quanti char a is based on actual monthl consumption Mixed residential and commercial accounts will be billed as commercial. For commercial, industrial or governmental users where monthly water consumption is not measured through City water meters, the sewer rate will be established as follows: The annual water consumption will be estimated utilizing water consumption records of similar users or water consumption record of past use, if available. Quantity Charge is based on the twelve month average estimated water consumption. This rate shall be effective beginning in the month after the rate is determined until the rate schedule is amended by resolution of the City Council. Water consumption determined in this manner shall be lowered if the user can demonstrate through the use of a meter approved by the City that the actual consumption of the user is less than the estimate. City of Ashland, Oregon SEWER SERVICE Special Cases: Greenhouses, Churches, and Schools (K-12) July 2016 Ju1y2017 operating on a nine month school. year Monthl Service Char e $ 30.89 $ 32.43 Quantity Charge, per cf $ 0.04903 $ 0.05148 Quantity charge is based on winter water average in excess of 400 cubic feet Bed and Breakfasts and Ashland Parks Bathrooms July 2016 July 2017 Monthly Service Charge $ 30.89 $ 32.43 Quantity Charge, per cf $ 0.04903 $ 0.05148 Quantity charge is based on the sum of the winter water consumption Exemptions to commercial and industrial sewer rates: A: If a commercial, industrial, or governmental user can demonstrate that the volume of sewage discharged by the user is less than 50% of the water consumed, the City Administrator may adjust the quantity charge accordingly. B: Water sold through an irrigation meter is exempt from sewer charge. Sewer rates outside the city limits: A: The Monthly Service Charge shall apply to those sewer users permitted under Section 14.08.030 of the Ashland Municipal Code. B: The sewer rates for users outside the city limits shall be two times the sewer charges for inside the city limits. C: Quantity charge for metered residential accounts is based on the average winter water consumption in excess of 400 cubic feet, per unit, per month and shall be adjusted annually in April. D: Quantity charge for unmetered residential accounts will be calculated on an average winter water usage of 700 cubic feet for single family residences, and 500 cubic feet, per unit, for multi-family residences. E: Quantity charge for commercial, industrial, and governmental accounts will be based on actual monthly water consumption. ' iness Meetin Council Bus Title: Appointment to Citizen Budget Committee From: Barbara Christensen City Recorder Barbara.christensen@ashland.or.us Summa_ Council and Mayor appointment to the Citizens Budget Committee with a term ending 12/31/2018. Actions, Options, or Potential Motions: I move to approve the appointment of to the Citizens Budget Committee with a term ending 12/31/2018. Staff Recommendation: N/A Resource Requirements: NIA Policies, Plans and Goals Supported: ORS 294.336(6) If an appointed member of the budget committee is unable to complete the term, or resigns before the term is over, the governing body must appoint another elector to serve out the unexpired portion of the term. ORS 294.336(4) The appointive members of the budget committee cannot be officers, agents or employees of the local government. Spouses of officers, agents or employees of the local government are not barred from serving on the budget committee if they are qualified electors and. not themselves officers, agents or employees. Background and Additional Information: Citizen Budget Committee member Pamela Lucas submitted her resignation which created one vacancy on this committee. The position was advertised on the city website and in the local newspaper with a deadline for applications of April 26. Five applications were received from Tonya Graham, Pauleen Miller, James Nagel, Michael Pavlik and Peter Schultz. Attachments: Applications Page 1 of 1 C 1 T Y O F SHLAN c~T~ a~ APPLICATION PQR APPClIl~'IMENT TtJ CITY COMMISSIONICOMMITT~L Please type or print answers to the following questions and submit to the City Recorder at City Hall, 20~ E Main Street, or email chzxsteb(, ashland.or.us: If you have any questions, please feel free to contact the City Recorder at 485-5307. Attach additional sheets i~ neCeS5~,ry. Name: Tonga Graham Requesting to serve on: Budget Committee Address 2007 Mae Street Ashland, OR 87520 Occupation Executive I~irectar Leos Institute Phone: Home 54l .488.Ib88 work 541.778.0718 cell) Email: tonyagraham89~a gmail.cam Fax: None t. Education Background what schools have you attended? Occidental College, Southern Oregon University, Northland College, Goddard College What degrees do you hold? B.S, in Biophysical Environmental Studies (Northland College}, MA in Community Development Goddard College} what additional training or education have you had chat would apply to this position? I have attended a variety of accounting, financial management, and budgeting training workshops to prepare myself to manage the finances of a nonprofit organization. Related Experience What prior work experience have you had that would help you if you were appainted~ta this position? X have been a nonprofit Executive Director for 15 years. In that position, I am responsible far budgeting and managing the organization's finances so that we can make the most effective use of the financial resources at our disposal. This involves accurately projecting revenues and expenses and having an intimate understanding of the budgeting process so that adjustments. can be made as the budget year unfolds: My experience has taught me that budgets are management tools rather than stafic calculations. It is impar tans to nail down revenues and expenses that can be accurately calculated, make the very best judgment possible regarding line items that are difficult to control or predict, and ensure that the financial management process moves step by step with the budgeting process so that smart adjustments can be made when necessary. ~ am very fond of numbers and I Tike to fmd creative ways to move priorities forward within the constraints of a tight budget. Looking at an organization through the lens of theix budget shows what that organization values in a different way than what you see if you just read their plans. Do you feel it would be advantageous for you to have further training in this f eld, such as attending conferences or seminars? why? It is always advantageous to continue to be trained and to learn from peers in any endeavor - professional or civic. If I am named to the Committee, I will study the Local Budgeting Manual posted on the website regarding the budget process and review minutes from past Co~nxnittee meetings to ground myself in the discussions that have led to the budget decisions that have been made to date. I will also avail myself of other resources recommended by Committee members, while I do not believe I need additional training to step into this tale beyond orienting myself to a city specific budgetary process, if an appropriate conference or online network is available, I will consider going if I think it will bring needed additional skills or ideas to my work on the Committee. 3. Int~, erects why are you applying far this position? I am interested ~ serving the City of Ashland in ways that make use of my skills and experience. I have an intuitive understanding of numbers and am experienced in the tradeoffs that must happen in any effort to achieve large goals with limited resources, so I believe serving on the Budget Committee is one of the ways that I can contribute something of real value to my community. I know many people for whom serving on a Budget Committee would be like climbing into the third ring of hell. But that is not how I feel about it. I like budgeting processes and serving on the Committee is interesting to me, so I think it could be a good fit that~would allow me to contribute and provide the Cifiy with a valuable perspective. 4. Availabili Are you available ~to attend special meetings, in addition to the regularly scheduled meetings? Do you prefer day ar evening meetings? I prefer late afternoon or evening meetings over meetings scheduled in the middle of the work day, but I do have some flexibility if workday meetings need~to happen from time to time. I am willing to attend special meetings as needed and will be available for them as long as I am part of the scheduling process. I da have one conflict with the posted meetings online in that I will not~be in town for the May 1 I meeting date. All others~are clear in nay calendar. 5. Additi~IlalInformation How long have you lived in this community? 20 years Please use the space below to summarize any additional qualifications you have for this position. I have led and participated in many committees in my professional and civic life. These experiences have taught me how to work well with diverse people, disagree respectfully, and participate in meetings in ways that help keep them moving efficiently. I am experienced at strategic and tactical planning and the budgeting processes that turn long- termplans into achieved reality. Thank you for considering my application to serve on the Budget Committee. ~ r Date ~ Signature CITY ~F ~~LAND APPLICATION FOb APPOINTMENT TO CITY COMMISSION/COMMITTEE Please type ar print answers to the following questions and submit to the City Recorder at City Hall, 20 E Main Street, or email ehri~teb ii asl~~~nd.~r.us. If you have any questions, please feel free to contact the City Recorder at 488-5307. Attach additional sheets if necessary. Name ~ Re uestin 7 to serve on: Commissio Committee) q g ( .4 Address ~ t~ccupation ~ ~i~:~. w~~~~~~. y~~~ , Phone: Home ~ ~ ~ _ , Work - ' i ~ ~ cj 1V1 h ! nfi Email -i~~l 1 Fax ~ 4 j 1. Education Background ~ ~ ; ~ ~ ~ What schools have you attended`? ~ ~V. ~ ~ y What degrees do you hold? r ~ What additional training or education have you had that would apply to this position ~f ~ d ~ yid ~ ~ ~,'P' i"~ Z, belated Ex erience What prior work experience have you had that would help you if you were appointed to this position? V 1. j l 9 1 Do you feel ~t would he advantageous for you to have further training in this field, such as attending conferences or seminars? Why? { ; ~1 G-~r ~ v { ..,q i ~ r ~ /~r 3. Interests ~Vhy are you applying for this position? ~ ~ j ~f j ~,'~.J~ ~~'4f ` f~'~ r/ r.,,. ~ ~ r4`. i.~' E~r'J ~ Es ~ r 'i i.'L c:;:~~ e~ > ~a~ J ~~~~,,,'yyyrr~,.~` " I; •7 1w~ 8 ~ j~ ~f ~ .ire i #.n~ 1"yjF~,^'' ~ ~ ~ } T{ fi 4. Availability Are you available to attend special meetings, in addition to the regularly scheduled meetings? Do you prefer day or evening meetings"? ~ ' ~ ~ V d ~ ry } 5. Additionallnformation How lon ~ have ou lived in this communit ? ~ ~ ~ ~ g Y Y Please use the space below to summarize any additional qualifications you have for this position ~ ^ ~ r ~ ~ fi jj ? Jj ,rr~ r J~ ) Date Signature N~ Pauleen Miller E-Mail: pr~rockcanyoncreek.com Tel: 541.414.7488 Experienced, goal-oriented team player in executive management with the demonstrated ability to carry out GAAP and achieve goals. Excellent communication skills in solving problems and motivating personnel while creating productive and cohesive work groups. PROFESSIONAL EXPERIENCE Natura Health Products, Ashland, Oregon Feb 2012 -Present Chief Operating Officer /Chief Financial Officer Key member of the Executive Management team. Oversee the overall operations and financial management of the company. Chief authority over company operations and financial matters including budgets, forecasts, inventory, purchasing, cash flow, expenditures, borrowing, reserves, appropriations and forecasting. Key areas of Responsibilities • Assess organizational performance against both the annual budget, and company's short and long-term strategy. • Develop tools and systems to provide critical financial and operational information to the CEO and make actionable recommendations on both strategy and operations. • Engage the board, CEO, President, or investment committees around issues, trends, and changes in the operating model(s) and operational delivery. Assist in establishing yearly objectives and and selecting and engaging outside consultants (auditors, accountants, investment advisors, attorneys). • Serve as a member of executive leadership team. • Provide Management with advice on the implications of business activities and develop processes to strategically enhance financial performance. • Responsible for development and execution of key decisions pertaining to strategic initiatives, operating model and operational execution. • Produce, maintain and oversee financial reporting; Financial statements, budgets and forecasts. Provide analysis of financial results and develop operational and/or financial recommendations (strategic and tactical). • Develop and execute analysis of various business activities (e.g., opening new operations, asset acquisition, new product launches, change in operations, etc.) and make strategic recommendations thereof. Develop financial portion of yearly Board package. • Oversee cash flow planning, oversee cash and investments. Ensure availability of funds as needed. Oversee financing strategies and activities, as well as banking relationships. Page 2 of 4 Pauleen Miller • Develop and utilize forward-looking, predictive models and activity-based financial analyses to provide insight into the organization's operations and business plans. • Approve company payables and expenditures. • Participate incorporate policy development as a member of the executive management team. • Engage the board of directors to develop short-, medium-,and long-term financial plans and projections. • Represent the company to financial partners, including financial institutions, investors, foundation executives, auditors, public officials, etc. • Ensure effective internal controls and procedures are in place to safeguard company assets and comply with regulatory laws and regulations. • Coordinate audits and proper filing of tax returns. • Serve as final point of escalation for all operational matters. • Manage company insurance programs. Review, analyze and recommend on implementation or changes to employee benefits programs. • Manage the company's real estate affairs consisting of leases, sub-leases, and assist in the negotiation thereof. The Mederi Foundation, Ashland, Oregon June 2012 -Present Administrative Officer Member of the Executive Management team reporting to the Executive Director, President and Board Members. Primary responsibilities for planning, implementing, managing, and controlling all financial reporting and company operations. • As a true business partner to the Executive Director and President, assess organizational performance against both the annual budget and company's short and long-term strategy. • Develop tools and systems to provide critical financial and operational information to the Executive Director and make actionable recommendations on both strategy and operations. • Engage the board, Executive Director, President, or investment committees around issues, trends, and changes in the operating model(s) and operational delivery. • Assist in establishing yearly objectives and meeting agendas, and selecting and engaging outside consultants (auditors, accountants, investment advisors). • Provide Management with advice on the financial implications of business activities and develop processes to strategically enhance financial performance. • Participate in key decisions pertaining to strategic initiatives, operating model and operational execution. • Produce, maintain and oversee financial reporting; financial statements, budgets and forecasts. • Provide analysis of financial results and develop operational and/or financial recommendations (strategic and tactical). • Develop and execute analysis of various business activities (e.g., opening new operations, asset acquisition, new product launches, change in operations, etc.) and make strategic recommendations. Page3of4 Pauleen L. Miller • Assist in development offinancial planning and analysis exercises/reports. • Develop financial portion of yearly Board package. Rock Creek Consulting Group, LLC. Ashland, California June 2009 -Present Owner - Specializing in Accounting, CFO/C00 & Tax services for small torrid-size companies. Providing custom tailored accounting services to meet specific business needs. Some examples of the services provided include: • Accounts Payable -Enter and audit accounts payable invoices to ensure accuracy and proper classification. Prepare checks. Quarterly "cleanup" to ensure vendors are classified and recorded properly, and have a W-9 on file (if applicable). • Accounts Receivable -Invoice customers, Generate Monthly statements and manage cc►Ilections (if necessary) ,post payments received, maintain customer files. • Full Service Payroll -Process Payroll, Direct Deposit, Process DE-6 Reports, prepare and process payroll taxes and filings, manage employee records, track employee loans. • Banking -Bank Reconciliations and transfers. • Financial Statements -Prepare monthly profit and loss statements and balance sheet, prepare budgets and forecasts, provide custom financial reports tailored to your specific needs and industry. Monthly, Quarterly & Year-End reviews. • Tax Preparation -Income tax preparation. Property Tax Statements (571-L), Prepare Quarterly Sales Tax Returns (BOE-401), Prepare BOE E-Waste (Recycle Fee) returns, Prepare Federal and State payroll payments and filings, Prepare DE-88 Quarterly Wage Reports, Process 1099's and 1096 reports, Process Yearly W-2's. • QuickBooks Support -Certified Quick Books Pro Advisor. • HR Support - Development of company handbooks and HR policies. • Consulting Services - C00, CFO consulting. Help clients develop departmental written procedures and protocols. Develop custom financial analysis tools specific to the client's needs. ANDERSON'S TV, Redwood City, California January 2000 -June 2009 Controller - Retailer of consumer home electronics and fine furniture. Annual sales over $30 million with four retail stores located throughout the greater Bay Area and a service department. • Prepared all financial data including monthly financial statements, budgets, and forecasts. • Prepared 1099's, sales tax returns, e-Waste returns & property tax statements. • Generated and provided sales and statistical data to officers and key personnel. • Supervised and audited accounts payable, accounts receivable, payroll, and data entry to ensure accuracy and efficiency. Page 4 of 4 Pauleen Miller • ADP payroll processing for 78 employees which included hourly and commission personnel. • Supervised retail and service operations in all locations throughout the Bay Area. • Handled all employee health and benefit plans including 401K and profit sharing. ATHERTON APPLIANCE, Redwood City, California May 2007 -September 2010 Contract Accountant - Retailer of consumer appliances with annual sales over $2 million • Prepare all financial statements and budgets . • Prepare and enter all journal entries into Atherton's computer system. • Reconcile operating and payroll accounts. Audit general ledger including balance sheet accounts, payroll and sales tax returns, and 1099's. • Provide general assistance in all aspects of accounting (A/P, A/R, P/R, and point of sale) ALL WEST CONTAINER CO., South San Francisco, California February 1994 -December 1999 Controller, Corporate Officer -Corrugated Manufacturing Company • Prepare monthly financial statements, which included auditing general ledger. • Supervised accounting staff of four people in accounts payable, accounts receivable and payroll. • Established credit lines for all new vendors. Handled all collection accounts, complaints, discrepancies and bankruptcies. ~ Prepared DE-88 Quarterly Wage Reports,1099's, and sales tax returns. • Processed all Workman's Compensation claims and prepared all OSHA reports. • Maintained and allocated costs for estimating system to ensure correct levels of pricing. EDUCATION - WESTERN GOVERNORS UNIVERSITY, 2010-2013 Bachelor of Science -Accounting GOLDEN GATE UNIVERSITY, 2015- present Masters in Taxation -Graduation date Fall 2017 BUSINESS SOFTWARE APPLICATIONS - QuickBooks ,ADP , Paychex, Ovation Payroll, (retail software), Miva Merchant Ecommerce, Excel, Word, Outlook, Adobe Acrobat Professional, Adobe Photoshop, Constant Contact, FileZilla, Power Point, WebEx, Go to Assist. CERTIFICATIONS -Intuit QuickBooks ProAdvisor Certification (2009- Present) ~ ~ w~ ri:,t.•t ~'i:'s E'C~ ~~.1"a~. 1~t i~Il~ :~1~..~.~'~L'~ -~;4~ ~Xl ,~~f#i:;~ :ft~4,~~~t~)i3~~ tl~~`~~~'tY't'r ~~~l1~:: v, . ,uric°~,`~~t~ F'' ~ 4~~s~~rr~rr~~=,,~.~~~ ~~.,'~~C~~rtit~': i C s,- _ 4.6~c i `'.,,5 t ~i Yf°, ' ~..S~re 4s~~«r rs`rr ~>ii ~.t, i. x:~«S rte, h. (f~i ` r"~r~ Off $:.w~ c`5"r ~7,}i~i.J i{~Et £'~~sS ti~.i ii`14'i~. ~ jj(( r ~~i ~ i-s{ 6i4~g~ ~ ~W~ l.~i ~J ~ 9 : t# ~ j ,nw.e~.r.r.. E~ ~`y+~ rt[pr `n~3~ "r~yt ~p'~,r ~ ,,E : -'~yt r+ '?'~•E ~ }y, ty f ~ r.k ~ pr s ! tt ~A~~.1i t~si~'61 i~. ~'E+tsi i}7,icl~w Ea.~.s«{.i i. ~i;J _ s. ..Lassa 13r3#i ~.~i-a{ 1~.. is'.~S 4~r~s#.r ~b `dt. ft~~ (':1'€. 1`'<~< ;L:'~:+.~ ":.1`~t. ~<~11 It~ls~ af.:! ~"r' 11~i~ Ts~:~~~ ~~=tf tf a.:i . f.t~,'`a. ~~3~»r~~'~~t~ ,=°a r,E . . l~:~`I 11 ,~.1~~.Pl~ ~~'=~~I ~35:~,:~W~3~~~> •kti :.:i~ lt~~`i~'~:r tt.~..~.. t~.~ 13C~'c~.;~s~:~t ...,q ~ aka.. t . ( ~ ......a....~~... x~. r~~a'1~~f~i~~" _r- - p t Y'.~ tl~r:,#{~aae{~,`t9``i ~}}a~~.~~~~ 11{{~YY.}'~: tlu(.`~. ~~~1:6~~~1. E t:a~ ~~.:~&~:x '~w~L€".1.~1~.«1 ~1l Lt .£~y ~fi4 ~~a ~•tt.41 ~ulil ^5 ~I£ f. lgtli€I trf ~~3~i.i~ b3,~~` - .~ciu:~ ~n~v~tu~lxra~ t y ~ ~ ' k{?€tt ►I.~sC. 4t-~ Ci~ri,~t tti`.~~~~µ , ~,4; ~tt. S~r~Y ~i.i~L ,.Y =K isw r~~i~l:,~Y {~,t yia}9A~i1 of ;l_4r ii~«Y t+i'.cY ~,a Si, ~l.i a'~3~E ft,~.hk1.:~.5'4 c 4~:.~. ..~9 Y4 i1~ .✓4Y. iR. tr£/Sih t'z. E t k.~~' s-~ ' _ J 1 . ~,tTY C]F APPLICATION FOR APPOINTMENT TO CITY COMMISSION/COMMITTEE Please type or print answers to the following questions and submit to the City Recorder at City Hall, 20 E Main Street, or email christeb cr,ashland.or.us. If you have any questions, please feel free to contact the City Recorder at 488-5307. Attach additional sheets if necessary. Name Michael Steven Pavlik Requesting to serve on: Budget (Commission/Committee Address 2375 Greenmeadows Way, Ashland, OR 97520 Occlzpation Retired CPA Phone: Home 541-292-1110 Work Email michael.pavlik1967@gmail,com Fax 1. ~:ducation Background What schools have you attended? San dose State University and University of Santa Clara What degrees do you hold? Bachelor of Science in Business Administration with an emphasis in accounting What additional training or education have you had that would apply to this position? Certified Public Accountant licensed in California and Oregon 2. kelated Experience What prior work experience have you had that would help you if you were appointed to this position? have over 45 years experience as an accountant including governmental audit experience. I was also the elected City Treasurer for the City of Yreka for three terms. I was appointed by the governor of California to the Siskiyou County Fair Board where I served as treasurer. I was elected to the Yreka Union High School Board where I served as chairperson of the budget committee. Do you feel it would be advantageous for you to have further training in this field, such as attending conferences or seminars? Why? It would be advantages to have further training. The budget and diversity of programs is much larger in Ashland than in my prior experience. In California, you do not have the opportunity to determine tax rates. 3. Interests Why are you applying for this position? I served in the Yreka community for over 40 years. have wanted to get involved in the Ashland community since moving here six years ago. Dave Runkel recently mentioned this opportunity to me. I believe I would be a valuable contributor to the budget comma ee ase on my ac group an wou ove an oppo uni y o serve. 4. Availabili Are you available to attend special meetings, in addition to the regularly scheduled meetings? Do you prefer day or evening meetings? I am available for special meetings. have no preference today or evening meetings. 5. Additional Information How long have you lived in this community? Six and a half years Please use the space below to summarize any additional qualifications you have for this position April 25, 2017 Michael S. Pavlik Date Signature } APPLICATION FOR APPOINTMENT TO CITY COMMISSION/COMMITTEE Please type or print answers to the following questions and submit to the City Recorder at City Hall, 20 E Main Street, or email christeb@ashland.or.uschristeb~a~ashland.or.us. If you have any questions, please feel free to contact the City Recorder at 488-5307. Attach additional sheets if necessary. Name_Peter Schultz Requesting to serve on: _The Budget Committee (CommissionlCommittee Address_375 East Nevada Street Ashland Oregon 97520 Occupation Financial Publisher/Writer Phone;. Home_Mobile 5419514989 .work 541482 2300 email peer@cashflowheaven.com Fax 541, 482 9505 1. Education Background What schools have you attended? Southern Oregon State College what degrees do you hold? BA Business What additional training or education have you had that would apply to this position? None 2. Related Experience what prior work experience have you had that would help you if you were appointed to this position? I founded a financial education company in 1999 that continues successfully to this day. As a business owner we've had to budget our finances every year and. have never had a negative year in our 18 years in business. In that time I've learned to assess the consequences of each decision and outcome--and have learned many important lessons over the years. Do you feel it would be advantageous for you to have further training in this field, such as attending conferences or seminars? why? Yes I do. I am an options trading educator and writer--not an accountant. I feel that I can bring some good practical experience to the position, but not necessarily the technical side of budgeting. So any ongoing education in that eld would be helpful. i f 3. Interests why are you applying for this position? I want to know more about how the city is run and what our opportunities and challenges are. Since virtually everything the city does runs through the budget committee, and since budgets tend to dictate what opportunities are available to us as a community, this seems like a good strategic place to make a contribution. 4. vailabilit~ Are you available to attend special meetings, in addition to the regularly scheduled meetings? Do you prefer day or evening meetings? I have flexibility in my schedule so even though I am currently running a business I can attend scheduled or special meetings, either day or night. 5. Additional Information How long have you lived in this community? Between 1977 and 1982. And then from 2001 to the present. Please use the space below to summarize any additional qualifications you have for this position The company I founded has several employees--some salaried with benefits, some hourly, and some associates that are independent contractors. All these compensation plans have to be managed in a way that sustainably benefits both the contributor and the company. So many of the challenges the City faces I also face--albeit on a much smaller scale. Plus we have costs that go as high as a quarter million dollars for some items like marketing--so costs have to be rigorously managed or we get into trouble quickly. I am also currently serving on the managing committee for the Ashland Boy Scouts Troop 112 (the oldest Troop in Oregon}. The Scout Troop also has a budget that needs to be managed in a way that insures the Troop will continue on in a financially healthy manner. I'd like to put some of that experience to work in a way that benefits our community. ~~~5-2..~~~ Date Signature Council Busin ' ess Meet~n Title: Discussion to Rescind Council vote on April 18, 2017 From: John Karns for Councilor Seffinger Interim City Administrator John.karns@ashland.or.us Summary: This is a request by Councilor Seffinger to discussion to rescinding Council's vote of A ril 18, 2017, regarding the 2016-2017 Social Service Grant allocation recommendation. Actions, Options, or Potential Motions: Council may choose to: • Discuss rescinding the vote approving the modified Social Service Grants allocation recommendation held on April 18, 2017. ~ Do nothing. If the vote of April 18 is rescinded a new motion should be made identifying the social service grant allocations and voted on. Staff Recommendation: NIA Resource Requirements: Currently the City has set aside $135,000 in General Fund monies to provide support for Social Service organizations that serve Ashland residents. Policies, flans and Goals Supported: Goal #3: Support and empower our community partners. 3. j Support the non-profit and cultural entities in the community. Goal #5: Seek opportunities to enable all citizens to meet basic needs. 5.1 Examine means and methods by which to improve access to mental health services for Ashland citizens who need them. 5.3 Leverage partnerships with non-profit and private entities to build social equity programming. 5.4 Encourage ongoing effectiveness of the Resource Center. Goal #6: Develop and enable citizens to age in Ashland. 6.1 Support and augment existing programs. Goal #7: Keep Ashland afamily-friendly community. 7.1 Support educational and enrichment programs in the community. Background and Additional Information: After the approval of the modified Housing and Human Services Commission grant allocation recommendation on April 18, 2017, Councilor Seffinger requested that a discussion to rescind Pagelof2 CI?Y OF SHLAN the vote be held at the next Council meeting. Attachments: N/A Page2of2 CITY OF SHLAN ouncil Business Meetin C Title: Selection of Interim City Recorder From: John Karns Interim City Administrator John.karns@ashland.or.us Su~~ Barbara Christensen retired from her position as City Recorder effective April 30, 2017. The City has received three applications for the interim position as well as one letter of intent from an internal employee. Council will need to select an Interim City Recorder within 60 days of Barbara's retirement. Actions, Options, or Potential Motions: Council may appoint the Interim City Recorder from the four applicants or continue the matter for further discussion. The appointment needs to be made by July 1, 2017. A potential motion would be: "I move to appoint as Interim City Recorder". Staff Recommendation: NIA Resource Requirements: The salary and benefits for this position are in the City's budget for 2017/2019. Policies, Plans and Goals Supported: NIA Background and Additional Information: The City Recorder's position is currently an elected position by City Charter. The current term expires December 31, 2018. At the March 6, 2017, study session Council determined the process for this selection and at the Apri13.2017, study session agreed to interview the applicants. There has been interest in changing the City Recorder's position to an appointed position, as was recommended by the ad hoc City Recorder Position Committee, in order to create a more robust qualification profile and to equal the appointed status found in most Oregon cities. Staff recommends that Council schedule a future study session for further discussion, if there is interest in this change. Attachments: Applications ad hoc Committee final recommendation Pagelofl ~1TY OF SHLAN Melissa Huhtala 332 Meadow Drive Ashland, OR 97520 (541) 499-2900 I was excited to read about the current opening as City Recorder for the City of Ashland. I think you will find I am an exceptional candidate for this position. I have years with public and government based jobs. I have been the custodian of all City records for the last 6 years at the City of Talent. I am very knowledgeable in Microsoft Word, Microsoft Excel, Quickbooks, Publisher, 0365, Outlook and Laserfiche. I am familiar with most other programs and I also am great at website maintenance. My strongest assets include working with people, managing tasks, improving processes and can deal with conflict in a positive manner. I am a very quick learner and always eager to learn more. I am driven to provide high quality and valuable product. I offer exceptional attention to detail and have great communication skills. I found that with all my jobs my co-workers have become like family. I get along great with others and I think I have the personality and drive that is ready for this job. My accomplishments and qualifications are detailed in my resume. I appreciate your taking the time to review my credentials and experience. Thank you for your consideration. Sincerely, ~ ~ ~ i I Melissa Huhtala Melissa Huhtala 332 Meadow Drive Ashland, OR 97520 Phone (541) 499-2900 OBJECTIVE: To obtain the position as City Recorder ensuring team, department and organization success by providing excellent service and support. EDUCATION: Southern Oregon University 2004-2008 Ashland, OR B.A., Psychology with an emphasis in Business Administration Butte College 1998-2000 Oroville, CA Associates Degree Business Administration WORK EXPERIENCE: 2011-Current City of Talent Talent, OR City RecorderlEXecutiveAsistant to the City Manager • City's records and public documents manager. • Attend City Council Meetings and Study Sessions. Create the Council Agenda Packets. Distribute packets to the Council, Staff, post on the City website and required places around town. Setup Council Chambers, take minutes, interact with public signing up to speak, start the meeting, record the meeting, produce minutes of the meeting for Council approval and upload on the City website. • Working on completion of the Talent Municipal Code. • Notice all Commission and Committee openings on the City website. Created an orientation packet for all new appointees. Post agendas and minutes for all Commissions and Committees on the City website. Elections Officer -Manage all election items: ballot measures, create and distribute packets to applicants, meet all State deadlines and mandates, publish election information to the City website. • Records Management -Scan, file and cross index incoming documents from various City Departments. Maintain master lists of stored records, manage stored records, manage storage system and records destruction for all City Departments. Manages all public records requests. • Member of Oregon Association of Municipal Records (OAMR). • Member of International Institute of Municipal Recorders (IIMC). • Human Resources -Handle all new hire initiation courses for our insurance as well as yearly courses for each employee. Manage all City employee personnel files. • Supervise temps as they come in for various departments. • Insurance -Manage all City claims and incident reports. • Chair of the Risk Management Team -Created a Continuity of Operations Plan (COOP). Conduct quarterly meetings. • Coordinates and facilitates with RFP's and grants processes. • Chair of the Safety Committee -Conduct monthly meetings to ensure safety in each department and comply by all OSHA standards. • Volunteer Coordinator - Created a Volunteer Policy and Volunteer Waiver form. Oversee all volunteer activities in the City. • Talent Harvest Festival Chair -Conduct meetings to coordinate the Annual Talent Harvest Festival. Produce all contracts, manage all vendor and parade applicants, advertisements and sponsors. • Revamped the City website -Manage all City news, Council, Commission and Committee information. 2008 - 2011 City of Ashland Ashland, OR Administrative Assistant • Perform administrative tasks for Director of Administrative Services that include; clerical duties, follow State and Federal deadlines and mandates, work with the public, and web maintenance. Type memos, letters, Resolutions, and Ordinances. Records management and maintain all files in the Department. Notice legal items in the newspaper. Organize meetings and assist other departments and staff as needed. Create documents, booklets and reports. Place all purchase orders for the Department. Coordinate the Budget and Audit processes that entail public noticing, preparing agendas, meeting set-up, transcribing minutes, format the Budget and Audit documents. Correlating financial information and producing Budget binders, Comprehensive Annual Financial Report (CAFR) and Component Unit Financial Report (CUFR) Coordinates the Grant process; create applications, ensure applications are complete, notice the meetings in the paper and produce minutes. Distribute checks throughout the year. 2004 - 2007 Sterling Savings Bank Ashland, OR Customer Service Representative TellerlAccounts Representative Top cross selling telling in all branches. Opened numerous accounts for the branch. Trained new employees. Processed wire transfers, deposits and withdrawals. Filed signature cards and loan documents. 2002 - 2004 Siskiyou Medical Group Mount Shasta, CA Front Desk Secretary Scheduled appointments for patients. Data processed payroll and accounting invoices Trained new recruits. Answered multiple phone lines Filed and maintained all medical records 2000 - 2002. Scott Valley Bank Mount Shasta, CA TellerlNew Accounts Top cross selling teller in all branches. Opened numerous accounts for the branch. Trained new employees. . Processed wire transfers, deposits and withdrawals. i lV~arch ?0l7 ~e~te~r of Recammenda~ian~ Melissa Huhta~a 1 vas the ~`hief of polio for the pity of Talent from ?ooh to ?0 ~ 6. In X01 l assisted in selecting Melissa ~uhtala to be our ~'ity :recorder and I canducted the employment background investigation on her. Subsequently, I ~~orked ~~vith Melissa on pity business from the summer of ?Q 1 until ~ retired in April ?01.x. I found her to be an e:~ceptionally talented, organized and motivated person. These qualities seated her well from day one. Melissa came Into the jab during a bat. of upheaval in the city as the city ~~anager ~vho hired her vas unexpectedly replaced ~~rst lay an interim and. later by another manager. Melissa also had. limped opportunity to be trained by the outgoing fit}-~ Recorder. Additionally, Melissa found a key responsibility fear her positron ~~as managing the annual ~'ity sponsored arvrest Festival and the event vas coming up in ~0 days. Melissa. also lead to learn the requirements ofher position as she went along. .Melissa not only excelled at her ~~ork during this hectic first ~ months, she brought the Ievel ot~professionalism and achievement of'this position to a nev~~ height. 1Velissa has continued to develop her knau~rledge, skills and abilities throughout her tenure, strongly reco~~mend her as a potential new employee. liar additional information please contact the at ~~iken~~a~~an~1 ~~~~~,ail.co~n. ~11y4 f{ l Mike Moran thief of Police -Retired March 9, 2017 To Whom It May Concern, am pleased to write this letter of recommendation for Mrs. Melissa Huhtala. I was a city council member during her employment with City of Talent. Since 2011, I had the pleasure of working with Melissa in a variety of different capacities in her role at the city. Her title may have been City Recorder but she effectively accomplished many other duties that made her valuable to the organization and community. Melissa provided leadership in handling many efforts that were led by community members outside of city hall. She led the expansion of the only annual community event that brought 1,000 of attendees to the city. She accomplished this by managing volunteers, advocating sponsorships, and overseeing the processes in accordance to the city requirements. This was all done in addition to her regular employee duties. As a City Recorder, she demonstrated excellent management on public documents and city records. She organized the codification of Talent's Municipal Codes. She maintained a reliable relationship with elected officials and administrative staff. She met and exceeded the requirements to keep public meetings and requests incompliance with ORS and the city's charter. She was the "go-to" person for all public members who were involved with the city. In my experience as an elected official, I was very satisfied to have Melissa as the City's Recorder and the "go-to" person in administration. From the start, she put the effort and energy in being knowledgeable about the city and how to accomplish what was being asked. I am confident she is very capable of fulfilling a role as a City Recorder and in Executive Administration within city government. In my experience as an executive in management and finance, I know Melissa is a very valuable individual to have on a management team. She will represent an organization professionally. She will succeed in accomplishing the duties and make sure that her role is benefiting the team as whole. Overall, Melissa is an excellent individual to have in your organization now and for the future. Sincerely, Edwin J. (EJ) McManus, MBA Contact: 541/261-2392 March 8, 2017 To wham it may concern: Melissa Huhtala was hired as the Talent City Recorder in 2011, early in my term as Mayor. Melissa quickly oriented herself to the City and began to put some order to a public records management system that had been lacking for a number of years. Melissa's grasp of records management and her technical ability created a system that was much superior to what we had prior to her employment with the City of Talent. I appreciated the fact that I could find historical records in a timely manner. During my term as Mayor, I completely trusted Melissa to insure our meetings and public records were conducted within the scope of Oregon law. When a specific situation arose that she was not sure of, she would find the answer. can think of no instance in which she gave me or the Council erroneous advice. One of Melissa's strong point is that she is aself-starter with a strong work ethic. The City Recorder position at Talent has many other duties as assigned. Even though these extra duties took a lot of her time, I was always confident that her City Recorder duties would be done in a timely and professional manner. For elected officials navigating Public Records and Public Meeting laws and regulations is a daunting task. Failure to comply can lead to serious consequences. I so appreciated Melissa's professionalism and guidance in getting me through my term as Mayor without incident. William Cecil Former Mayor, City of Talent Lisa Witnauer 63 Mallard St. Ashland, OR 541-621-0717 lwitnauerC~yahoacom City Of Ashland Dear Hiring Team, I am writing in response to your posting for City Recorder/Treasurer. I am excited about this position because I will be able to contribute to my community by offering my skills and experience in management and accounting. I am aself-directed, dedicated and technically skilled business professional with a versatile administrative support skill set, developed through 10 years of experience in Accounting, management, payroll processing, employee orientation, workman's compensation and human resources. I am an independent thinker and problem solver, exercising sound judgment and care indecision-making with a high level of integrity and professionalism willing to go above and beyond. Currently I am the Accounting Manager for Ashland Partners & Company, LLP in Jacksonville, Oregon. I have included my resume and letters of recommendation foryour review. I look forward to hearing more about the position and the company. Thank you for your consideration. Sincerely, Lisa Witnauer LISA WITNAUER Ashland, OR 97520 541-621-0717 l~vitnauer~ayahoo.com Qualifications I am aself-directed, dedicated and technically skilled business professional with a versatile administrative support skill set, developed through 10 years of experience in Accounting, management, payroll processing, employee orientation, workman's compensation and human resources. I am an independent thinker and problem solver, exercising sound judgment and care in decision- making with ahigh level of integrity and professionalism willing to go above and beyond. Currently I am the Accounting Manager for Ashland Partners & Company, LLP in Jacksonville, Oregon. Experience Accounting Manager, Ashland Partners & Company, LLP, Jacksonville, OR. September 2016-Present • Responsibilities include oversight of all necessary day to day accounting responsibilities, including journal entries, accounts payable/ receivable, bank deposits, invoicing, and collections. • Responsible for quarterly closing and balance sheet book document retention. • Monthly auditing and reconciliation of balance sheet and profit and loss accounts. • Monthly bank reconciliation of both domestic and international bank accounts. • Responsible for quarterly financial reporting for contracted CFO so she is prepared for quarterly Partner presentations. • Responsible for processing payroll timely and accurately. • Provided the highest level of support for the annual audit. • Take pride in knowing I protect the organization's value by keeping information confidential. Accounting Manager, Big Tree Farms, Inc. Ashland, OR. June 2014-September 201 fi. • Managed all necessary day to day accounting responsibilities, including journal entries, accounts payable/ receivable, bank deposits, invoicing, collections, etc. • Implemented the integration of MYOB accounting software and Ostendo, ERP enterprise resource planning software. • Established and implement companies accounting policies and interpret guidance in regards to accounting transactions. • Responsible for the monthly close as well as maintenance of all accounting ledgers including, bank reconciliation and all revenue and expense account reconciliations • Prepared of all financial reports, including Profit and Loss Statement, Balance Sheet and Statement of Cash Flows, as well as the year-end financial reports. Produce financial reports and statements for our Indonesian entity for month and year-end consolidated reports. • Provided timely explanations of variances between actual results and forecasts/budgets; provided corrective action recommendations to management, where necessary. • Performed internal audits to reinforce proper accounting practices by other members and departments. • Responsible for hiring and managing employees in the Accounting Department. • Responsible for Human Resources, including hiring paperwork, maintaining personnel files, creating vacation holiday and sick time policy. • Processed payroll timely and accurately including wage garnishment and benefit accrual • Coordinated and completed annual audits • Drafted a~ld enforced accounting policies and procedures in connection with auditor recommendations. • Protected organization's value by keeping information confidential. Accountant/Office Manager- Skylark Assisted Living, Woollard Ipsen Management. Sept 2008 June 2014 • Worked closely with the company controller, administrator and department heads • Prepared and analyzed all monthly financial statements • Issued weekly expense tracking reports to all department managers so they can maintain their individual budgets • Responsible for the facility's accounts payable, accounts receivable, payroll, cash records and general ledger • Responsible for understanding and calculating Medicaid adjustments • Processed payroll timely and accurately including wage garnishment and benefit accrual • Filed all workman's compensation claims and follow through with EAIP subsidy requests • MaintainF~d all personnel, confidential and resident files according to retention requirements • Initiated and tracked FMLA/OFLA protected leave • Conducted employee orientation and criminal background checks (Authorized Designee) • Understands that all employee and company information must be conducted in a confidential and professional manner Owner/Operator- Bento Phoenix, Phoenix, OR. May 2005-July 2008 • Owner/Operator of a small business for over three years. • Created Menu and food cost controls. • Oversaw all daily operations and bookkeeping using QuickBooks. • Prepared monthly and year-end Profit and Loss statements and Balance Sheets. • Processed Payroll ,filed quarterly payroll taxes, filed year end taxes W-3, 940, 941 and employee W2. • Hired, trained and managed my entire staff. Education Southern Oregon University 1993-1997 -Bachelor's Degree, Art History 3.6 GPA Rogue Community College 1998-2000 -Accounting 4.0 Accounting I Accounting II Federal Taxation Key Skills Accounting, Management, Office Management, Accounts Receivables, Accounts Payable, General Ledger, ADP Payroll Processing, QuickBooks, MYOB Accounting software, ACPACC Accounting software, Ostendo ERP software, Excel, Human Resources, Workman's compensation, FMLA/OFLA Leave, Employee Orientation References Shalon Zimmerman, Human Resources Generalist, Ashland Partners & Company 541-857-8800 Frederick Schilling, Chief Brand Officer, Big Tree Farms, Inc., 541-778-3465 Mary Heckenlaible, Operations Manager, Big Tree Farms, Inc., 541-778-3468 Linda Roberson, Controller, Woollard Ipsen Management 541-773-2771 06/16/16 To Whom It May Concern: Over the course of the 2 years that Mrs. Witnauer has been employed at Big Tree Farms, she has shown unencumbered interest to learn new complex tasks that are required in our international company. Big Tree Farms operates in a fast paced business environment that requires individuals to stay focused, on task and be able to pivot quickly in order to get the job done. Lisa has continually performed while under these pressures. In her tenure at Big Tree Farms, as US Accounting Manager, her responsibilities included; managing US accounting, acting as US based point person in our first company wide audit (Mazars and Moss Adams) and HR management for the US entity. Of particular note is her acting as the point person in the US for our first company wide audit. Without having any prior experience with audits and with a daunting workload to meet deadlines, Lisa's perseverance helped accomplish this requirement. Lisa is reliable, dedicated and a driven individual with a strong desire to solve problems in accounting and ensure any issue is resolved. She is a friendly, caring individual who will do what has to be done to ensure the job gets done. Organized and diligent, Lisa quickly learned technology systems and software that were unfamiliar to her when she first started with BTF and continued to learn new systems as BTF progressed. Lisa is a hardworking, diligent accounting manager. She has my highest recommendation, and I am happy to furnish more details if you would like additional information. Sincerely, Frederick Schilling Founder/CBO Big Tree Farms M: 541-778-3465 fs@bigtreefarms.com . t ~lc~~llarc~ Ibsen I~~na~~l~~nt dune ~5, 206 Re: Personal Recommendation Lisa Witnauer To Whom ~t May Concern: Lisa Witnauer was employed by Skylark Assisted Living, LLC From September 25, 2008 until June 18, 2014. I had the privilege of being one of her supervisors during her time of employment. Lisa's title as office manager included a wide variety of job duties. Ner primary duty was bookkeeping, but included other job duties such as, administering workers compensation claims, new hire orientation and assisting operations in many other tasks. In the time Lisa worked for Skylark Assisted Living, LLC she proved to be very responsible, trustworthy, hardworking, detail orientated and a good communicator, She has a strong desire to excel in all aspects of her work. The high degree of integrity and professionalism Lisa has exhibited allowed a certain piece of mind as a supervisor in a different location, I truly enjoyed working with Lisa and hated to see it end. Please consider this a high recommendation in her ability to adapt to any career in the realm of her experience. Sincerely, tic Linda Roberson Controller Woollard Ipsen Management, LLC - ~ ~ ~ a ~ 55 N. MIJU(1faln Ave. CIA ~sr~land, ~R 97520 ~~~~`Es~:l~~~` ~aor~ss~~~~ :~~~~~;c:~s so~iaC~ r~~getc~a.com March 22, 20l 7 City Council City of Ashland 20 East Main St. Ashland, CSR 97520 Re: Cite RecorderCTreasurer Dear City Council, T was recently directed to your City RecorderCT'reasurer vacancy announcement by a good friend. Auer speaking with Barbara Christensen to learn more about the job, 1 realized that it was a diverse enough position to be bath challenging and engaging. T also concluded that my qualifications are ideal far this position. l have earned a bachelor's degree in business administration with an emphasis in accounting and graduated with honors in the major. T further enhanced my knowledge by studying far the CPA exam. After successfully passing all four sections of the e~.arn T went an to gain my experience as a municipal auditor of the second largest city in the U.S., Los Angeles. Other engagements included the LA Housing Department, Community Redevelopment Agency, Los Angeles Fire & Police Persian System, LA unified School District, LA County Beaches & T~Tarbars and LA County 'T'reasurer & Tax Collector. Through this job, T gaited a vast amount of knowledge about how the various government departments operate and integrate. As a resident oft~regon for the past six years 1 have worked as an independent accountant for several local businesses and not-for-profits. After receiving my CPA license from the Oregon Board of Accountancy it 201 !expanded my services to cover tax. Subsequently, upon client request, T registered as a l' irm to provide certified services. As my business has grown so have the expenses. Professional dues, subscriptions, peer review costs, insurance, rent, software, taxes, licensing fees and so on. 1 have moved my business out of the area to respect the non-compete agreement that 1 signed with Reid, Hanna & Johnson and have even accepted aut- of-state work. However, this has proved to ~ unsustainable. l have taken some time to assess my options for going forward with my business and I am also considering this local job opportunity as an alternate route to self-sufficiency. 1 hope that you acknowledge my qualitications for this position and consider meeting with me for an interview. Sincerely, i ~,~anca Range Enclosure i Sonia Rangel, CPA 55 N. Mountain Ave., Ashland OR 97520 Work: (541) 499-b890 • Cell: (541) 363-2365 E-mail: Sonia@rangelcpa.com PROFESSIONAL SUMMARY A bright and detail oriented CPA with combined experience in the areas of accounting, auditing, tax, and real estate. LICENSES/CERTIFICATIONS Certified Public Accountant -State of Oregon # 14092 EXPERIENCE Jan. 201 l -Present Self Employed, Medford, OR Owner Business administration Preparation of Consolidated Financial Statements • Financial statement presentation and interpretation Comparative analysis of financial data • Corporate and Individual tax return preparation Client and project management • Adherence to professional standards April 200$ -March 2010 Simpson & Simpson, Los Angeles, CA Staff Auditor • Documented processes within government departments and not- for-profit organizations for purposes of assessing internal controls and designing audit procedures. Selected sample data according to audit procedures and requested back-up documentation for review. • Audited business records to verify the accuracy of transient occupancy tax and gross receipts percentage payments due to the County of Los Angeles. • Recorded audit results and forwarded to supervisor Aug. 2006 - Apri12007 London & Co., Brentwood, CA Staff Accountant Accounting for investments • Financial statement analysis, tax projections, and forecasted cash flows for the financial management of clients in the entertainment industry • Preparation of Corporate, Estate, and Individual tax returns ~ Communication with clients, IRS, and Franchise Tax Board i Jan. 2003 -May 2005 Century 21 A-Team Real Estate Agent • Assisted clients in searching, selecting, inspecting, and purchasing a home • Coordinated with buyer, seller, lender, escrow, and title company to ensure transaction closing EDUCATION May 2005 California State University Dominguez Hills, Carson CA Bachelor of Science in Business Administration, Emphasis: Accounting (Honors in the Major) SKILLS Proficiency with Word, Excel, Fund Accounting and GASB PROFESSIONAL AFFILIATIONS American Institute of Certified Public Accountants Oregon Society of Certified Public Accountants Date: April 18, 2017 To: Mayor and Council From: Dana Smith Re: Interim City Recorder Position Mayor and Council, After a great deal of thought regarding the position of City Recorder, I have decided to ask you to consider me for this appointment. My initial hesitancy centered on the necessity of my moving from my current location dust outside the city limits into Ashland. That circumstance has recently changed, and I could now make a move to reside within city limits. My hope is that you will consider appointing me Interim City Recorder for the transition period that would have to end no later than June 30, 2017, with the contingency I reside within city limits well before that deadline. Once I met that contingency, I would satisfy the eligibility requirement to fill out the remainder of Barb Christensen's term and would promptly seek Council appointment to fill the vacancy until the next biennial election. I fully recognize, of course, that some have suggested a Charter change to make the position of City Recorder appointive rather than elective. Either way, I would continue to be interested in serving as City Recorder and would run for the position in the next biennial election if need be. I have the full support of the current City Recorder on this proposal. She has even pledged her assistance as a volunteer after her departure to help with the transition. I became a member of the Oregon Association of Municipal Recorders (OAMR) in 2016 and I am in the process of achieving certification as a municipal clerk. I think I would provide a benefit to this position as your Interim City Recorder and look forward to serving this community as I have over the past nine years. I understand the importance of the role of the City Recorder and the support this office provides. I am fully aware this request is late and understand it maybe too late for you to consider. I appreciate your consideration regardless. Thank you for your time. Sincerely, / ~ ~ 1 Y ` Dana Smith Assistant to the City Recorder i Re ort of the ad hoc Committee on the City Recorder Position p Recommendations tothe CityCouncil January 7, 2016 INTRODUCTION Following a January, 2015, discussion of department head compensation, the Council requested a study session discussion of City Recorder compensation. This was subsequently conjoined with a request from multiple councilors for a discussion of referring to the voters a charter amendment to make the City Recorder an appointed position. Following the August 31 study session, the Council requested that the mayor appoint an ad hoc committee to study the matter and make a recommendation to the Council. This committee was appointed at the September 15, 2015 business meeting, with the following members: • Councilor Stefani Seffinger (chair) Barbara Christensen, city recorder Dave Kanner, city administrator Pam Lucas, Budget Committee member • Brian Almquist, former city administrator The committee met three times in October, November and December, 2015. Though she provided extremely valuable input at the first meeting, Ms. Christensen excused herself from the second meeting and preferred the role of liaison to the ad hoc Committee. Please note that the ad hoc committee recommends that its proposed changes to the city recorder position not take effect until the current city recorder's term expires. The ad hoc committee also wishes to acknowledge the excellent work the current city recorder has provided to the citizens of Ashland. RECOMMENDATIONS The ad hoc committee recommends to the Council that the City would be best served if this position became an appointed position for the following reasons: 1. The city has been fortunate in having qualified candidates elected to this position in the past. There is no guarantee that this will be the case in the future, particularly in light of the pay and benefits and the fact that there are no minimum qualifications for the position. If this position is appointed, qualifications for the position and a selection process can be established to ensure having the best qualified person in the position. 2. The city recorder is an administrative position that makes administrative decisions. Administrative positions should be filled based on the knowledge, skills and abilities of the candidates who apply. 3. As an elected position, only registered voters of the City of Ashland are eligible to hold the position. This limits the number of qualified candidates for this position. As an elected position with a four year term, candidates may not pursue certification as a municipal clerk or Page 1 of 2 advanced training in this area. Better qualified candidates maybe attracted if the position is appointed and has the potential of being a career option. 4. The city recorder position would better fit in with the city management structure if the position were appointed. 5. Work schedule, duties and coordination with other City functions would be more flexible and would be better managed within the administrative structure of city government. 6. The committee feels City government will be just as transparent and open with an appointed recorder as it is with an elected recorder. Changing the recorder to an appointed position requires voter approval of a charter amendment. Although it has been common practice for Ashland to refer charter amendments in primary and general elections, this is probably done for reasons of cost. A charter amendment can be referred to any election, including a special election if called for by the Council. Further recommendations 1. The committee recommends that the hiring and selection process be handled administratively with the selected candidate appointed by the mayor with approval by the city council. 2. A formal outline (or job description) of duties and qualifications for the city recorder position should be developed. 3. Wording changes for the charter amendment will be developed by City Attorney Dave Lohman. 4. The committee recommends submitting this to the voters in the May 2016 primary election. Given the significance of this change, the City should refer this to a vote in ahigh-turnout election. However, if referred in November 2016, the issue stands to be lost in the crush of the many other items (including the many ballot measures) that are sure to be on that ballot. 5. Regardless of whether the position remains elected or becomes appointed, the committee recommends that the Ashland Municipal Code, Chapter 2.08, be amended to remove from the recorder's duties those functions that more properly belong in other departments. If the position remains elected, the committee recommends a charter amendment to remove outdated language and duties in the charter and address minimum qualifications and salary structure. Page 2 of 2 Council Business Meetin Title: Downtown Parking Management Strategy From: Michael R. Faught Public Works Director mike.faught@ashland.or. us Summary: The Downtown Parking Management & Circulation Ad-Hoc Advisory Committee is recommending City Council approve the Draft Downtown Strategic Parking Management Plan. Actions, Options, or Potential Motions: Move to approve the Downtown Strategic Parking Management Plan as submitted. Staff Recommendation: Staff recommends Council approve the draft Parking Management Plan and to fund the new staff Parking Coordinator positon when funds become available. Resource Requirements: The parking program has $370,085 dedicated to the program and additional revenue for parking fees and fines are estimated to generate $486,000 in FY 2017/18 and $493,000 in FY 2018/19. However, those funds are already allocated (the costs below are part of the current parking program and part of the beginning General Fund Balance) in the proposed biennium budget. Therefore, an additional $248,000 in new revenue in the FY 2018/19 biennium budgets is required to implement the proposed program which includes a new Parking Coordinator position and expanding enforcement with Diamond Parking. The existing budget includes: Current Parking Program FY 17/18 FY 18/19 Diamond Parking $ 145,000 $ 150,000 Faci I ity Maintenance $ 60,000 $ 60,000 $ 205,000 $ 210,000 The estimated cost to staff the proposed Parking Coordinator position and expand enforcement (through Diamond Parking) is as follows: Pagelof5 CITY OF 5H LAN I i'~TTERSt}!di S7 ~i CITY OF . _ ~ SN LAN D .a ~ ~ ~ ~ ~ ~ ~ ~ , Downtown Public Parkin r ~ ~ ~ A~ ~ Da+vnia~a~n Study Area ~ ~ a . ~ ~ Public Parking Lots Public Lw •2 hr ~ ®Public Lot hr . i ►n~t _ . ~ ~ ~ Pub! eLot - ~I ed A ~ ~ ~ ~ ~Sr ~ Parking Garage-pa~i 0 ~ ZONING t~ ~ `9 p ' L'1 y ~ n wVl ~ W~` ~ h4.1 Y ~ R-2 ~t ~ R-3 R R a~ ~ ~ ~ ~ ~ i. (Above: expanded enforcement area) Expanding Parking Program FY 17/18 FY 18/19 Biennium Expand Enforcement Area (Diamond Contract) $ - $ 52,000 Misc(officesupplies,vehcile) $ 8,000 $ 9,000 Parking Coordinator $ 105,000 $ 115,500 Admin Fee $ 26,500 $ 32,300 $ 139,500 $ 208,800 Additional Revunefor Expanded enforcement $ 100,000 Net Cost for Expanded Parking Program $ 139,500 $ 108,800 $ 248,300 Net Budget If approved $ 344,500 $ 418,800 Policies, Plans and Goals Supported: 21. Be proactive in using best practices in infrastructure management and modernization. 21.1 Complete downtown parking management and traffic circulation plan. Page2of5 CITY OF SHLAN I Background and Additional Information: The adopted 2012 Transportation System Plan identified the Downtown Parking and Multi- Modal Circulations study as a high priority project (0-5) years. To that end, the City Council appointed the Downtown Parking Management and Multi-modal Circulation Advisory Committee at its November 5, 2013, business meeting. Committee membership includes ex officio members from the Chamber, trucking industry and city staff. In addition, l3 voting members were appointed (2 from the Chamber board, 2 Planning Commissioners, 2 Transportation Commissioners, and 7 stakeholders from the downtown area). Stakeholders include: merchants/business owners-managers, property owners, downtown residents, OSF, PioneerlA Street, FourthlA Street, and one citizen at large. With the help of Rick Williams Consulting, the committee was able to develop a long term downtown strategic parking management plan. They held monthly meetings and received a lot of public input throughout the process (which included large a community meeting December 1, 2016 to ensure the draft plan would fit our community objectives. Minutes for this committee can be found at: litt~ll~~~-~~tiv.ashland.or.us/Agendas.asp?CCBID=241. On February 1, 2017 the Downtown Parking Management & Circulation Ad-Hoc Advisory Committee moved to forward the proposed Downtown Strategic Parking Management Plan to the City Council. Draft Parking Plan Summary: The first primary component of the plan is Guiding Themes and Principles which include the City's role and coordination, priority customers, active capacity management, information systems (supply & customer based) and integration with other modes. The proposed phase 1(0-18 months) action strategies include: 1. Formalize the guiding themes and principles as policies for downtown access within the parking and transportation system plan; 2. Adopt the 85% rule as the optimum occupancy standard for measuring performance of the parking supply and triggering specific management strategies and rate ranges ; 3. Establish a Downtown Parking and Transportation Fund as a mechanism to direct funds derived from parking into a dedicated fund; 4. Centralize Parking Management. Consolidate the management and administration of parking management within a single division for Parking Services; 5. Develop a job description and submit a service package to create and hire a position of Downtown Parking Coordinator for the City of Ashland; 6. Establish a Downtown Parking Advisory Committee (DPAC) consisting of downtown stakeholders to assist in program implementation and review; 7. Develop a reasonable schedule of data collection to better assess performance of downtown parking; 8. Identify off street shared use opportunities and feasibilities based on data findings in Strategy #7, Establish goals for transitioning employees, begin outreach to opportunity sites, negotiate agreements, and assign employees to facilities (see Downtown Ashland Parking Utilization map on next page); Page 3 of 5 CITY O F SHLAN ~ . a ~ ~ ~ ~ ~ ~ r ~ ~ ~ ~ ~ ; 64,r(y e ~ ~ ! ~ ~ L ~ ~ "1~~ .......r•^:s. x ~ ' ~ ~ ~~r ~ o w t~ . fi fir; o i R'. n F ~1 ~ r1.11 ~1 ~ EY ~ 6 ry t.. ~ ,p v ~ ~ & a J x e~ s;r ~ ~ ate. ` Y. ~ r ~ ~ ~k; g , h a ~ ; < ~ ~t~w { ~ ~ ~ • ~ i ` ~ y! ik a p.. s 7M y ~r` 9f 9 ~ a~ ` ~ 4 N i. ~ ~ ~~6 ` , n ' ' ~ v ~ if ~ ' ~ r v ~ 4 ~r ~ s ^n „ w► ~ r ~ ~ ~ ~ - ~ ~ ~ ~ y~~ ~ ~ ~ ~ ~ , , ~ ~ r ~ "r~ ~ , 2- c;yvy,+p,Af ',fir'."~ '~zt%' I,~l, P'`,- m ~ Stt~~y ~r~a b~~r~~iary ~~r~~n ~~~~~~~ti~r~ ~ 3,~~ - 4;#~ PSI Peak I~au~ RICK WI~LIA~lS C0~5~Jt~1`I~ Page4of5 CITY OF SHLAN I Phase 218-36 months: 9. Create a critical path timeline to a new parking brand that can be utilized at all City- ownedlots and shared supplies and in parking marketing/communications; 10. Simplify on-street time stays. Consider incorporation of new brandllogo into on-street signage per input derived in Strategy 9; 11. Deploy new off street signage package; 12. Expand the bike parking network to create connections between parking and downtown to encourage employee bike commute trips and draw customers to downtown businesses; 13. Evaluate and pursue on-street pricing in high occupancy areas (85%); 14. Solicit firms to establish wayfinding and dynamic signage systems in the public right of way integrated with the off street system using City parking brand developed in Strategy #9; 15. Deploy wayfinding system as developed in Strategy 14; 16. Implement on-street pricing; 17. Explore expanding access capacity -new parking supply and/or transit/shuttle options; 18. Develop cost forecasts for preferred parking supply and shuttleltransit system options; 19. Explore and develop funding options; 20. Initiate new capacity expansion. Attachments: Draft Downtown Parking Management Strategy Page5of5 CITE' OF S H LAN i 1 j 1 ~ 1 1 ~ ! • ~ ~ ~ ~ ~ ~ • i • j / 1 ~ 1 is-,eta " ~Y` a ~ : ~ ~ r °w s { ~ M~.s i$~ P, f :H RICK WILLIAMS CONSULTING Parking & Transportati on i Table of Contents Section I: Background 2 Section II: The Role of Parking in Downtown 3 Section III: Plan Organization 4 Section IU: Guiding Themes and Principles 5 Section U: Recommended Downtown Parking Management Strategies ............................................10 Section UI: Summary 39 APPENDIX A. ACTIONS & IMPLEMENTATION SCHEDULE Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan i CITY OF ASHLAND: DOWNTOWN STRATEGIC PARKING MANAGEMENT PLAN I. BACKGROUND In 2013, the City of Ashland commissioned a study to evaluate the state of parking in the downtown. The study was conducted by Community Planning Workshop and the University of Oregon, and analyzed use, occupancy, and demand for customer and employee parking throughout the downtown, and developed an initial set of recommended strategies and programs.1 The project study area is illustrated in Figure A. Figure A The City subsequently determined ProjectStudyArea that developinga moretargeted ~ ~ ~ _ n~ ~ ~ ASHLAND parking plan for the downtown core " - ~ Downrown Puhlk Parl~ing~ would be beneficial, both as a guide ~ a 4~ ~ - to daily management and as a ~ ~ ~ ~ ~ ~~nt~nstudvarea PuWsc Parking Eon template for future decision- ~ ~ _~'Put:NCLd rn, ~ ~r Q Pvt;drc Ld .1 hr +r Pu61x ld - Unlttnled making. To this end, the City ~ ~ry, a gs_ ~P~~~~P~ engaged Rick Williams Consulting to ~'~4,f ~ ~ ~ ~ ~ ~ ~ ~ z~i~~ work with its Downtown Parking ~ ~ . ~ ~ Gs ~ ~ ®E.~a J~ ¢ cr M-1 Management and Circulation Ad ~ F~ ~ _ R., a~~ Hoc Advisory Committee to compile ~ ~ aR_, ~ ~ ~ R~-~ a complete, simple, and effective ~ ~ - ~ ~ ~ ~ ~ ~ set of operating strategies for ~ ~ x management of the City's downtown parking supply. The Advisory Committee includes representatives of the business and development sectors, citizens, City staff, City Commissions, and the City Council. The study entailed in-depth discussions with the Advisory Committee and other community stakeholders to develop a comprehensive parking management plan that responds to the unique access environment, goals, and objectives of Downtown Ashland. This was coupled with an evaluation of planned multimodal projects in the downtown core and existing parking policies, standards, and actual usage.Z The parking management plan and its development process are summarized in this report. 1 See: Ashland Downtown Parking Management and Multi-Modal Circulation Plan -October 2014, (Community Planning Workshop and the University of Oregon). Z Usage data was derived from two sources: (1) Ashland Downtown Parking Management and Multi-Modal Circulation Plan (October2014J and (2) Off-street usage data collected by Rick Williams Consulting (August 2015). Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I II. THE ROLE OF PARKING IN DOWNTOWN A successful downtown has a clear sense of place, and comprises an exciting and attractive mix of uses and amenities. The role of parking is to support the realization of this vision. Simply put, people do not come downtown to park. ~ They come to experience an environment that is unique, active, and diverse. A well-managed parking system helps make it safe, easy, and convenient for them to do so. .M Discussions with stakeholders resulted in a number of desired outcomes for ~ - ' parking management. Parking management in downtown Ashland should: ' • Support a "messy vitality" by creating a vital, active, and interesting downtown environment. • Get the right parker to the right stall. • Assure convenient, affordable, and available parking for visitors and customers. • Ensure that parking in a district is managed to meet the needs of its priority users. • Ensure reasonable and safe parking for employees. • Communicate a clear sense of movement to parking options. • Provide for an integrated system on and off-street (parking & pedestrians). • Integrate alternative modes, particularly biking. • Anticipate and respond to increasing demand for access to the downtown. Parking is just one tool in a downtown's economic development toolbox, and must be managed to ensure an effective, efficient system of access that caters to the needs of priority users. In the case of downtown Ashland, the priority user for the City-owned parking system has been identified as the customer and visitor. The Advisory Committee concluded that the objective of parking management in downtown should be: "To support the development of a vibrant, growing, and attractive destination for shopping, entertainment, recreation, living, and working. The components of this plan need to be simple and intuitive for the user, providing an understandable system that is affordable, safe, secure, and well-integrated into other access options (i.e., transit, bike and walk)." Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I III. PLAN ORGANIZATION The strategies outlined below are intended to spark discussion between the City of Ashland and downtown stakeholders on policies and actions that will support a vital and growing downtown. We begin with a set of Guiding Themes and Principles developed by the Advisory Committee and designed to serve as a framework for decision-making. The principles encourage the use of parking resources to support economic development goals and to effectively serve the diversity of customers and visitors using the downtown (see Section IV). Following this list, recommended parking management strategies are presented as a series of steps intended to follow a logical progression, with each action providing the groundwork necessary for subsequent actions. Steps are divided into policy actions and operations, and further categorized as specific action strategies intended to be carried out in two phases that range from immediate to long- term (see Section V and Appendix A). As the City and its partners consider these strategies, discussion of the "who, what, and how" of implementation will be essential, and it may be determined that strategies should be reordered or implemented concurrently. Such refinements will be based on opportunities and challenges that arise, momentum, resource identification, and broader community input. The plan presented here is a template for a new approach to parking and multi-modal management in downtown Ashland, and changes and refinements can be expected. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I IV. GUIDING THEMES AND PRINCIPLES The development of Guiding Principles for parking in downtown Ashland supports creation of a parking system that facilitates and f.~~}fir r~ 1=~ ~ ~i ,.F, contributes to a vital and rowin downtown. Guilin Princi les ~t~~f~~~ ' ~z, ~s are based on the premise that growth and development in the ~ ~P ~ downtown will require an integrated and comprehensive package ~ ~ , of strategies to support economic development and redevelopment. The ensuing parking plan becomes but one critical element of a larger coordinated package for economic growth. The results of stakeholder input can be summarized as five Guiding Themes comprising seventeen Guiding Principles. Ideally, these will establish a basis for consensus and provide near -and long-term direction for parking management in the downtown. A. CITY ROLE AND COORDINATION 1) Centralize management of public parking to ensure optimal use of the supply. Parking issues are too complex and widespread for status quo approaches to management. The City needs to provide more focused, coordinated, and strategic attention to daily management and delivery ofnear- and long-term parking solutions. 2) Coordinate parking in a manner that supports the unique character of emerging downtown districts and neighborhoods. -Where appropriate, manage parking by zone. The downtown comprises several unique economic enclaves (e.g., the core, the theater district, the railroad area). As the areas differ economically, so too do the character and needs of their patrons. This may require a management approach tailored to each area, known as management by parking zone. 3) Ensure that a representative body of affected private and public constituents from within downtown routinely informs decision-making. Active participation by those affected guarantees an understanding of and consensus on parking management and the "trigger" points for decision-making built into the parking plan. This is best accomplished through an established parking advisory committee that reviews performance, serves as a sounding board for issues, and acts as a liaison to the broader stakeholder community. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan i 4) Create a sense of security at all times, on-street and off-street. Public off-street lots should be maintained so as to not deter users due to poor design, pavement quality, or perceived security issues. Safe and well-lit links between parking areas and shopping, entertainment, and work sites should be planned for and provided. B. PRIORITY CUSTOMER 1) The on-street parking system is a finite resource and will be managed to provide a rate of turnover that supports "district" vitality. Most users of the downtown favor on-street parking. The parking management plan recognizes this premium on-street parking resource needs to be managed to provide a rate of customer and visitor turnover that supports downtown and district vitality. With this principle comes the recognition that growth in downtown parking demand will, over the longer term, need to be accommodated inoff-street locations. Longer-term patron and employee parking must be managed so as not to conflict with customer parking, particularly on-street. On-street parking must be managed according to demand and time-stays conducive to customer need. 2) The most convenient on-street parking will be preserved for the priority user - as defined by base zoning in the affected district. The on-street parking system in the downtown must be formatted in a manner that assures turnover and minimized conflicts between the priority user and other users. Ashland will use base zoning in parking districts (e.g., commercial versus residential) to facilitate and support reasonable definitions of priority users. 3) Provide sufficient parking to meet employee demand, specifically in conjunction with other reasonable travel mode options. All parking strategies should be coordinated with transportation demand management goals and objectives to ensure that employees and customers have reasonable options available for access. For downtown Ashland, this should be initiated with efforts to encourage bicycling to the downtown, with longer term goals for transit/shuttles and ridesharing. This effort should be pursued as a partnership between the City and private sector businesses. Rick Williams Consulting - City of Ashland, OR ~ Strategic Parking Management Plan I C. ACTIVE CAPACITY MANAGEMENT 1) Manage the public parking system using the 85% Occupancy Standard to inform and guide decision-making. The 85% Rule is an operating principle for coordinating parking supply. When occupancies routinely reach 85% during peak periods, more intensive and aggressive parking management strategies are called for to assist patrons in finding available parking. The 85% Rule will facilitate reasonable and effective decisions regarding time stays, enforcement, and other decisions related to capacity management. 2) Supplies in excess of the 85% Occupancy Standard will require best practice strategies to minimize parking constraints. Several strategies identified in the plan are triggered by the 85% Rule. The City and the Advisory Committee are committed to moving forward with recommended strategies when parking demand requires them. Changes to the status quo can be difficult, but continued constraints in parking and access will adversely impact the downtown's success and ability to absorb growth. 3) Encourage shared parking in areas where parking is underutilized. This will require an active partnership with owners of private parking supplies. Numerous parking facilities in some downtown locations are underutilized. Efforts should be made to facilitate shared use agreements between different users (public and private) to direct parking demand into these facilities, in order to maximize existing parking resources. 4) Capacity will be created through strategic management of existing supplies, reasonable enforcement, leveraging parking with alternative modes, and new supply. Active effort must be made to manage the parking system on a daily basis. This will require partnerships with the private sector to leverage existing off-street supplies and to coordinate management in a manner that supports the development and growth of alternative modes. New parking supply becomes more feasible when all capacity options are maximized. Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I D. INFORMATION SYSTEMS SUPPLY gc CUSTOMER-BASED) Supply-based 1) Use performance measurements and reporting to ensure Guiding Principles are achieved. Committing to a routine and objective system of measurement and reporting ensures that decision-making will be informed. Key metrics include occupancy, turnover, average duration of stay, rate of violation, and customer input. Performance monitoring also provides a basis for routine evaluation of program effectiveness. Customer-based 2) Improve existing, and create new, information and educational resources (outreach, education, maps, websites, etc.) for use by the public and private sectors. Efforts to improve understanding, awareness, and ease of use of the parking and access system should be upgraded. A clear schedule should be maintained for the dissemination of information. This could be coordinated through a partnership between the City and a downtown business association. 3) Develop and implement a unique and creative wayfinding system for the downtown that links parking assets and provides directional guidance, preferably under a common brandf logo. Parking resources should be clearly identified and explained through branding and signage, increasing understanding ofhow toaccess on-and off-street parking resources. A common brand that unifies marketing materials, signage systems, and other communications simplifies customer recognition and use of the system. E. INTEGRATION WITH OTHER MODES 1) Encourage and facilitate increasing percentages of use, particularly by employees, of alternative travel modes to free up parking capacity. Parking should not be the only access option for employees. Every parking stall occupied by an employee means a lower rate of turnover and less access for customers and visitors. Employees should be given reasonable access to parking, but encouraged to use alternative modes that include walking, biking, transit, and ridesharing. If Ashland develops a strong system of alternative mode options for employees, these will then become options for residents, visitors, and customers. Rick Williams Consulting - City of Ashland, OR ~ Strategic Parking Management Plan I 2) Increase bike parking on and off-street to enhance the broader bicycle network. The City of Ashland's bike parking network should be as effectively formatted as the auto parking system. On-and off-street parking facilities for bicyclists are efficient and low-cost. 3) Explore remote parking locations and transit/bike connections to minimize the need for new parking structures. As the City explores new parking supply options, scenarios should include remote locations connected by transit and bike networks. Such options may be more cost-effective than structured parking and/or may be necessitated by land supply constraints in the downtown. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I V. RECOMMENDED DOWNTOWN PARKING MANAGEMENT STRATEGIES From discussions with the City and stakeholders, specific parking management strategies have been identified and are recommended for implementation. These recommendations are informed by evaluation of current policies and practices, information in the 2014 Community Planning Workshop report, and data collection inoff-street facilities conducted by RWC in August 2015. This report contains recommendations for changes in current management/organization and several near-term Action Strategies for the first 18-months of implementation (Phase 1). The timing of implementation outlined in this document assumes that Phase 1 work will formally begin in July 2016 and run through November 2017. However, some work should precede Phase 1(January-June 2016) through work with an interim Parking Work Group led by current Public Works staff. Phase 2 would begin in January 2018. However, any and all strategies can be implemented on an accelerated schedule or be reordered based on opportunity and resources. The proposed timeline is provided as a means to communicate a reasonable schedule and order of tasks. The strategies recommended in this report will assist the City in more effectively managing its downtown parking supply and preparing for future growth. They are organized as follows: • Policy and Organizational Action Strategies: Phase 1(0 -18 months) • Recommended Parking Management Strategies: Phase 1(0 -18 months) • Recommended Parking Management Strategies: Phase 2 (18 - 36+ months) A summary of all recommended Strategies is attached as an Implementation Schedule at the end of this report. A. POLICY AND ORGANIZATION ACTION STRATEGIES These elements ensure that the goals of the parking management plan can be achieved by incorporating parking system management into the City's development policy. Grounding in the Guiding Principles and application of the 85% Rule as the threshold for decision-making connect the various policy elements. Centralizing the policy recommendations within a responsible and responsive Parking Services Division ensures that the life of the parking management plan extends beyond the first round of strategy implementation. It is recommended that the Policy Recommendations be adopted and implemented in the very near term. Rick Williams Consulting - City of Ashland, OR ! Strategic Parking Management Plan I STRATEGY 1: Formalize the Guiding Themes and Principles as policies for downtown access within the parking and transportation system plan. Implementation Timeline: Immediate to Near-Term (byJuly2016) Formalizing the Guiding Principles by incorporating them into the policy element of the City's parking/transportation system plan will inform decision-making and development of future public facilities. Incorporating these principles into City policy assures the intent and purpose for parking management, established through this study, is carried out over time. Estimated Costs (STRATEGY 1): It is estimated that costs associated with this strategy would be minimal and mostly expended in efforts of existing staff to develop resolutions and ordinances through routine city planning processes. STRATEGY 2: Adopt the 85% Rule as the optimum occupancy standard for measuring performance of the parking supply and triggering specific management strategies and rate ranges. Implementation Timeline: Immediate to Near-Term (byJuly2016) In the parking industry, it is assumed that when parking exceeds 85% occupancy in the peak during peak periods, the supply becomes constrained and may not provide full and convenient access to its intended user. Once parking routinely exceeds that figure, the 85% Rule requires that strategies be implemented to bring peak period occupancies below 85%. The parking inventory for Ashland revealed that existing peak occupancies within the core are often in excess of 85% for significant periods of the day. Having the 85% Rule formalized in policy will assure that a process for evaluating and responding to parking activity is in place. Estimated Costs (STRATEGY2): It is estimated that costs associated with this strategy would be minimal and mostly expended in efforts of existing staff to develop resolutions and ordinances through routine city planning processes. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I STRATEGY 3; Establish a Downtown Parking and Transportation Fund as a mechanism to direct funds derived from parking into a dedicated fund. Implementation Timeline: Immediate to Near-Term (byJuly2016) As the supply of parking becomes constrained, it will be important to direct funds into supporting transportation and access in the downtown. This can be done with existing and/or future parking revenue, or with new revenues generated as a result of implementing this plan. The Downtown Parking Fund should be dedicated to: a. Debt service b. Parking operations c. Lot/garage maintenance d. Marketing and communications e. Transportation Demand Management programs f. New supply It is recommended that such a fund be established as soon as feasible to ensure that new revenues are appropriately directed. Estimated Costs (STRATEGY 3). It is estimated that costs associated with this strategy would be minimal and mostly expended in efforts of existing staff to develop resolutions and ordinances through routine city planning processes. STRATEGY 4: Centralize Parking Management. Consolidate the management and administration of parking management within a single division for Parking Services. Implementation Timeline: Immediate to Near-Term (by July 2016) The success of any multi-faceted parking system is dependent on administration, management, and communication of the City's parking program. This includes daily management of facilities, oversight of third-party vendors, financial accounting and reporting, marketing/communications, customer service, and strategic and capital planning, Ashland's existing administrative system for managing parking is spread across multiple departments, divisions, and commissions, which include Public Works, Community Development, Administrative Services, and Police. From a strategic management point of view there is no clear single point of responsibility for guiding the parking system in a manner that gives due diligence to the complexity of Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan i the existing system and the level of technical and response capability called for in the Parking Management Plan. Industry best practices recommend centralized management under the purview of a professional Parking Coordinator. Centralized management best supports the concept of an integrated parking system, as all elements of the parking system (off-street, on-street, enforcement, and oversight of any third-party provider) are consolidated within a single division and leadership structure. As such, administration and decision-making are structured to consider parking assets both individually and as a system. Resources can be managed in a tailored fashion where necessary and leveraged as appropriate and most efficient. It is recommended that the City begin internal discussion on restructuring parking management into a single Parking Services Division. A "downtown parking coordinator" will direct daily operation of the system, strategic implementation of policies and programs, and planning for growth. Estimated Costs (STRATEGY4): At this time, the costs associated with restructuring parking management into a single operating division are unknown. There may be efficiencies, and there may be new costs (see Strategy 5, below). It is recommended that any new costs be supported by revenues derived from the parking system. STRATEGY 5: Develop a job description and submit a service package to create and hire a position of Downtown Parking Coordinator for the City of Ashland. Implementation Timeline: Near-Term (by September 2016) A single person should be assigned to oversee and manage all aspects of parking in the downtown, providing the community a single reference point for parking management. As stated in Strategy 4, consolidating parking operations within a single department under a Downtown Parking Coordinator creates administrative and operational efficiencies and seamlessly integrates on-and off-street parking, enforcement, and long-range strategic planning. It also provides a point of accountability and assures that adopted policy is fully implemented. The process for approving this type of service addition should be completed immediately to facilitate near-term hiring or restructuring of an existing position (see discussion below related to position options). Ideally, this person will staff a representative stakeholder group (see Strategy 6) to routinely review parking activity in the downtown overall and by district. Information would be used to evaluate "action triggers" and implement appropriate strategies. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I The Downtown Parking Coordinator will, at minimum, lead in: • Coordinating and implementing all approved aspects of the Parking Management Plan. • Oversight of all personnel (City and third-party) involved in the delivery of on-street, off-street or enforcement services in downtown municipal parking resources. • Acting as liaison among businesses, users, and other agencies. • Coordinating with Administrative Services in the creation of consolidated financial reporting systems for parking. • Annual budgeting for parking services. • Oversight of any third-party management agreements for parking operations or enforcement services in City facilities. • Ensuring contract compliance by third-party parking providers. • Coordinating with relevant Departments and Divisions necessary policy and code changes approved in the Parking Management Plan. • Developing new signage and communications systems. • Developing and implementing marketing and communications programs and their on-going delivery. • Routinely assessing and recommending rate and fee adjustments based on demand dynamics. • Oversee data collection efforts as defined by policy. • Coordinating the transition to new parking revenue collection technologies necessary to implement performance-based pricing, as called for in Phase 2 ofthe Parking Management Plan. • Development of RFPs for parking services, equipment, and technology. • Coordination of review and selection of parking services, equipment, and technology providers. • Assessment of other upgrades (e.g. signage, lighting, security, maintenance, enforcement) as necessary. • Development and negotiation of contract agreements as necessary. • Developing usage tracking and reporting systems to measure and monitor program successor failure. • Troubleshooting program glitches. • Hosting and facilitating the work of a Downtown Parking Advisory Committee. Options for establishing this position include: Option A: New position/FTE Ashland could establish a new position and solicit professionals from within the parking industry. The consultant team favors this approach given the complexity of the recommendations inthe Parking Management Plan. Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan New technology, responsive demand management, financial management, communications, coordination and integration of on and off-street assets, monitoring/reporting, and community liaison functions, to name a few, will require an individual who has demonstrated, successful experience with managing multi-faceted municipal or private sector parking systems. Option B: An existing FTE & Contract Consultant This model proved successful in Ventura, California. After adoption of a comprehensive parking plan in 2008, parking control was consolidated within a smaller number of departments, with an existing City employee assigned responsibility for coordinating operations and implementation of the plan. Through the reorganization process, it was determined that internal FTE capacity was available, and existing City staff could be utilized for the new position; ensuring that there was no additional burden on the parking fund. The reorganization process also identified the need to provide training and assistance to the Parking Coordinator to elevate their skill set to a level commensurate with new programs, services, and responsibilities called for in the parking plan. To this end, the City of Ventura contracted with a professional parking and transportation consulting firm to provide ongoing training and mentoring to the new Parking Coordinator. The consultant also provided assistance in establishing reporting formats, operating protocols, organizational development, and additional implementation planning to the City. The consultant contract provided up to 20 hours per week in consulting assistance and was in place for one year following adoption of the new parking plan. The Ventura model has been very successful, and was pursued because internal staff capacity was available and engaging the consultant was seen as less of a burden on the parking fund budget. Option C Improvement of systems and protocols with existing staff There are likely improvements in efficiency, coordination, and communications that could be made within the City's existing parking operations. These could include: • Increasing the total FTE responsible for administration. • Establishing a Parking Management Work Group, facilitated by a designated parking coordinator, that routinely reviews operations, performance, occupancy, and rates, and supports responsive and strategic decision-making. • Designate a parking coordinator to oversee the work of a Parking Advisory Committee. • Consolidate reportingand performance monitoring. Though the City currently has staff involved in the downtown parking program, the existing parking management format does not have a central point of responsibility and reporting. This makes it difficult Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I for users to conveniently understand and maximize downtown parking options. This is of particular importance given the complex and dynamic nature of the parking strategies recommended in this plan. For this reason, the consultant team recommends Option A or B. Additional discussion and costing may be needed to determine which option best fits Ashland's organizational structure. Estimated Costs (STRATEGY 5): As with Strategy 4, the costs associated with the restructuring of current management responsibilities into a single operating division under the leadership of a Parking Coordinator are unknown. It is recommended that any new costs be supported by revenues derived from the parking system. STRATEGY 6: Establish a Downtown Parking Advisory Committee (DPAC) consisting of downtown stakeholders to assist in program implementation and review. Implementation Timeline: Near-Term (consistent with hiring in Strategy 5) The City should develop and approve a process through which a representative cross-section of downtown interests routinely assists the Parking Coordinator in the review and implementation of the Parking Management Plan. It is recommended that the City Council formally appoint members to the Parking Advisory Committee. The stakeholder advisory process and a Parking Advisory Committee will assist the Parking Coordinator in implementing the parking management plan, review parking issues,; and advise City Council and other decision-making bodies on strategy implementation based on adopted policy for parking management and use dynamics identified for specific parking areas. Once the Parking Coordinator is established, the process of review, evaluation, and. decision-making with the DPAC can be formally initiated. A consistent schedule of meetings should be established using this plan as a template for discussion. . Until a Parking Coordinator is hired, the City should consider a partnership with the Chamber of Commerce and the existing Downtown Parking Management and Circulation Ad Hoc Advisory Committee to form an interim Parking Work Group. This will ensure completion of the groundwork necessary to costing, scheduling, research and coordination of subsequent Phase 1 Strategies. Rick Williams Consulting -City of Ashland, OR ~ Strategic Parking Management Plan I Estimated Costs (STRATEGI' 6): There should be no additional costs associated with this recommendation if it can be initiated as a volunteer effort, hosted by the City and/or downtown business interests. Once fully implemented, the DPAC process would be part of the task portfolio of the Downtown Parking Coordinator. B. RECOMMENDED PARKING MANAGEMENT STRATEGIES: PHASE 1 This section details a range of operational enhancements that should be implemented within 18 months of Plan adoption. STRATEGY 7: Develop a reasonable schedule of data collection to better assess performance of the downtown parking supply. Implementation Timeline: Immediate (August/September 2015 -Completed) Near-Term (Spring and/or Summer 2016) Long-Term (Based on strategic schedule) A system for routine data collection will need to be established. To date, comprehensive statistical analyses of on-street parking (2014) and off-street parking (August 2015) have been completed. This has provided very good data for parking activity during the summer peak season, as well as potential shared use opportunities inoff-street surface parking facilities located in or adjacent to the project study area. Conversations with the Advisory Committee indicated that a better understanding of off-peak data would also be useful, particularly as Phase 2 issues related to pricing are considered. Objective and up-to-date data will help the City and local stakeholders make better informed decisions as the downtown grows and redevelops. The system does not need to be elaborate, but it should be consistent and routine and structured to answer relevant questions about occupancy, seasonality, turnover, duration of stay, patterns of use, and enforcement. Parking information can be collected in samples, and other measures of success can be gathered through third-party data collection and/or volunteer processes. A methodology for conducting parking inventory and data analyses is provided in Oregon Transportation & Growth Management's Parking Made Easy: A Guide to Managing Parking in four Community, most specifically Chapter 7. The guide can be found at www.oregon.gov/LCD/TGM/flocs/parkingprimerfinal71213.pdf. Data derived from these efforts can be used by the City and a future Downtown Parking Advisory Committee to inform decisions, track use, and assess success measures. It is recommended that the City: Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I a. Work with an interim Parking Work Group (see Strategy 6 above) to develop a data collection schedule to address issues raised regarding peak and non-peak parking dynamics. Given the recent completion of both on and off-street occupancy studies, additional data collection could be done through sampling rather than all-day occupancy counting. The near-term data collection schedule should be completed no later than March 31, 2016. b. Schedule and initiate anon-peak-season occupancy study for both on and off-street systems. c. Conduct inventory and occupancy analyses no less than once every 24 months. Estimated Costs (STRATEGY 7): It is estimated that a data inventory and occupancy/utilization study would range from $20,000-$30,000 if conducted by a third-party consultant. Costs can be minimized in subsequent surveys given that the inventory/database would be built and through sampling and possible use of volunteers to collect data. STRATEGY 8: Identify off-street shared use opportunities and feasibilities based on data findings in Strategy 7. Establish goals for transitioning employees, begin outreach to opportunity sites, negotiate agreements, and assign employees to facilities. Implementation Timeline: Immediate: Short-listing sites (by February 2016) Near-Term: Outreach (February -July 2016) Mid-Term: Negotiations and Assignment (August 2016 -December 2016) A data collection effort by Rick Williams Consulting examined two days of occupancy activity in August 2015 (Friday 10/21 and Saturday 10/22). The study quantified actual hourly use of these facilities over a twelve-hour period each day. Fifty-one off-street sites comprising 1,998 parking stalls were surveyed. Findings from the study revealed that many sites are significantly underutilized, with an average total of approximately 1,000 stalls empty during peak periods of the day. The opportunity to direct downtown employees into these parking facilities would have a significant impact on on-street occupancies, particularly in areas where employees are using the on-street system and thereby denying customer/visitor use ofthe on-street supply. Figure A (next page) illustrates the findings of the off- street study. Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I Figure A Peak Hour Parking Availability (Off-street Parking) ~ ~ ~ ~ ~ ~ 5~6 ~ tF ~ a IG` . ~ ~ ~d t k ~ ~~m ` ~ ~ ~ , ~ ~ ~ ~ ~ ~ „P . ~a ~ ~ wr. Ya. i ~ ~ M1 ~ ~ ~ w x ~ y~; ~ ~ a a s ~f ~ err ~ ~ } X 7/ ' 3, F aai ~ ,G~~ A-annk"",Maw"Y..""s~..w:eW'mew: ~ M ~ ~ , ~ ~ ~ 4 ~ ~ ~ R ~ ~ ti 4 a s k ' w W a. t g ~ ~ { ~ ~ t ro ' awe ~ ° ~ ~ 'rb° ~ ~ ~ ~ ~ ~ ~ q . ~ a ~ ~ ~ ~ s M - ~ ~ a ~ ~ s~ ~ yP ~ N, -v.. ~ I r' ~ ~ N6 9 ' d . , ~ °rt ~ ~ r ~ ~ ~ ~ w M a~. s , ~ ~ f x ' ~ `f ' a', 1 ~ ~ ~ 6 ~ ~ ~ - Downtown As an ~ 20~ 5 ~ 5i~dy dr~~ t~ndary Parking Utlllzat~on------ As,arxi t~c~ ° 70~ Saturday, August 22 SS~~ 3:4~ - ~t;oo PM Peak Hour Rt~i~ WI~~lAMS CON5U1.TiNG SSA Rick Williams Consulting -City of Ashland, OR ' Strategic Parking Management Plan I The interim Parking Work Group should consider the following for completion by February 2016, with later tasks transitioned to a Parking Coordinator and Downtown Parking Advisory Committee. a) Use the data from the August 2015 parking study to identify a subset of the 51 facilities surveyed that could serve as reasonable shared use "opportunity sites." Criteria for determining sites could be proximity to downtown, a meaningful supply of empty stalls, pedestrian/bike connectivity, walk distance/time, safety and security issues, etc. b) Based on the above, develop a short list of opportunity sites and identify owners. c) Establish a target goal for the number of downtown employees to transition into opportunity sites. d) Begin outreach to owners of private lots. e) Negotiate shared use agreements. f) Obtain agreements from downtown businesses to participate in employee assignment program. Estimated Costs (STRATEGYB): It is estimated that costs associated with this strategy would be minimal and mostly expended in efforts of existing staff and volunteers to review and identify opportunity sites and conduct outreach to potential private sector participants. Planning in this regard may determine that funds are needed to create incentives and/or improve the condition oflots orpedestrian/bike connections. STRATEGY 9: Create a critical path timeline to a new parking brand that can be utilized at all City-owned lots and shared supplies and in parking marketing/communications. PARK ~n Implementation Timeline: Near-Term (by December 2016) Guiding Principle D. 3 (p. 8) calls for development and implementation of "a wayfinding system for the downtown that links parking assets and provides directional guidance, preferably under a common brand or logo." The intent of this principle is to create a brand that unifies the public supply of parking and is easily communicated, both at parking sites and, ideally, through a ~ , wayfinding system located throughout the downtown and on maps, ~ websites and other communications and promotions. The linchpin of any such program is a brand. It is recommended that the City and interim Parking Work Group engage a design firm to develop an attractive and recognizable "parking brand" for use by the City of Ashland at all of its public off-street facilities, and any shared use facility that offers visitor access. The design professional would: Rick Williams Consulting -City of Ashland, OR 1 Strategic Parking Management Plan I a) Work with stakeholders and the City to create a new parking brand for Ashland. b) Develop options and assist in developing a final recommended brand/logo. c) Develop cost estimates for the creation and placement of new brand/logo signage packages at all City-owned off-street sites and shared use facilities. d) Assist in signage creation. Estimated Costs (STRATEGY 9): It is estimated that engaging a design consultant to carry out the tasks identified above would range from $15,000 - $20,000. STRATEGY 10: Simplify on-street time stays. Consider incorporation of new brandf logo into on-street signage per input derived in Strategy 9. Implementation Timeline: Near-Term (January 2017 -June 2017) Multiple time stay designations in a downtown are often Example. ~n-street confusing to customers, particularly very short-term stalls (e.g., Sprrn~fie~d, 5,15, 30 and 60 minute stalls) that do not provide an adequate c'~sT~EC~s`~«~a~~ amount of time for a typical customer visit. Implementing this ~ ~ strategy will bring understandable and consistent time stays need to downtown (e.g., core versus theater and Lithia Park). ~g H~~~ in r orated into the on- i Additionally, a new brand/logo can be cop street system as a means of integrating the on and off-street systems. This would require coordinating changes inthe on- QfF~~'~E£TSlG!~~~E street system to the branding work in Strategy 9, which would have a recommendation developed by December 2016. This ~ S~;~M ;i~ would be similar to the effort completed in Springfield, Oregon ' ~Y where a stylized P was created for the public parking system and incorporated into on and off-street signage. This is illustrated in the example to the right. The 2014 Community Planning Workshop study outlined a series of recommendations for reformatting on-street time stays throughout the downtown. This work should serve as a template for action, with refinements developed through DPAC discussion, new data, and public input.3 An initial timeline for action would be: 3 See: Ashland Downtown Parking Management and Multi-Modal Circulation Plan -October 2014, (Community Planning Workshop and the University of Oregon). Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I a) Coordinate with Strategy 9 to determine brand/logo integration into new on-street signage (July 2016 -December 2016). b) Identify/quantify changes to be made (July 2016 -December 2016) c) Initiate formatting changes (January 2017 -June 2017) - Eliminate 1-hour time stays, increase to 2 hours. - All block faces with retail/office/restaurant should be 2 hours. - Increase 4 hour stay options -assess feasibility of Residential Permits in select 4-hour zones - i.e., areas currently zoned R. - Assess supply capacity (based on data update) for feasibility ofemployee on-street permit program(s) in 4-hour parking areas (contingent on residential program). Estimated Costs (STRATEGI' 10): Based on information from other cities, estimated per unit costs for signage upgrades would be: • A standard signage package would have two poles with blade signs per block face - one at each end of the block with arrows pointing inward. Unit Costs- Signage • Only material costs are provided in these estimates. • Pole unit cost = $470 • Blade sign unit cost = $30 • Unit cost for poles ($470J include hole boring and the pole STRATEGY 11: Deploy new off-street signage package Implementation Timeline: Near-Term (January 2017 -June 2017) The new brand/logo developed in Strategy 9 would be incorporated into new signage packages to be placed at all City-owned public facilities. This would create a uniform and easily identifiable look for public parking, setting the foundation for future expansion of the brand into a downtown wayfinding system. Placement of the new off-street signage package should occur no later than June 2017. Estimated Costs (STRATEGY 11): The costs of the new signage system would be developed in Strategy 9. Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan STRATEGY 12: Expand bike parking network to create connections between ~ parking and the downtown to encourage employee bike commute Y , trips and draw customers to downtown businesses. j.. „ ~ ; Implementation Timeline: Near-Term (October 2016 -June 2017) ,,.E at . II K;r i pi ~ ; 9 When we talk about parking management, we're not just talking - `s;~ ~ . ~ about cars. Communities throughout Oregon support bicycling as a 1~, C key sustainable transportation strategy, and the Oregon Transportation Planning Rule requires it for new developments. Ashland has the benefit of a strong bike culture, a high number of local bike shops, and active efforts to expand the City and Example: Interior Wall Racks downtown's bike lane system. What the downtown maybe lacking is sufficient "trip-end" bike parking amenities on- ~ " street, off-street, and in private buildings. Providing adequate bicycle parking will expand the capacity of the overall parking supply downtown. It is recommended that the City expand its approach to bike ~ , parking in the downtown todeliver afour-strategy approach. . It is assumed that this approach would support current Example: Bike Corral Ashland, OR efforts to expand the City's bike lane network. This effort should begin subsequent to the hiring of the 'p Downtown Parking Coordinator (October 2016). Elements of the four-strategy approach would include: ,~~,:a ~h ~ 1 dk~ n , ~ 4 a) On-sidewalk bike parking (October 2016 -December 2016). Identify locations for added bike parking within the pedestrian amenity zones. b) Bike corrals ((October 2016 -December 2016). Identify Example: Art Rack Baker City, OR locations for additional bike corrals either in plaza areas or on-street and adjacent tohigh-traffic businesses. c) On private property (October 2016 -December 2016). Identify areas on private property for bike parking improvements, especially for employees - e.g., interior bike cages, wall rack locations, and other secure areas. d) Identify funding/incentives and install (January 2017-June 2017) -Assemble funding sources necessary toimplement a) - d). Rick Williams Consulting -City of Ashland, OE7 Strategic Parking Management Plan I Estimated Costs (STRATEGY 12) The cost of an inventory of potential bike parking locations could be incorporated into the data collection portion of Strategy 7 above. Site identification could also be done through volunteer efforts and by working with downtown stakeholders and bike advocates. Costs are likely minimal. Estimated unit costs for actual bike infrastructure: • Staple or U racks: $150 - $200 • Wall Mounted racks: $130 - $150 • Bike Corral $1,2004 • Art Rack variable based on design STRATEGY 13: Evaluate and pursue on-street pricing in high occupancy areas (85%+), Implemenfation Timeline: Near-Term (January 2017 -June 2017) Recent data collection efforts have demonstrated that the on-street system routinely exceeds the 85% occupancy standard for sustained periods during the summer months. The Advisory Committee has indicated that less is statistically known about non-peak seasons. Strategy 7 addresses the need ' for additional occupancy and use data. Given that data collection would provide updated information for multiple seasons, it is recommended that the Parking Coordinator initiate a process with the Downtown Parking Advisory Committee to evaluate transitioning the downtown on-street r parking system to paid parking. Hourly on-street occupancy data can also be used to model potential revenue hours for different rate scenarios. Revenue hours can then be integrated into an expense/revenue pro forma to objectively estimate the feasibility ofmoving to an on-street pay-to-park program. Data derived from an improved inventory database and real-time use information will allow development of an accurate feasibility model. Paid parking can support higher turnover within the system, yield higher compliance by employees directed tooff-street locations so as not to compete for on-street parking with customers and visitors, create a more reasonable value relationship between parking and alternative modes, and provide 4 Based on City of Portland, Oregon cost estimate for 6 staple racks (12 bike parking spaces), striping, bollards and installation. Rick Williams Consulting -City of Ashland, OR ~ Strategic Parking Management Plan I revenue streams necessary to support operations, marketing/communications, program delivery, and infrastructure (e.g., new capacity). Issues to examine, with supporting data, include: a) Establish Parking Enterprise Fund (Strategy 3) b) Update database (on-street counts/samples) (Strategy 7) c) Develop expense/revenue model using occupancy data to estimate financial viability of new revenue collection technology. d) Determine revenue collection technology that will best serve Ashland - Single meter vs pay station - Pay & Display vs Pay by Space e) Consider/adopt seasonal pricing, using data sets to assist f) Finalize pricing format g) Finalize time stay format and hours of operation - Consider No Limit parking in current 4 HR areas h) Solicit vendors for revenue collection technology Estimated Costs (STRATEGY 13) It is assumed here that the evaluation process would be incorporated into the routine schedule developed by the new Parking Coordinator and Downtown Parking Advisory Committee. Data collection efforts are a part of Strategy 7. General equipment costs for revenue technology are: ~ Multi-Space Meters (pay stations) $5,000 - $7,000 per unit (serving 8 -14 spaces) Single-Space Meters $500 - $700 per unit (serving one space) • Back office support Varies by system and software selected STRATEGY 14: Solicit firms to establish wayfinding and dynamic signage systems in the public right of way, integrated with the off-street system using City parking brand developed in Strategy 9. Implementation Timeline: Near-Term (January 2017 w -June 2017 ~ S Many cities brand their public parking facilities and use dynamic signage in the public right-of-way. These systems inform customers and direct them to available parking. Portland, OR, and San Jose, CA are good examples (see photo at right). Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I Dynamic signage is linked to occupancy information collected at individual or multiple parking sites, usually through loop detector/parking counter systems. This information is displayed at building entry plazas and/or at major roadway entry portals. The signs provide an address or facility name and real- timestallavailability. The most successful programs tie into a parking brand incorporated into both the on-site and right-of- way signage. This provides customers a visual cue that translates from their first encounter on the roadway to being able to conveniently identify a parking location with available parking. Dynamic signage also complements parking apps and can be linked in real time to smartphones and/or websites. The idea behind branding the Ashland system with a name, logo, and marketing is to make it immediately recognizable to the customer. An engagement with a wayfinding firm would bring an industry professional to: a. Develop a signage package that incorporates a uniform design, logo, and color scheme into all informational signage related to parking (see Strategy 9). b. Brand each off-street public facility, open to public access, with the established logo package. c. Evaluate off-street facilities for installation of real-time counter systems that link to wayfinding signage. d. Identify key entry points into the downtown for placement of informational signage. e. Conduct cost feasibility analysis. f. Establish installation schedule. Estimated Costs (STRATEGY 14) It is assumed that costing for wayfinding would be incorporated into the solicitation. STRATEGY 15: Deploy wayfinding system as developed in Strategy 14. Implementation Timeline: Near-Term (June 2017 -November 2017) Implements plan developed in Strategy 14. Estimated Costs (STRATEGY 15) Developed and approved through Strategy 14 process. Rick Williams Consulting -City of Ashland, OR ~ Strategic Parking Management Plan I C. RECOMMENDED PARKING MANAGEMENT STRATEGIES: PHASE 2 This section outlines longer-term strategies. It is anticipated that Phase 2 efforts will take place between January 2018 and June 2019. These strategies build upon and are facilitated by work completed in Phase 1(July 2016 -December 2017). Phase 2 focuses on data, capacity management, communications, capacity growth, and identification of funding sources. Any and all Phase 2 strategies can be accelerated or moderated as necessary depending on community support and consensus, opportunity, and/or funding. The City and Downtown Parking Advisory Committee may elect to reorder strategies as opportunity dictates. As with Phase 1, all strategies outlined here will require consistent and dedicated management and coordination with active participation bythe private sector. STRATEGY 16: Implement on-street pricing. Work completed in Strategies 13 -15 (Phase 1) will establish the timing for implementing on-street parking pricing. Initial steps will include outreach to potentially affected residential communities, and development of a marketing and communications plan to be rolled out in advance of on-street parking pricing. These action ste s are outlined below. ~ ~ III Step A (Strategy 16J Explore residential and employee permit programs (on-street) ~s Implementation Timeline: Synched to pricing launch date G Changes to parking management in the commercial zones of the ` downtown could cause issues related to employees seeking parking in residential areas. In anticipation of this, the City Parking Coordinator and DPAC should begin an outreach and education process to residents and businesses in adjacent neighborhoods. The purpose of this is to raise ~ awareness and understanding of programs being developed, and to begin framing possible mitigation strategies and solutions if new parking systems vis~R r. in the downtown exacerbate parking problems in neighborhoods. paRKi~ excEV~r sr z~.~ ,r.~„ The most effective strategy to manage parking in neighborhoods adjacent to commercial/retail areas is an area permit program. Residents in areas zoned Residential (R) would be issued permits that allow unlimited parking on- streetwithin the permit zone during specifically designated hours (determined through use data that would be assembled in updates per Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan Strategy 7). All other users (e.g., visitors and employees) would be limited to a time stay (e.g., 3 hours) or, if occupancy surpluses are indicated through data updates, through an additional employee permit. Adjacent neighborhoods should be allowed the option of requesting an area permit program if spillover is considered to be a problem and constraints are identified through data collection updates. The City should be prepared to respond with an already approved Area Parking Permit Zone (APPZ) program. The program would prioritize on-street parking in residentially zoned neighborhoods for residents and visitors. Employee parking permits can be introduced into approved APPZs when parking surpluses are demonstrated and priority parking is assured. To this end, and incoordination with Strategy 16, the City should: a. Develop and approve an Area Parking Permit Zone program. b. Initiate outreach/education to neighborhoods on downtown parking management plan and area parking permit concept. c. Be prepared to implement residential permit program in areas zoned R (if requested by neighborhood). d. Assess supply capacity (based on data updates) for feasibility ofemployee on-street permit program(s) in residential permit areas, contingent on establishment of an APPZ for residential use. Estimated Costs (STRATEGY 16 - Step A): There should be no additional costs associated with the outreach and policy work associated with this task, as this work would be within the ongoing responsibilities of the Parking Coordinator and the DPAC. Costs associated with delivery of an Area Parking Permit Zone program will need to be further developed. Some cities charge users forthe permit, at a rate that covers cost of management and administration. Other cities use parking revenue from the meter zone to underwrite the cost of an APPZ, viewing it as a cost of mitigation. Others use revenue from employee permits as a means to cover costs for residential permits. Any or a combination of these funding options will need to be further explored. Step B (Strategy 16J Develop amarketing /communications and new system roll out plan Implementation Timeline: Synched to pricing launch date Implementation of paid parking, a new brand/logo and new rules of use will come with many questions, which are best anticipated and proactively solicited. A clear plan for marketing and communicating the new system and its purposes, goals, and benefits will facilitate community awareness and understanding as well as acceptance if strategically addressed. The Parking Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I Coordinator and DPAC should develop a plan that incorporates any of the following elements deemed appropriate. Goal • Inform and involve the downtown business community-employers, merchants, employees, and customers-in preparing for implementation of new time limits and paid on-street parking. Approach • Enlist a subgroup of the Downtown Parking Advisory Committee to help design communications with downtown stakeholders and customers. • Engage and update the downtown business community through credible partner organizations. • Communicate with downtown customers and employees through merchants and employers. • Provide friendly, timely response to persons who have questions/problems. Materials & Tools Y • Website/updates Txoau Dow+~taym D~kir~ kr~ltmht~.at~sm • fetter to downtown '~x~~~~ ~w Ra~ova Scn.aul. ~2d3tQ► ~ ~ ~ businesses ~ _ _ _ a _ inq r. + " n i . ~ _ , . _ _ , _ . _ , , __.v _ • Fact sheet/map " _ ~ v,_ _ a _ • Presentation tools: - ~ ~ _ , _ . A , . PowerPoint, display - boards s~~. . ~ Merchant/employer ~o.~ ~ _ , packet: "Customer , _ l pMR;YVA.t Yf1i~M} 4Y "Y d4+~si9 R,..! i".'d • "•'y-,-~ =f Parking Kit" ~ ~ ~ _ ~ Varo+ 1"P4 A'I,M:ldp• ptk. M.~ ~„ARMM1+'. ~M16 Att Ae~rM1 ►1ptY dlrlf Ai,t ~li~W 4rAs J1~""~ • Point-of-purchase ~ _ _ . . customer information Sample: Pay to Park Rollout Schedule • FAQs (frequently asked Tacoma, Washington questions) • Posters • Utility bill inserts • Business cards: hotline number • Meter graphics/instructions • Pay Station demo video • New signage: permanent, temporary (samples for merchants) • List ofoff-street parking resources/rates • Bicycle options Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I • Transit options • Grace period notice • Interested parties e-mail list • Website/links • Social media: Facebook, Twitter, YouTube • Order form (for more materials) • Paid advertising Target Audiences • City policymakers (Council, Commissions, Task Forces) • City staff • Downtown Parking Advisory Committee • Police Department • Enforcement staff • Downtown merchants/employers • Downtown customers/visitors • Downtown employees • Downtown residents • Neighborhood associations • Business district associations • Chamber of Commerce • Oregon Shakespeare Festival • News media • Hard to reach audiences Communications Partners • Chamber of Commerce • Neighborhood Associations • Rogue Valley Transportation District (RTVD) • Ashland Community Development • Southern Oregon University • Major employers Community Briefings • Organize a speakers' bureau to reach interested stakeholders in their regular group meetings. Media Strategy • Seek understanding and editorial support of local media outlets (print, radio, TV) • Demonstration workshop/training session for media Rick Williams Consulting -City of Ashland, OR 1 Strategic Parking Management Plan I • Monitor local media coverage - respond as needed. Customer Support • Pay station/meter demonstrations (established in contract with selected vendor) • Customer parking cards to distribute to merchants/customers (option in contract) • Hotline: single point of contact (established in contract) • Grace period for enforcement during rollout • Protocols and service levels for handling problems, complaints (established in contract) Spokesperson(s) • City spokesperson • DPAC spokesperson • Partner organizations Estimated Costs (STRATEGY 16 - Step BJ: Costs associated with a communications and rollout plan are difficult to ascertain at this time, as such costs would be a combination of time allocated by the Parking Coordinator and DPAC as well as time provided by existing internal City public relations and information resources. Some cities have opted to employ professional third-party public outreach/communications firms and/or added certain rollout functions to the responsibilities of the selected parking revenue collection technology firm(s). Step C (Strategy 16J Initiate on-street paid parking Implementation Timeline: January 2018 (IaunchJ Work completed in Strategy 13 (Phase 1) will establish the format, type of ~ technology, and timing for implementation of this strategy. Strategy 13 is scheduled to be completed in June 2017, leaving adequate time before the beginning of Phase 2 in January 2018 to: ' a. Conduct outreach to the community (Step A) b. Develop amarketing/communications plan (Step B) c. Solicit vendor bids through an RFP process. d. Evaluate proposals. e. Award contract to preferred vendor. f. Refine budgets and expense/revenue forecast model (Strategy 7). g. Select a target launch date. Example: On- streetPay Station h. Launch. Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I Estimated Costs (STRATEGY 16 -Step C): Estimated costs for anew on-street pay-to-park system were provided in Strategy 13. They are repeated here, below. • Multi-Space Meters (pay stations) $5,000 - $7,000 per unit (serving 8 -14 spaces) • Single Space Meters $500 - $700 per unit (serving one space) • Back office support Varies by system and software selected STRATEGY 17 Explore expanding access capacity -new parking supply and/or transit/shuttle options Implementation Timeline: January -June 2018 As Ashland's downtown grows employment, residents, and visitors, existing supplies of parking and alternative mode access will need to be expanded. Adding bicycle trip capacity was discussed above in Phase 1(Strategy 12). With implementation of paid parking, and possibly area permit programs, the City should evaluate other forms of access capacity as well, including new parking supply and improved transit and/or shuttle options. These types of capacity growth require sophisticated infrastructure and are very costly. It will be important for Ashland to give adequate time and effort to determine the most beneficial and cost-effective formats for increasing the capacity of the downtown access system. ; a emu, ti ~ ~ Planning for, and finding funding for, new capacity ~ " ~ ~ istime-consuming, so focused and objective ~ ~ ~ evaluation will greatly facilitate decision-making ~ ~ ~ ~ 2 f $P before access constraints create adverse impacts on ~ ~ ~ ~ d~ ~ ~ , ~ ~ `~~o ~ ~ the downtown. ~ ~ s ~ *AI ~tp ~ ~ ~ ~ ~ ~»z 1. Identify new garage opportunity sites ~ _ ro ~ ~ ~ ~ ~ One form of new access capacity would be adding s1 ~ ~ ~ ~r~~ ~ to the current supply of parking through ~ $ r°~~~~~~ ~ ~..o , construction of a new parking garage and/or ~ creation of new surface parking supply in a location ' ~ ~ r outside the downtown and linked by transit or ~ ~ ~ . M ` ~ 7 shuttle. The consultant team conducted an x ~ ~ ~~x ~ inventory of potential off-street parking ~ ~ opportunity sites in August 2015. These sites ~ ~ " ~ b provide a starting point for evaluating potential ~~tivitto~~~nr~~h~anti aark~r~~st~,dy ~~~>i~aaa~eax~~a~~.r zo,s ■ ~r,3c~ ~w 5t~eet sat5 sites in the downtown. A map of those sites is ~~~_~~m~ t~CK WiWAMS CONSULTING ~ • Park~r~ "stA l T~ta~ provided at right. To date there has been no x ~ ~ ' evaluation of potential "remote" sites. Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I The Community Planning Workshop (2014) developed an initial database of existing parking occupancies in the downtown. Many areas of the downtown already exceed 85% occupancy in summer peak periods, and additional information on parking utilization will be developed in Phase 1(Strategy 7). Additional data should be used to evaluate parking constraints and determine whether there is a deficit of parking downtown. This data will be useful in helping to "right size" any parking facility that might be developed. It is recommended that the Parking Coordinator and DPAC initiate the following: a. Establish desired parking "need" (w/Strategies 7 & 13). b. Evaluate locations where parking is possible downtown. c. Evaluate "remote" sites that could be connected via shuttle/transit (surface lot option). d. Evaluate public/private partnerships to develop supply. e. Coordinate site evaluation with Community Development. f. Coordinate with Ashland Chamber of Commerce, particularly through contacts with potential site partners in the private sector. g. Engage local developers in evaluation process. h. Narrow to feasible site(s). 2. Explore shuttl%irculator connections (remote connector) As with an evaluation of new parking supply, it will be equally important to evaluate the cost and feasibility of new transit and/or shuttle capacity. ,..-t Transit and shuttles could be especially valuable as a means to improve employee commute T options, provide circulator links through . downtown for visitors, and link remotely located f parking supply. ,w` ,,,r;, , . The Parking Coordinator and DPAC should involve RVTD, Community Development, and the community in discussions regarding a transit option that would best serve the downtown and effectively shift an increasing percentage of trips onto a transit/shuttle system. It is recommended that the Parking Coordinator and DPAC: a. Evaluate route options. b. Explore connections to remote parking in conjunction with parking supply evaluation c. Determine desired levels offrequency/type ofvehicle/seasonality. d. Circulator shuttle or existing transit? Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I e. Coordinate with RVTD. f. Narrow to preferred option(s). Estimated Costs (STRATEGY 17): The City and DPAC may want to retain third-party assistance in this process, particularly as regards the design and formatting oftransit/shuttle systems. These systems will impact traffic and circulation and create land use issues related totransit/shuttle stops. Identifying and locating potential parking sites could be accomplished internally, with assistance from the Chamber of Commerce, local developers, and Community Development. As an estimate, the City could incur costs of $30,000 - $50,000 for route and system planning for a new transit/shuttle option. Some of this money could be used to cost the transit/shuttle option, which would reduce costing estimates fortransit/shuttle described in Strategy 20 below. STRATEGY 18 Develop cost forecasts for preferred parking supply and shuttle/transit system options. Implementation Timeline: June -September 2018 Information derived from Strategy 17 will provide realistic data on parking and transit/shuttle enhancements that have community input and initial feasibility. Parking will have been evaluated as to location, size and format (garage or surface lot). Transit/shuttles will have been evaluated as to desired format, frequency, and routing. Estimated Costs (STRATEGY 18): Initial costing of garages/lots in the form of expense/revenue and financing pro formas can range from $5,000 - $7,500. This cost would be contingent on data and information already provided to a consultant from Strategy 19. Rick Williams Consulting does not have expertise in costing transit/shuttle systems. These numbers need additional evaluation. Estimated costs for new parking supply will range by type of supply. Estimates from projects recently completed in the Pacific Northwest are provided below. • Structured Underground $35,000 - $45,000 per stall • Structured Above Ground $20,000 - $25,000 per stall • Surface Lot $ 5,000 - $ 7,000 per stall NOTE: Does not include operating cost or full cost of land Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I STRATEGY 19 Explore and develop funding options Implementation Timeline: September 2018 -March 2019 A wide range of funding sources and revenue streams could be used to implement an enhanced parking management plan and develop new parking or transit capacity in Ashland. Given the costs new infrastructure, consideration of new funding mechanisms is prudent. The list of potential sources here is not exhaustive, nor is these sources mutually exclusive. Funding for parking facilities, particularly garages, in emerging urban areas generally requires multiple sources. The use of fees continues to evolve as various State laws or City ordinances are authorized. Implementation of fees should be reviewed by the City Attorney to determine their feasibility in light of applicable laws. The funding options provided below assume a more detailed discussion of the role of the City in future funding of parking and transit, and public discussion regarding use of public funds to build and operate new systems. Options Affecting Customers User Fees Many cities collect revenue through parking meters and/or sale of permits and direct it to parking or transportation development enterprise funds. Transit or shuttle riders pay in the form of monthly or daily fares. These funds can be used to construct/bond for additional parking or transit capacity. Event Ticketing Surcharges This would impose surcharges in conjunction with local and regional facilities (e.g., performing arts, sports, and concert arenas) to support development of access systems. Fees are generally applied to ticket costs. Parking Fines Revenues are collected for parking violations and a portion directed to parking development enterprise funds. Options Affecting Businesses Parking and Business Improvement Area or District (B1A or BIDJ An assessment on businesses rather than property owners, these can be based on assessed value, gross sales, square footage, number of employees, or other factors established by the local legislative Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I authority. Salem, OR assesses a fee on businesses in its downtown Parking District to support parking services and future supply. Portland assesses a business income tax through the State of Oregon to support transit. Options Affecting Property Owners Local Improvement District (LID) An LID is a property tax assessment that requires buy-in by property owners within a specifically identified boundary. LIDs usually result from a petition process requiring a majority of owners to agree to an assessment for a specific purpose-in this case, a parking facility or transit infrastructure improvement). Options Affecting Developers Fee-in-Lieu Developers may be given the option to pay a fee in lieu of providing parking with a new private development. Payment of a fee-in-lieu provides the developer access entitlements to public parking facilities near the development site. Fees-in-lieu can be assessed up to the full cost of parking construction. Generally, fees-in-lieu do not provide sufficient revenue to fully fund parking facilities, and are combined with other revenue sources If an in-lieu parking fee is considered by the City, there needs to be greater policy clarity on the intent and purpose of the fee and the City's role in using the fees to either increase parking supply in the future or increase access capacity through enhancement of alternative mode programs. Lack of specificity in this regard limits discussion of the type of in-lieu fee developed, the rate itself and the programs and strategies that would need to be in place to implement desired outcomes. A useful guide to the diversity of fee-in-lieu programs and their advantages and disadvantages is Donald Shoup, Journal of Planning and Education Research, 18:307-320,1999. Public/Private Development Partnerships Development partnerships are generally associated with mixed-use projects in which parking is used to reduce the cost of private office, retail, or residential development. Public/private development can occur through a variety of arrangements, including: 1. Public acquisition of land and sale or lease of land/air rights not needed for parking to accommodate private use; 2. Private development of integrated mixed-use development with sale orlease-back of the public parking portion upon completion; and Rick Williams Consulting -City of Ashland, OR ~ Strategic Parking Management Plan I 3. Responsibility for public sector involvement directly by the City, through a public development authority (PDA), or other special purpose entity such as a public facility district created for the project district or downtown area. Options Affecting the General Public General Obligation (GO) Bonds Local jurisdictions may issue non-voted or voted bonds to develop parking or transit infrastructure, subject to overall debt limit requirements. With GO bonding, the municipality pledges its full faith and credit to repayment of the debt from general fund resources. In effect, general fund revenues would be reserved to repay debt that could not be supported by parking or transit revenues alone. Again, there may be imposed limits on the municipality forvoterapproved ornon-voted debt. Refinancing GO Bonds This involves refinancing existing debt at lower rates, and pushing the savings from the general fund to debt coverage for new infrastructure. In these times of lower interest rates, the City of Ashland may have already maximized this option. Revenue Bonds Revenue bonds dedicate parking fees and other designated revenue sources to the repayment of bonds, but without pledging the full faith and credit of the issuing authority. Revenue bonding is not appropriate in situations where a local jurisdiction's overall debt limit is a factor and projected revenues are insufficient to cover required debt service. 63-20 Financing A potential alternative to traditional GO bonds, revenue bonds, and LID bond financing, 63-20 financing allows a qualified non-profit corporation to issue tax-exempt bonds on behalf of a government. Financed assets must be capital and must be turned over free and clear to the government by the time bonded indebtedness is retired. When a municipality uses this technique to finance a public facility, it can contract for the services of anon-profit corporation (as the issuer) and a builder. The issuer acts on behalf of the municipality, but has no real business interest in the asset being acquired. Community or Urban Renewal (Tax Increment Financing) Though originally created for the limited purpose of financing the redevelopment of blighted communities, tax increment financing (TIF) has developed into an integral part of the revenue structure of many local governments. The rapid growth of TIF as an economic development technique of choice to finance land acquisition, site development, and property rehabilitation/revitalization began in the early 1980s. Tax increment financing can provide an ongoing source of local property tax revenue to finance economic development projects, and other physical infrastructure projects, without having to raise property tax rates. Moreover, TIF can leverage future general fund revenues to support the repayment Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I of property-tax backed debt, without having to go directly to voters for approval, and without violating debt limitations. State and Federal Grants In the past, a variety of state and federal grant programs have been applied to funding parking and transit infrastructure in business districts. In the current environment of more limited government funding, there may no longer be readily identifiable programs suitable for parking facility development, though transit may be more feasible. General Fund Contribution Local jurisdictions may make either one-time capital or ongoing operating contributions to a downtown parking ortransit/shuttle program. Estimated Costs (STRATEGY 19): This is very much a process task, requiring research and conversations with City policy- and decision- makersand legal counsel, and discussion with a range of potentially affected stakeholders. For the purposes of this Plan discussion, it is assumed that costs would be absorbed internally by the City and the new Parking Services Division. STRATEGY 20 Initiate new capacity expansion implementation Timeline: June 2019 This strategy would be catalyzed by completion of Strategies 17 -19 and would complete Phase 2 of the downtown Strategic Parking Management Plan. By June 2019, the City and DPAC would have evaluated and researched the most effective option(s) for expanding access capacity in the downtown. This would be a capacity enhancement that provides the highest benefit to downtown in accommodating growth and funding through a package of finance options that are cost-effective and publicly supported. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I VI. SUMMARY The parking management strategies recommended here are intended to provide a template for action leading to a more efficient and organized parking system for the downtown. The strategies would be led by a Downtown Parking Coordinator with informed insight and direction from a representative Downtown Parking Advisory Committee. The strategies envisioned here will be implemented over a minimum of three years, triggered by the 85% Rule and documented parking demand. Overall, the strategies are designed to "get the right parker to the right parking spot" in a manner that supports the Guiding Principles established as a part of this plan. Rick Williams Consulting - City of Ashland, OR Strategic Parking Management Plan I APPENDIX ACTION STRATEGIES IMPLEMENATION SUMMARY Rick Williams Consulting - City of Ashland, OR ~ Strategic Parking Management Plan I ACTIONS & IMPLEMENTATION SCHEDULE Phase 1 Phase 1 Phase 2 Strategy Strategies Immediate (6 -18 (18 - 36+ Comment (0 - 6 months) months) months) ~ ~ _ ~ ~ o ~ - L ~ 1 Formalize the Guiding Themes Provides decision-making & Principles as policies for framework and policy foundation downtown access within the ✓ for decisions/actions. Target by parking and transportation July 2016. system plan. Z The parking inventory for Ashland Adopt the 85% Rule as the revealed that existing peak period optimum occupancy standard occupancies within the core are for measuring performance of often parked in excess of 85% for the parking supply and ✓ significant periods of the day. triggering specific management Having the 85% Rule formalized in strategies and rate ranges. policy will assure that a process for evaluating and responding to future parking activity is in place. 3 As the supply of parking becomes Establish a Downtown Parking constrained overtime, it will be and Transportation Fund as a ~ important to direct funds into a mechanism to direct funds specific account intended to derived from parking into a support on-going transportation dedicated fund. and access in the downtown. 4 Centralized administration and Centralize Parking management best supports the Management. Consolidate the concept of an integrated parking management and system as all elements of the administration of parking ✓ parking system doff-street, on- managementwithin asingle street, enforcement and oversight of any third party provider) are division for Parking Services. consolidated within a single division and leadership structure. 5 Consolidating parking operations Develop a job description and within a single department or submit a service package to bureau under a Downtown Parking create and hire a position of Coordinator creates administrative Downtown Parking Coordinator ✓ ✓ and operational efficiencies and for the City of Ashland. seamlessly integrates on-street, off- street,enforcement and long-range strategic planning. Target by September 2016. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I i, Phase 1 Phase 1 Phase 2 Strat~gy Strategies Immediate (6 -18 (18 - 36+ Comment i (0 - 6 months) months) months) 6 The stakeholder advisory process Establish a Downtown Parking and a Parking Advisory Committee Advisory Committee (DPAC) will: (a) assist the Parking consisting of downtown Coordinator/Coordinator in the stakeholders to assist in implementation of the parking program implementation and management plan; (b) review review. ✓ ✓ parking issues over time; and (c) advise City Council and other relevant decision-making bodies on strategy implementation based on adopted policy for parking management and use dynamics identified for specific parking areas. PARKING MANAC~M~Id~' ACl'14N STRATEGIES (pHAS~ 1) ~ A system for routine data collection Develop a reasonable schedule will need to be established. of data collection to better Conversations with the Advisory assess performance of the ✓ ✓ ✓ Committee indicated that a better downtown parking supply. understanding of "off-peak" data would also be useful, particularly as Phase 2 issues related to pricing are considered. 8 The 2015 study of off-street lots Identify off~~street shared use quantified actual hourly use of opportunities and feasibilities these facilities over a twelve hour based on data findings in period each day. Fifty-one (51) off- Strategy 7. Establish goals for ✓ ✓ street sites comprising 1,998 transitioning employees, begin parking stalls were surveyed. outreach to opportunity sites, Findings from the study revealed that many sites are significantly negotiate agreements, and underutilized, with an average total assign employees to facilities. of approximately 1,000 stalls empty during the peak hour of the day. 9 The intent is to create a brand that Create a critical path timeline to unifies the "public" supply of anew parking brand that can be utilized at all City-owned lots parking and is easily and shared supplies and in communicated; at specific parking parking ✓ ✓ sites and, ideally, through a system marketing/communications. of wayfinding and guidance systems located throughout the downtown and in maps, websites and other communications and promotions. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I Phase 1 Phase 1 Phase 2 Strat~gy Strategies Immediate (6 -18 (18 - 36+ Comment (0 - 6 months) months) months) 10 The 2014 Community Planning Simplify on-street time stays. Workshop study outlined a series Consider incorporation of new of recommendations for brand/logo into on-street ✓ ✓ reformatting on-street time stays signage per input derived in throughout the downtown. This Strategy 9. work should serve as a template for action moving forward. 11 Implements Strategy 9. Deploy new off-street signage package ✓ 12 Expand bike parking network to What the downtown maybe create connections between lacking is sufficient "trip-end" bike parking and the downtown to parking amenities, both on-street, encourage employee bike ✓ off-street and in private buildings. commute trips and draw Providing adequate bicycle parking customers to downtown will expand the capacity of the overall parking supply downtown. businesses. 13 Data collection would provide Evaluate and pursue on-street updated information on use for pricing in high occupancy areas multiple seasons; it is (85~+) recommended that the Parking ✓ Coordinator initiate a process with the Downtown Parking Advisory Committee to evaluate a transition of the downtown on-street parking system to paid parking. 14 These systems are designed and Solicit firms to establish implemented as a means to inform wayfinding and dynamic and direct customers to available signage systems in the public parking within a brand that right of way, integrated with ✓ communicates quality, cost the off-street system using City effectiveness and convenience. parking brand developed in Strategy 9. 15 Implements Strategy 14. No later Deploy wayfinding system as than November 2017. developed in Strategy 14. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan I Phase 1 Phase 1 Phase 2 Strategy Strategies Immediate (6 -18 (18 - 36+ Comment (0 - 6 months) months) months) PARKING MANAGEMENT ACTION STRATEGIES (PHASE 2) 16 Completes the necessary outreach, Implement on-street pricing data collection and planning for A. Explore residential launching paid parking within the and employee permit downtown on-street parking programs (on-street) ~ supply. B. Develop amarketing / communications and new system roll out plan C. Initiate pricing 17 As Ashland's downtown grows Explore expanding access employment, residents and visitors; capacity- r~ew parking supply ~ existing supplies of parking and and/or transit/circulator alternative mode access will need options to be expanded. 18 Information derived from Strategy Develop cost forecasts for 19 will provide realistic data on preferred parking supply and parking and transit/shuttle shuttle/transit system options. enhancements that have community input and initial ~ feasibility. Parking will have been evaluated as to location, size and format (garage or surface lot). Transit/shuttles will have been evaluated as to desired format, frequency and routing. 19 There are a wide range of potential Explore and develop funding funding sources and revenue options streams that could be used to support implementation of an enhanced parking management plan in the Ashland downtown as well as to plan for and support development of new parking or transit capacity. 20 This strategy would be catalyzed by Initiate new capacity expansion completion of Strategies 19 - 21 and would complete Phase 2 ofthe downtown Strategic Parking Management Plan. Rick Williams Consulting -City of Ashland, OR Strategic Parking Management Plan Council Business Meetin Title: 2017 Council Liaisons to Boards, Commissions, and Committees From: John Stromberg Mayor john@council.ashland.or.us Summary: This is the selection and approval of Council liaison assignments for May 1, 2017 through April 30, 2017 to city and regional boards, commissions and committees. Actions, Options, or Potential Motions: Council will need to select their liaison positions and then move to approve the 2017 list of Council liaisons to boards, commissions and committees. Staff Recommendation: NlA Resource Requirements: N/A Policies, Plans and Goals Supported: 2.2 Engage boards and commissions in supporting the strategic plan. Background and Additional Information: Liaison assignments are done annual. Previously, this was done in January but was postponed to allow Council seat 6 (Councilor Darrow) to be appointed prior to assignment selection. It was subsequently determined that matching the liaison assignments with the annual commission assignment process would be a useful calendar adjustment. Therefore, the assignments approved by Council will be for the time period of May l; 2017 through April 30, 2018. Attachments: List of current assignments Page 1 of 1 C I? Y O F SHLAN I 4 ~ ~ ~ ~ ~ ~ ~ ~ N ~ ~ ~ ~ ~ ~ H ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ Q ~ ~ N ~ ~ ~ ~ ~ ~ Q o~~ o ~ ~ o ~ ~c Z U ~ ~ U a ~ ~ C7 ~ U ~ N ~ z c~ ~ ~ o0 0 ~ ~ N ~ 0 ~ ~ ~ to O ~ o ~ ,N M U ^ ~ o ~ ~ U ~ ~'i ~ ~ ~ ~ ~ ~ ~ O ~ ~ ~ ~ ~ ~ ~ ~ Q p ~ G-~ ~ ~ ~ ~ ~ ~ p U ~ ~ ~ p-, p,,, Q-, . bA ~ p ~ ~ p O ~ ~ p Q-+ ~ ~ at7 N ~ ~ ~ ~ M ~ M O ~ c~ ~ ~ ~ ~ ~ ~ c~ ~ ~O U ~ ~ ~ O ~ ~ ~ ~ ~ L O cu ~ ~ o o n o ~ 0 ~ ~ ~ ~ m ~ ~ ~ ~ a~ ~ ~ ~ ~ ~ ~ ~ ~ ~ _ ~ 0 ~ ~ V ~ _ c~ J o a ~ V ~ ~ ~ ~ ~ ~ o 0 ~ ~ V ~ ~ ~ ~ ~ ~ ~ ~s ~ o ~ ~ ~ ~ U o ~ ~ ~ ~ c~ ~~~w ~ x ~ a a~ ~ ~ ~ ~ I r. 0 ^ +i U ~ N ~ O ~ N ~ N N M ~ ~ ~ ~ 4-~ ~ ~ ~ ~ ~ ~ ~ ~ C`J ~ ~ 0 ~ r*~I " ~ U N ~ ~ Q ~ ~ W ~ ~ ~ ~ ~ ~ ~ ~ O M ~ M MO ~ O ~ ~ ~ ~ ~ Q~ ~ v~ 01 ~ N ~ ~j ~ ^d ~ ~ N ~ ~ ~ o ~ ~ d' zzzzz N N N~~ d- Q O v ~ ~ ~ U O . r, U ~w ~ ~t ~ ~ o o_c ~ ~ ~ ~ ~ U ~ N ~ ~ V ~ ~ ~ ~ ~ ~ ~ o 0 a ~ ~ ~ A~ ''C~ ~ ~ ~ o ~ U ~ ~ ~ ~ ~ ~ U0a Q o 0 0 ~ w ~ Q U Q U ~ ~ ~ ~ ~ ~ Council Business Meetin Title: Second Reading of an Ordinance Amending AMC 1.08.005E Updating ELEA Persistent Violations From: Doug McGeary Asst. City Attorney lec~alcontractor ~ashland.or.us Summary: This agenda item is the second reading of an ordinance to amend AMC 10.120.020, adding two additional. violations to the Enhanced Law Enforcement Area (ELEA) of downtown Ashland. The addition of these same ELEA violations are cross-referenced in AMC 1.08.OOSF(2) and were inadvertently not updated in the Code Compliance Officers chapter in November 17, 2015. This Ordinance will correct that oversight. On April 28, 2017, council passed this ordinance at its first reading with no changes, moving it on to its second reading as presented herein. Actions, Options, or Potential Motions: 1. Approve second reading of an ordinance titled, "Ordinance Amending AMC Chapter 1.08 General Penalties, Section 1.08.OOSF(2) To Reflect Prior Amendment To AMC 10.120.020 Persistent Violation" as presented. OR 2. Council could take no action. Staff Recommendation: Approve second reading of the proposed ordinance. Resource Requirements: NIA Policies, Plans and Goals Supported: • Public Safety (Council Goal) 23. Support innovative programs that protect the community • Qualit, o'er (Administrative Goal) Provide, promote and enhance the security/safety, environmental health, and livability of the COmmUnlty. • Public Safety (Administrative Objective) 24. Increase safety and security city-wide Background and Additional Information: Council amended AMC Chapter 10, Section 10.120.020 on November 17.2015, to address the problems of persistent violations of law in the downtown area and persistent failure to appear in court, by adding two new persistent violations. Upon codification of the aforesaid ordinance on Page 1 of 2 C 1 T Y O F SHLAN Persistent Violation and Persistent Failure to Appear, an update of those same persistent violations should have been cross-referenced in AMC Chapter 1.08 General Penalties. This Ordinance will provide that update. Attachments: Ordinance Page 2 of 2 C I? Y O F SHLAN ORDINANCE N0. AN ORDINANCE AMENDING AMC CHAPTER 1.08 GENERAL PENALTIES, SECTION 1.08.OOSF TO REFLECT PRIOR AMENDMENT TO AMC 10.120.020 PERSISTENT VIOLATION Annotated to show ~~°+~and additions to the code sections being modified. Deletions are bold ' and additions are bold underlined. WHEREAS, Article 2. Section 1 of the Ashland City Charter provides: Powers of the City. The City shall have all powers which the constitutions, statutes, and common law of the United States and of this State expressly or impliedly grant or allow municipalities, as fully as though this Charter specifically enumerated each of those powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto, shall possess all powers hereinafter specifically granted. All the authority thereof shall have perpetual succession. WHEREAS, Council amended AMC Chapter 10, Section 10.120.020 on November 17, 2015 to address the problems of persistent violations of law in the downtown area and persistent failure to appear in court, by adding two persistent violation; and WHEREAS, effectuating the new ordinance on Persistent Violation and Persistent Failure to Appear, requires across-reference update of those persistent violations in AMC Chapter 1.08. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. Chapter 1.08 General Penalties of the Ashland Municipal Code is hereby amended to read as follows: 1.08.005 Code Compliance Officers F. Default /Criminal Charges I Warrant/ Presumptive Arrest (1) Failure to appear on a violation citation may result in a default j udgment, criminal prosecution for failure to appear [See ORS 153.992, ORS 133.076], a Court order to show cause for Contempt, as well as issuance of an arrest warrant. (2) Notwithstanding F(1)above, court appearance is mandatory for the following violations occurring within an Enhanced Law Enforcement Area as provided in AMC 10.120.020: a. AMC 9.08.110--Scattering Rubbish; b. AMC 9.08.170--Unnecessary noise; c. AMC 9.16.010--Dogs-Control Required; d. AMC 10.40.030--Consumption of Alcohol in Public; e~ e. AMC 10.40.040--Open Container of Alcohol in Public; f. AMC 9.16.015 - Doi License Required; or Ordinance No. Page 1 of 2 ORS 475B.280 - Use of marijuana in public place prohibited. SECTION 2. Savings. Notwithstanding this amendmentlrepeal, the City ordinances in existence at the time any criminal or civil enforcement actions were commenced, shall remain valid and in full force and effect for purposes of all cases filed or commenced during the times said ordinances(s) or portions thereof were operative. This section simply clarifies the existing situation that nothing in this Ordinance affects the validity of prosecutions commenced and continued under the laws in effect at the time the matters were originally filed. SECTION 3. Severability. The sections, subsections, paragraphs and clauses of this ordinance are severable. The invalidity of one section, subsection, paragraph, or clause shall not affect the validity of the remaining sections, subsections, paragraphs and clauses. SECTION 4. Codification. Provisions of this Ordinance shall be incorporated in the City Code and the word "ordinance" may be changed to "code", "article", "section", "chapter" or another word, and the sections of this Ordinance may be renumbered, or re-lettered, provided however that any Whereas clauses and boilerplate provisions (i.e. Sections 2-4) need not be codified and the City Recorder is authorized to correct any cross-references and any typographical errors. The foregoing ordinance was first read by title only in accordance with Article X, Section 2(C) of the City Charter on the day of , 2017, and duly PASSED and ADOPTED this day of , 2017. Barbara 1~~1. Christensen, City Recorder SIGNED and APPROVED this day of , 2017. John Stromberg, Mayor Reviewed as to form: David H. Lohman, City Attorney Ordinance No. Page 2 of 2 ncil Business Meetin Cou Title: Second Reading of an Ordinance re Water Connections Outside City Limits From: Doug McGeary Asst. City Attorney legalcontractor@ashland.or.us Summa f: This agenda item is the second reading of an ordinance regarding the City's water supply and water conservation ever-present concerns. AMC 14.04.060 has been routinely interpreted to have addressed these concerns by prohibiting premises outside the City from connecting to the City wate~~ system, with a few clearly-defined exceptions. The amendment to AMC 14.04.060 proposed in this agenda item is intended to unambiguously confirm that routine interpretation. At its first reading on April 18, 2017, a typographical error was noted in the ordinance and is corrected in Section 1. 14.04.060B.3.i. changing the word "dit~ection"to "discretion" and passed first reading without any other changes. Actions, Options, or Potential Motions: 1. Approve second reading of an Ordinance titled, "An Ordinance Amending AMC 14.04.060 Water Connections Outside the City Limits" (with the correction of one word in Section L 14.0.060B. 3. i. "direction" to "discretion as presented. 2. Council could take no action. Staff Recommendation: Approve second reading of the proposed Ordinance as presented. Resource Requirements: N/A Policies, Plans and Goals Supported: NIA Background and Additional Information: AMC 14.04.060A currently says, "no premises located outside the City of Ashland maybe connected to the city water system except as provided herein". To avoid possible misinterpretation ofthe word connected in this limitation, staff proposes amending the provision to make clear that usin water from the City water system on premises outside the City - whetherthe water is obtained by direct connection or otherwise - is disallowed except upon Council approval, in the narrow circumstances already set forth in AMC 14.04.060B and C. Page 1 of 2 C 1 T Y O F SHLAN This proposed amendment does not change City policy as it apparently has been interpreted ever since the enactment of AMC 14.04.060. The amendment simply clarifies and confirms that interpretation. Past enforcement of this provision may have been sporadic as a result of necessarily being complaint-driven, but enforcement that has occurred has been consistent with that broad interpretation. An additional change in language in AMC 14.04.060C is intended to clarify that all of the requirements in subsections B.3 and C. l -4 must be met before Council can approve use of water on premises outside the City, except in the case of connections authorized by the Council for City or other governmental facilities or those authorized prior to June 18,1997. Lastly, the proposed amendment modifies existing AMC 14.04.060E to make clear that violation of Chapter 14.04 could result in restriction or termination of service, in addition to a fine of up to $325 per day for individual and $500 per day for a business entity. The current provision makes $500 per day the maximum penalty for violation. After passing a version of the proposed ordinance on First Reading at its November 15, 2016 meeting, Council decided to table the proposed Second Reading until it could explore the issues involved at a study session. At its March 6, 2017, Study Session, the Council gathered additional information and directed staff to clarify the proposed ordinance with respect to the Council's discretion, and bring a new version to Council at a future meeting. Attachments: Proposed Ordinance Page 2 of 2 ~ I T Y O F SHLAN ORDINANCE N0. AN ORDINANCE AMENDING AMC 14.04.060 WATER CONNECTIONS OUTSIDE THE CITY LIMITS Annotated to show ~~~-and additions to the code sections being modified. Deletions are bold ' and additions are bold underlined. WHEREAS, Article 2. Section 1 of the Ashland City Charter provides: Powers of the City. The City shall have all powers which the constitutions, statutes, and common law of the United States and of this State expressly or impliedly grant or allow municipalities, as fully as though this Charter specifically enumerated each of those powers, as well as all powers not inconsistent with the foregoing; and, in addition thereto, shall possess all powers hereinafter specifically granted. All the authority thereof shall have perpetual succession. WHEREAS, water provided through the city water system is a precious, limited resource; WHEREAS, transporting and treating water delivered through the city water system are services provided for the benefit of premises within the City of Ashland; WHEREAS, the current Chapter 14.04.060 of the Ashland Municipal Code evidently is intended to preclude the use of water from the city water system on premises located outside the City of Ashland except under clearly specified conditions; and WHEREAS, the addition of clarifying language in Chapter 14.04.060 to set forth more explicitly the limitation on using water from the city water system on premises located outside the city would be beneficial for purposes of public understanding and enforcement. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. Ashland Municipal Code 14.04.060 Water Connections Outside City the Limits is amended to read as follows: 14.04.060 Water Connections Outside the C~ Limits A. Except as provided herein, ono premises located outside the City of Ashland maybe connected to the city water system or make use of water obtained through a direct or indirect connection to the city water system. B. Premises outside the city maybe connected to the city water system only as follows: Ordinance No. Page 1 of 3 1. Connections authorized by the council prior to June 18,1997. 2. Connections authorized by the council for city or other governmental facilities. 3. Connections authorized by resolution of the council where the council finds: i. The connection is determined, at .the Council's ~i~ee-tin discretion, to be in the best interest of the City of Ashland and to not be detrimental to the City's water facilities or resources. ii. The applicant secures, in writing, a statement from the Environmental Health Division, Health Department, Jackson County, Oregon, that the existing water system f or the premises has failed. iii. The failed water system cannot feasibly be repaired or improved and there is no ether feasible source of water for the premises. iv. An Ashland water main or line exists within 100 feet of the premises. v. The connection is to premises within the city's urban growth boundary. C. Connections authorized under subjection B.3. above shall be made only after all the criteria irn subsection B.3. and the following conditions have been met: 1. The applicant for water service pays the water connection fee for connections outside the city and the systems development charges established by the City. 2. Ire. the event dwellings or buildings connected to the water system are subsequently replaced for any reason, then the replacement building or dwelling may continue to be connected to the water system of the City as long as the use of the water system will not be increased as determined by the Director of Public Works. 3. The applicant furnish to the City a consent to the annexation of the premises and a deed restriction preventing the partitioning or subdivision of the land prior to annexation to the City, signed by the owners of record and notarized so that it may be recorded by the City and binding on future owners of the premises. The cost of recording the deed restriction shall be paid by the property owner. 4. T'he property owner shall execute a contract with the City of Ashland which provides for: payment of all charges connected with the provision of water service to the property; compliance with all ordinances of the city related to water service and use; termination of service for failure to comply with such ordinances and that failure to pay for charges when due shall automatically become a lien upon the property. A memorandum of the contract shall be recorded in the county deed records with the cost of recording to be paid by the property owner. D. The requirements of this Section are in addition to, and not in lieu of, land use approvals and authorizations necessary for extra-territorial extension of water service required by Oregon law. E. oo~r 1, in AM!'' ~,nQ, Any person who violates any provision of this Chapter shall be punished as set forth in Section 1.08.020 of the Ashland Municipal Code, in addition to other le~~l and equitable remedies available to the City of Ashland, including restriction or termination of service. Ordinance No. Page 2 of 3 SECTION 2. Savings. Notwithstanding this amendment/repeal, the City ordinances in existence at the time any criminal or civil enforcement actions were commenced, shall remain valid and in full force and effect for purposes of all cases filed or commenced during the times said ordinances or portions thereof were operative. This section simply clarifies the existing situation that nothing in this Ordinance affects the validity of prosecutions commenced and continued under the laws in effect at the time the matters were originally filed. SECTION 3. Severability. The sections, subsections, paragraphs and clauses of this ordinance are severable. The invalidity of one section, subsection, paragraph, or clause shall not affect the validity of the remaining sections, subsections, paragraphs and clauses. SECTION 4. Codification. Provisions of this Ordinance shall be incorporated in the City Code, and the word "ordinance" maybe changed to "code", "article", "section", or another word, and the sections of this Ordinance may be renumbered or re-lettered, provided however, that any Whereas clauses and boilerplate provisions (i. e., Sections 2-4] need not be codified, and the City Recorder is authorized to correct any cross-references and any typographical errors. The foregoing ordinance was first read by title only in accordance with Article X, Section 2(C) of the City Charter on the day of , 2017, and duly PASSED and ADOPTED this day of , 2017. Barbara M. Christensen, City Recorder SIGNED and APPROVED this day of , 2017. John Stromberg, Mayor Reviewed. as to form: David H. Lohman, City Attorney Ordinance No. Page 3 of 3