HomeMy WebLinkAbout2007-0619 Council MIN
ASHLAND CITY COUNCIL MEETING
JUNE 19, 2007
PAGE I of8
MINUTES FOR THE REGULAR MEETING
ASHLAND CITY COUNCIL
June 19, 2007
Civic Center Council Chambers
1175 E. Main Street
CALL TO ORDER
Council Chair Silbiger called the meeting to order at 7:07 p.m. in the Civic Center Council Chambers.
ROLL CALL
Councilors Hardesty, Chapman and Navickas were present. Councilor Jackson arrived at 7:08 p.m.
Councilor Hartzell arrived at 7: 1 0 p.m.
APPROVAL OF MINUTES
The minutes of the Executive Session meeting of June 1,2007, and Executive Session and Regular Meeting
minutes of June 5, 2007 were approved as presented.
CONSENT AGENDA
1. Minutes of Boards, Commissions, and Committees.
2. Liquor License Application - Vie's Mongolian BBQ.
3. Appointment to Historic Commission.
4. Intergovernmental Agreement - Oregon Building Codes Division.
5. Approval of ODOT Local Agency Agreement No. 23719 Congestion Mitigation and Air Quality
(CMAQ) Grant - Diesel Retrofit.
6. Designation of Finance Director to Execute Documents Required to Close Sale of Lot #103,
Strawberry Lane.
Councilor Chapman/Hardesty m/s to approve Consent Agenda. Voice Vote: all AYES. Motion
passed 6-0.
/
PUBLIC HEARINGS
1. Public Hearing to Consider Utility Rate Increases.
Administrative Services Dire<;tor Lee Tuneberg presented the staff report and provided the proposed
increases for the Water, Wastewater, Street Fund, Transportation and Storm Drain fees. The key issues on all
of the areas were noted and a comparison table that indicated the impact on a "typical" house was also
provided.
Mr. Tuneberg summarized the proposal and noted the FY 2006-07 budget was adopted with increases
contingent upon more review and need, the Electric Fund increase and surchage decrease was deferred to
January 2008, and no increases have been done in FY 2006-07. He stated the base revenues for FY 2007-08
were accepted with budget increases equal to 6.7% and the proposed increases would be less than 3.5% a
month (which is approximately $5.89 depending on water use).
Mr. Tuneberg clarified that all departments made various adjustments within their budgets to accommodate
the Ashland Fiber Network (AFN) debt. He also provided a brief update on the progress of the Street
Financing Task Force and stated they should have a report ready to submit to the Council by October.
Mr. Tuneberg commented on the issues raised last night at the Study Session meeting, including adding
additional tiers, creating a larger change between the tiers, programs available for low income assistance, and
the role of conservation. He eXplained that a rate redesign is difficult to do "on the fly" and noted the need for
ASHLAND CiTY COUNCiL MEETiNG
JUNE 19,2007
PAGE 2 of8
better information to accomplish this. He suggested a professional be brought in to do a proper study of the
rates and rate structures, and to perform the rate modeling. In regards to the low income and senior assistance
programs, Mr. Tuneberg stated the Council could decide to loosen the requirements for participation. He also
commented on the transportation fee exemption for churches and places of worship. It was explained that
some of these accounts do have residential fees associated, however the building of worship itself is
exempted. Mr. Tuneberg stated the Council could decide to change this exemption, but recommended against
it until a more thorough review is performed.
Mr. Tuneberg commented on the possibility of postponing the Street Fund increase until the Street Financing
Task Force has completed their work. He suggested that if the Council decides to wait, that they not repeal the
1999 resolution and authorize staff to use the ENR adjustment.
Public Hearin!! Open: 7:44 p.m.
Brice Brandt/280 Meadow Drive/Questioned the discussion on the increase of rates and why the Ashland
Fiber Network (AFN) is not listed as a separate department in the budget. He asked that the Council pay down
the AFN debt and not take on any new projects until this debt is paid off.
Public Hearin!! Closed: 7:47 p.m.
Mr. Tuneberg explained the budget process and how the budget is based on revenue streams (ie: rate
increases). He noted the City has gone 15 months without any rate increases and explained if the City does not
keep up on the maintenance of the streets, waterlines, and infrastructure, it will cost a great deal more in the
future when something fails. He also noted that the AFN debt was shared City wide, AFN is contributing
towards the debt, and AFN is a separate department.
2. Public Hearing Regarding Conversion of Existing Rentals into For-Purchase Housing in Multi-
Zoning.
Housing Program Specialist Brandon Goldman presented the staff report and background on the proposed
ordinance. He explained staff drafted the ordinance based on direction from the Council and an ad-hoc
committee made up of Planning and Housing Commissioners. He stated there was general consensus that the
sliding scale method was a creative means of achieving both rental and affordable housing. Mr. Goldman
stated the Housing Commission reviewed the proposed ordinance and made no motion, but provided clear
consensus that the methodology proposed had merit and accomplished the intended goals. He explained the
Planning Commission also reviewed the ordinance, however voted 5-2 to recommend that the Council not
take action and not adopt the proposed ordinance.
Mr. Goldman commented on the ordinance and how it differs from the previously proposed and existing
ordinances. He explained the existing ordinance has a flat requirement that if an owner converts
condominiums into for purchase housing, at least 25% of those units need to be affordable; and the only
limiter is that these units be occupied by households that earn 80% median income or less. Mr. Goldman
noted the proposed ordinance states that such a conversion would be a permitted use within the zone and no
longer a conditional use. Additionally, affordable housing units would no longer be required, but would
rather be provided in trade for relief from non-conformities. If no relief for non-conformities is requested, the
project could proceed if a percentage of the units are retained as market rate rentals.
Mr. Goldman stated it is staffs opinion that the ordinance as drafted serves the stated goal in providing an
incentive base for the inclusion of affordable housing. He stated the ordinance creates more affordable
housing than the existing ordinance and provides market rate rental housing, which the existing ordinance
does not provide for. Mr. Goldman noted a conversion where all units go to ownership would still be allowed
ASHLAND CiTY COUNCIL MEETING
JUNE 19,2007
PAGE 3 of8
for complexes that are four units or less, and stated in the event a four unit complex sought relief from non-
conformities, their 25% affordability would be met by providing one ownership unit targeted at 80% AMI.
Mr. Goldman addressed the concern of whether staff would be able to manage the eligibility criteria and stated
that depending on the number of deed restricted affordable units; it may become prudent for the City to
consider contracting out the income verification process.
Public Hearln!! ODen: 8:11 p.m.
Devian Aguirre/2305 Ashland Street #C446/Stated the ordinance is a step in the right direction, but
believes the lack of a comprehensive affordable housing policy will exacerbate the condition of the lack of
focus of affordable housing. Ms. Aguirre expressed concern that including specific demands will further
contribute to the micromanagement of an issue that has not yet been addressed in a bigger forum. She
commented that conversion of apartments is one of the ways apartment complex owners generate revenues to
conduct refurbishing of the property and also provides opportunity to first time homebuyers. She stated these
conversions serve a purpose and cautioned the Council not to act too quickly and to look at this ordinance as
one piece of the pie.
Bill Street/180 Meade StreetfThinks this is modest proposal and it tries to stop the loss of rental housing and
affordable housing in Ashland. Mr. Street stated the proposed ordinance creates a methodology that is easy to
apply, provides a sliding scale, and addresses the needs of those who own small rental complexes in town. He
recommended the Council act now and voiced support for moving forward with this ordinance.
Public Hearin!! Closed: 8:15 p.m.
Mr. Goldman clarified he views the Housing Action Plan as the guiding document for affordable housing.
Councilor Hartzell/Navickas m/s to approve first reading and place on the next Council meeting's
agenda for second reading. DISCUSSION: Councilor Chapman voiced concern that the ordinance did not
receive approval from the Planning Commission. Councilor Navickas voiced his support for the motion. He
stated this is something the community needs and stated the Council should support it. Councilor Jackson
commented that this is a creative approach, but questioned if the ordinance would address the problem.
Councilor Hartzell encouraged the Council to approve this ordinance tonight, and if necessary come back
with modifications to alleviate any concerns. Councilor Navickas encouraged the Planning Commission to
forward their concerns to the Council and stated it is in their best interest to allow the Mayor to participate in
this discussion when he returns.
Councilor Navickas/Jackson m/s to continue this issue to the July 17, 2007 Council Meeting.
DISCUSSION: City Administrator Martha Bennett voiced concern that the Council may not be able to get to
this item at the July 17 meeting due to the land use hearing. Councilors Chapman and Hardesty indicated they
would be not be present at the August meeting in the event this issue does not get resolved at the July meeting.
Roll Call Vote: Councilor Hartzell, Hardesty, Jackson, and Silbiger, YES. Councilor Chapman and
Navickas, NO. Motion passed 3-2.
PUBLIC FORUM (None)
ORDINANCES. RESOLUTIONS AND CONTRACTS
Council Chair Silbiger opened discussion of the Utility Rate resolutions. He commented that the rate
increases were included in the 2006-07 adopted budget, and were also discussed and incorporated in the 2007-
08 budget. He noted the possibility of postponing the transportation rate increase until the Street Task Force
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ASHLAND CiTY COUNCiL MEETING
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Committee completed their work, but voiced support for passing the remainder of the rate increases. He also
suggested the Street Task Force report on whether their process was successful, and if so, Council could
consider doing the same thing with the other rates.
Councilor Hardesty voiced support for a task force to look at the other rates. She stated the task force could
look into promoting conversation and fairness, as well as reviewing the low income program and making it
more effective.
1. Reading of a Resolution titled, "A Resolution adopting a transportation utility rate schedule
pursuant to Ashland Municipal Code Section 4.26.020 and repealing Resolution 1999-31."
Councilor Hartzell/Jackson mls to approve Resolution #2007-21. DISCUSSION: Councilor Jackson
noted there are two versions of the resolution in the meeting materials. Mr. Tuneberg clarified staffs
recommendation is for the 15% increase, which is included in the resolution motioned for adoption.
Councilor Navickas stated he would like to see some rate restructuring or at least some discussion of this
before he is willing to approve the resolution. Councilor Hartzell noted that if this resolution does not pass,
they will be faced with the challenge of making cuts to the budget. Roll Call Vote: Councilor Hartzell,
Chapman, Jackson, Hardesty, and Silbiger, YES. Councilor Navickas, NO. Motion passed 5-1.
2. Reading of a Resolution titled, "A Resolution adopting a storm drain utility rate schedule pursuant
to Ashland Municipal Code Section 4.27.050 and repealing Resolution 1999-32."
Councilor Hartzell/Chapman mls to approve Resolution #2007-22. DISCUSSION: Mr. Tuneberg
clarified there were two versions of this resolution as well. Councilor Hartzell clarified her intention is to
approve the 50% rate increase. Roll Call Vote: Councilor Jackson, Silbiger, Chapman, Hardesty and
Hartzell, YES. Councilor Navickas, NO. Motion passed 5-1.
Council discussed the possibilities of forming a task force and conducting a rate study. Councilor Hartzell
voiced support for adopting the remainder of the proposed resolutions. She stated conducting a rate study
would cost the City money and has not been budgeted for, and recommended this be placed in next year's
budget. Councilor Jackson voiced support for adopting the remainder of the resolutions, but would also like
staff to look into the formation of a task force. Councilor Hartzell encouraged staff to come back in the next
few months with some scenarios on how to accomplish the goals expressed by Councilor Hardesty in a cost
effective way and some strategies on how to get there, but not necessarily tied to a task force. Councilor
Hardesty stated a small task force to meet with staff may be a good way to begin. Mr. Tuneberg voiced support
for Councilor Hartzell's suggestion for staff to bring back some strategies.
Councilor HardestylJackson mls to direct staffto bring back a strategy to the Council within the next
three months on rate restructuring, including recommendations for citizen involvement.
DISCUSSION: Councilor Chapman stated he does not want to specifically state they are going to do a rate
restructuring.
Councilor SilbigerlHartzell mls to amend motion to read "possible rate restructuring". DISCUSSION:
Councilor Hardesty commented that the amendment is not necessary since they were only asking staff to bring
back a strategy. Councilor Hartzell noted the amendment makes their intent clear. Councilor Navickas
requested that any councilor who does not support a possible rate restructure vote 'no' on the motion so that
staff does not have to perform any unnecessary work. V oice Vote: Councilor Hartzell, Silbiger, Chapman,
Navickas and Jackson, YES. Councilor Hardesty, NO. Motion passed 5-1.
Voice Vote on Amended Motion: all AYES. Motion passed 6-0.
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JUNE i9, 2007
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3. Reading of a Resolution titled, "A Resolution revising rates for water service pursuant to Ashland
Municipal Code Section 14.04.030 and repealing Resolution 2005-23."
Councilor Hartzell/Jackson mls to approve Resolution #2007-23. Roll Call Vote: Councilor Hartzell,
Jackson, Chapman, Navickas, Silbiger and Hardesty, YES. Motion passed 6-0.
4. Reading of a Resolution titled, "A Resolution revising rates for wastewater service pursuant to
Ashland Municipal Code Section 14.08.035 and repealing Resolution 2005-24."
Councilor Jackson/Hartzell mls to approve Resolution #2007-24. Roll Call Vote: Councilor Hartzell,
Jackson, Chapman, Navickas, Silbiger and Hardesty, YES. Motion passed 6-0.
5. Second Reading of an Ordinance titled, "An Ordinance Levying Taxes for the Period of July 1,
2007 to and Including June 30, 2008, Such Taxes in the Sum of $11,314,046 Upon All the Real and
Personal Property Subject to Assessment and Levy Within the Corporate Limits of the City of
Ashland, Jackson County, Oregon."
Councilor Hartzell/Navickas mls to approve Ordinance #2940. Roll Call Vote: Councilor Jackson,
Hardesty, Silbiger, Navickas, Hartzell and Chapman, YES. Motion passed 6-0.
6. Reading of a Resolution titled, "A Resolution Repealing Resolution 2007-18 and Adopting the
Annual Budget and Making Appropriations."
Councilor Hartzell/Hardesty mls to approve Resolution #2007-25. Roll Call Vote: Councilor Hardesty,
Hartzell, Silbiger, Jackson, Navickas and Chapman, YES. Motion passed 6-0.
7. Reading of a Resolution titled, "A Resolution Declaring the Canvass of the Vote of the Election
Held in and for the City of Ashland, Oregon, on May 15,2007."
Councilor Hartzell/Jackson mls to approve Resolution #2007-26. Roll Call Vote: Councilor Hartzell,
Jackson, Navickas, Chapman, Hardesty and Silbiger, YES. Motion passed 6-0.
8. Proclamation regarding the Special Election held in the City of Ashland, Oregon, on the 15th of
May 2007.
Councilor Jackson/Harztell mls to approve Proclamation. Roll Call Vote: Councilor Navickas,
Hartzell, Chapman, Silbiger, Jackson and Hardesty, YES. Motion passed 6-0.
UNFINISHED BUSINESS
Councilor Hardesty/Navickas mls to reconsider the Council's vote from the June 5, 2007 Council
Meeting to extend sewer service to 2995 Hwy 66. DISCUSSION: Councilor Hardesty commented on the
property owner's plans to develop the site with several new building and noted the sewer service could be
extended to those new buildings. She stated when Council voted on this issue at their last meeting, it was her
understanding that service would only be extended to the existing buildings.
City Recorder Barbara Christensen restated the motion from the June 5, 2007 Council Meeting:
"Approve the request for sewer connection so long as the owner agrees to meet the site design criteria
prior to annexation; and to stipulate that the tanks either be removed or filled, but in someway
stabilized so to not pollute and that the number of toilets be held to nine."
DISCUSSION (Cont.): Assistant City Attorney Richard Appicello noted the property owner's proposed plan
ASHLAND CITY COUNCIL MEETING
JUNE 19, 2007
PAGE 60f8
to build five new buildings, which was referenced in the Council Communication, and commented on the
provision in the Ashland Municipal Code regarding replacement buildings. He clarified if the property owner
wishes to connect the new buildings to the City's sewer system, the Public Works Director would have to
determine whether the replacement buildings generate any greater impact to the system. Mr. Appicello added
the Council could clarify that if and when there are new buildings, that this determination be made by the
Council instead of staff. Councilor Jackson questioned why they needed to reconsider since the first motion
limited the number oftoilets that can be connected to the City' system. Councilor Navickas voiced his concern
that this is not the right way to go about development of properties within the Urban Growth Boundary. Roll
Call Vote: Councilor Hardesty, Hartzell, and Navickas, YES. Councilor Jackson, Chapman, and
Silbiger, NO. Motion fails 3-3.
Councilor Hartzell/Hardesty mls to direct the Public Works Director to inform the Council when the
property owner moves forward with additional buildings on site. Roll Call Vote: Councilor Hardesty,
Hartzell, Silbiger, and Navickas, YES. Councilor Jackson and Chapman, NO. Motion passed 4-2.
2. Discussion of RVTD Funding and Priorities.
Management Analyst Ann Seltzer noted the Study Session that was held on this issue and the nine different
options that were presented. She stated staff's recommendations are to: 1) Stay with the current RVTD fare
subsidy, and 2) Place a cap on the amount used to subsidize the fare and use the remaining amount of budgeted
funds to hire a transit planning consultant. She requested Council provide direction to staff so that a new
contract with RVTD can be prepared and brought back for Council approval.
Councilor Chapman voiced support for placing a cap and doing the same as they did last year, however he
voiced his opposition to hiring a consultant until it is clear what the consultant would do.
Councilor Hartzell commented on increasing the ridership levels and suggested they look into putting some
money aside for high school students in need of fare assistance.
RVTD General Manager Julie Brown addressed the Council and briefly commented on their limitations under
ADA. She also suggested the City consider doing a survey instead of hiring a consultant.
Councilor Navickas voiced his support for the hiring of a consultant and stated there are a lot of different
options that the consultant could evaluate.
Councilor Hartzell/Navickas mls to approve staff recommendation Option 4, Option 9 and the pursuit
of Options 6, 7, and 8 as outlined, with the addition of $2,000 for youth passes and $1,000 for senior
passes to be administrated through the Ashland High School and the Ashland Senior Program.
DISCUSSION: Councilor Hartzell commented that this would be a way to get people back on the bus who
need it. Councilor Chapman stated that without knowing the need, this may be a "shot in the dark" . Voice
Vote: Councilors Jackson, Hartzell, Silbiger, Navickas and Hardesty, YES. Councilor Chapman, No.
Motion passed 5-1.
3. Reconsideration of Vote regarding Adoption of findings for Planning Action 2006-02354, Kistler.
Assistant City Attorney Richard Appicello advised the Council to take this item offthe agenda and not take
action on it tonight. He explained he would file a motion at LUBA and return to Council for reconsideration;
and asked that the Council not engage in any ex parte communications during the interim.
Councilor Jackson/Hartzell mls to differ this item to a future agenda. Voice Vote: all AYES. Motion
passed.
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JUNE i9, 2007
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Councilor HartzelllHardesty mls to extend meeting until 10:30 p.m. Voice Vote: Councilors Jackson,
Silbiger, Hartzell, Hardesty and Navickas, YES. Councilor Chapman, NO. Motion passed 5-1.
3. Re-Affirmation of Resolution No. 2007-17 Adopting Findings for the Nevada Street LID.
Assistant City Attorney Richard Appicello noted that staff had asked that the effective date for the Nevada
Street resolution be delayed until the Findings could be revised. He stated the Findings are now complete and
before Council for approval and requested Council reaffinn the resolution and adopt the findings.
Councilor JacksonlHardesty mls to reaffirm Resolution #2007-17 and adopt the Findings. Roll Call
Vote: Councilor Hardesty, Silbiger, Jackson, Navickas, Chapman, YES. Councilor Hartzell, NO.
Motion passed 5-1.
5. Mt Ashland - Timber Settlement Sale Purchaser Decision and Related Items.
City Administrator Martha Bennett explained there are two issues before Council tonight. The first is a
decision regarding a draft letter to be sent to the United States Forest Service (USFS) authorizing the USFS
Timber Settlement Sale Contract be authorized with Mt. Ashland Association as the "Name of Purchaser".
Ms. Bennett explained this would be a departure from what has been done before, but noted the letter is
drafted to express the concerns that were expressed in the 2005 Resolution and asks that the Forest Service
continue to support the activities the Council set forth in the resolution.
Ms. Bennett stated the second issue before Council is regarding the Quality Assurance Quality Control
(QAlQC) Team. She noted Council's previous motion to appoint an advisory committee that included two
members of the City Council, two members of the Mt. Ashland Association Board, and two citizen members.
She noted the function identified for this group and requested Council's input as to whether this is still the
direction in which they would like to proceed. Ms. Bennett also questioned if they would like to appoint this
committee prior to or during the RFP process.
Paul Copeland/462 Jennifer StreetIV oiced concern with how much time the Council has worked on this in
Executive Session and in mediation session. He stated the public has not been involved in this and has not
been made aware of where the Council is on this matter. Mr. Copeland voiced concern with the lack of public
input and stated there are qualified experts in this region who could comment and provide input that would
improve the RFP. He also voiced concern with Mt. Ashland Association being responsible for the selection of
the QAIQC Team. Mr. Copeland recommended the Council: 1) postpone the timber settlement sale contract
until they have the restoration fund reset, 2) reaffinn their commitment to the principles of the 2005
resolution, including the business plan and restoration fund, and 3) have the RFP postponed until public input
has been provided.
Councilor Jackson clarified the Council has had to discuss this issue during Executive Session due to the
pending litigation. She also commented that if they delay the settlement sale, they will have breached the lease
agreement with Mt. Ashland Association and will be taken to court, and voiced support for sending the letter
to the Forest Service.
Councilor Hartzell noted she had submitted suggested changes to the draft letter and briefly reviewed her
proposed modifications.
Councilor Navickas commented that action does not need to be taken at this time and stated the Council needs
to make a finn stand that until the resolution is met, they will not release the timber sale. He recommended the
Council submit a letter to the Forest Service stating they will maintain the directive through the City, and also
send a letter to Mt. Ashland Association indicating they will not move forward with this until they have an
agreement on the 2005 resolution. He added that this is not about stopping the expansion, it is about
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protecting the City from liability.
Councilor Jackson noted that the letter clearly states the City is not convinced the $200,000 amount is
sufficient to cover restoration costs. She stated this letter to the Forest Service would keep the City moving
forward in reaching an agreement on the restoration value and the QA/QC Team.
Councilor JacksonlSilbiger mls to approve the letter as drafted with the revision to paragraph two,
sentence one; the spelling correction; and changing the word "two-hundred thousand dollar bond" to
"surety bond". DISCUSSION: Councilor Hardesty expressed concern that if they send this l~tter it gives
Mt. Ashland Association permission to cut the timber. Roll Call Vote: Councilors Silbiger, Chapman and
Jackson, YES. Councilors Hartzell, Hardesty and Navickas, NO. Motion fails 3-3.
NEW AND MISCELLANEOUS BUSINESS
1. Draft Ballot Measure Interim Funding for Ashland Public Library.
Item delayed due to time constraints.
2. AFN Retailer (ISP) Agreement.
Item pulled for future Council Meeting.
ORDINANCES. RESOLUTIONS AND CONTRACTS-continued
9. First Reading by title only of an Ordinance titled, "An Ordinance Amending the Ashland
Municipal Code, Chapter 2.12, City Planning Commission."
Item delayed due to time constraints.
10. Second Reading by title only of an Ordinance titled, "An Ordinance Amending AMC 3.08.020 To
Apply Ethics Provisions to Employees, Appointed Officials and Elected Officials."
Item postponed to the July 17,2007 Council Meeting.
OTHER BUSINESS FROM COUNCIL MEMBERS/REPORTS FROM COUNCIL LIAISONS
1. First Reading of a Resolution titled, "A Resolution Supporting the Employee Free Choice Act."
Item delayed due to time constraints.
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ADJOURNMENT
Meeti adjourned at 10:30 p.m.
Barbara Christensen, City Recorder