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HomeMy WebLinkAbout2005-0906 Council Mtg Packet CITY OF ASHLAND AGENDA FOR THE REGULAR MEETING ASHLAND CITY COUNCIL September 6, 2005 Civic Center Council Chambers, 1175 E. Main Street 7:00 p.m. Regular Meeting: I. PLEDGE OF ALLEGIANCE: II. ROLL CALL: III. APPROVAL OF MINUTES: Regular Council Meeting Minutes of August 16, 2005 [5 minutes] IV. SPECIAL PRESENTATIONS & AWARDS: 1. Presentation and Update by the Bicycle & Pedestrian Commission. [5-10 minutes] 2. WW II Medals Awarded to John Billings. [5-10 minutes] V. CONSENT AGENDA: [5 minutes] 1. Minutes of Boards, Commissions, and Committees. 2. Approval of Grant Distribution Greater than $75,000. 3. Approval of Sole-source Procurement and Public Contract Greater than $75,000. VI. PUBLIC HEARINGS: (Testimony limited to 5 minutes per speaker, unless it is the subject of a Land Use Appeal. All hearings must conclude by 9:00 p.m., be continued to a subsequent meeting, or be extended to 9:30 p.m. by a two-thirds vote of council {AMC ~2.04.040}) 1. Public Hearing re Clover Lane and First Reading of "An Ordinance Withdrawing an Annexed Area from Jackson County Fire District No.5 (Pacific Western of Medford, LLC, Annexation, End of Clover Lane)." [10 minutes] 2. Public Hearing re Amendment to Sign Regulations and First Reading by Title only of "An Ordinance Amending Chapter 18.96, Sign Regulations, Regarding the Number of Business Frontages." [60 minutes] VII. PUBLIC FORUM: Business from the audience not included on the agenda. (Total time allowed for Public Forum is 15 minutes. Speakers are limited to 5 minutes or less, depending on the number of individuals wishing to speak.) [15 minutes maximum] VIII. UNFINISHED BUSINESS: IX. NEW AND MISCELLANEOUS BUSINESS: 1. Designation of Voting Delegate for NLC Meeting. [10 minutes] 2. Quarterly AFN Report. [10 minutes] 3. Water Recycling Task Force Ad Hoc Committee Formation [20 minutes] X. ORDINANCES, RESOLUTIONS AND CONTRACTS: 1. Reading by Title only of "A Resolution re Authorizing a Cable Television Rate Increase in the Telecommunications Fund and Surcharge on Electric Accounts." [10 minutes] COUNCIL MEETINGS ARE BROADCAST LIVE ON CHANNEL 9 VISIT THE CITY OF ASHLAND'S WEB SITE AT WWW.ASHLAND.OR.US 2. First Reading by Title only of "An Ordinance of the City of Ashland, Oregon, Granting a Franchise to Avista Corporation for the Construction, Operation, and Maintenance of Natural Gas Facilities Within the City of Ashland, Oregon." [10 minutes] 3. Reading by Title only of "A Resolution Protecting the City of Ashland from Mt. Ashland Ski Area Business and Environmental Risks" and "A Resolution of the City of Ashland Identifying City Policy Relating to the City's Obligations as the Permit Holder for the Mt. Ashland Ski Area." [45 minutes] XI. OTHER BUSINESS FROM COUNCIL MEMBERS/REPORTS FROM COUNCIL LIAISONS: Comments regarding Oregon Department of Transportation and the Department of Land Conservation and Development proposed changes to State transportation goals and rules. [20 minutes] XII. ADJOURNMENT: REMINDERS A study session will be held on Wednesday, September 7 at noon in Council Chambers. Topics of discussion will include: 1) Future Study Session dates and times 2) RVTD A/so A joint study session with City Council, Parks & Recreation Dept., and the School Board will be held on Thursday, September 8 at 7:00 p.m. in Council Chambers. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Administrator's office 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 to ensure accessibility to the meeting (28 CFR 35.102-35.104 ADA Title I). COUNCIL MEETINGS ARE BROADCAST LIVE ON CHANNEL 9 VISIT THE CITY OF ASHLAND'S WEB SITE AT WWW.ASHLAND.OR.US ASHLAND CITY COUNCIL 1\1EE71NG AUGUST 16,2005 PAGE I of7 MINUTES FOR THE REGULAR MEETING ASHLAND CITY COUNCIL August 16,2005 -7:00 p.m. Civic Center Council Chambers, 1175 E. Main Street CALL TO ORDER Mayor Morrison called the meeting to order at 7:00p.m. in the Civic Center Council Chambelrs. ROLL CALL Councilor Hardesty,-Amarotico, Jackson, Silbiger and Chapman were present. Councilor Hart:z4~1l was absent. APPROVAL OF MINUTES The minutes of the Regular Council Meeting of August 2,2005; Executive Meeting of August 2,2005; and Continued Meeting of July 20, 2005 were approved as presented. SPECIAL PRESENTATIONS & AWARDS 1. Presentation ,and Update by Conservation Commission. Conservation Commissioners Charles Bennett and Ross Finney presented the update to the Council. They explained that the primary directive of the Commission is to educate and advocate for the wis'~ and efficient use of resources by the City of Ashland and its citizens. It was explained that the Commission is achieving this directive by addressing the following issues: 1) Recycling and Source Reduction, 2) Solid 'Vaste/Landfill Issues, 3) Electric Conservation Issues, 4) Water Conservation Issues, 5) Resource Conservation Issues, 6) New Power Resource Decisions, 7) Renewable Resource Decisions, 8) Education of Citizens about Resource Efficiency Issues, and 9) Working Partnerships. A brief explanation of the numerous programs and projects of the Commission was provided. 2. Mayor's Proclamation of September as National Alcohol & Drug Addiction Recovery Month. Proclamation was read aloud. .........,'1~.- -<.~, .~"........!,p~.". CONSENT AGENDA 1. Minutes of Boards, Commissions and Committees. 2. Confirmation of Mayor's appointment of Allen Crutcher to the Historic Commission for a term to expire April 30, 2007. 3. Confirmation of Mayor's appointment of Sara-Lynne Simpson to the Youth" Activities.. Levy Commission. -. -,' ... . 4. Acceptance of trail easements. Councilor Jackson requested that Agenda item #4 be pulled for discussion. Councilor JacksonlHardesty mls to approve Consent Agenda items #1-3. Voice Vote: all AYES. Motion passed. Councilor Jackson noted that this item is a result of the work being done by the Ashland Woodlands Trails Association as part of the Master Trails Plan with the Parks Department and Planning Department. She explained that these easements were acquired from existing property owners to recognize the TID Trail as it crosses their properties and thanked the property owners for their willingness to assists in presc~rving the trails. Councilor Jackson/Silbiger m/s to approve Consent Agenda item #4. Voice Vote: all AYES. Motion passed. PUBLIC FORUM Melissa Mitcb.ell-Hoogel271 ffigh Street/Spoke regarding the "Save Our Schools &. Playgrounds" organization. rv[s. Mitchell-Hooge stated that this group has been working to preserve the Briscoe and Lincoln School playgrounds as neighborhood parks and submitted a proposal for their preservation to the Councii._ She noted that the proposal had already been provided to the Sch~l Board and would be presented to the Parks & Recreation Commission next week. [Copy of proposal was submitted into the Public Record) ASHLAND CITY COUNCIL l\fEE71NG AUGUST /6,2005 PAGE 2 of7 ..;. ,,: . . Brent Thompson/582 Allison Street/Spoke regarding parking in the Railroad District and limited inset parking on East Main. Mr. Thompson suggested that the City occasionally allow businesses along E. Main to purchase parking spots in the planting strip. He noted the parking issues related to the Armory and recommended that the City look into implementing the design plan for diagonal parking on B Street, which would provide 42 new spaces. He also suggested that the Council look into mandatory recycling on construction sitl~s. Ian Wallin/77CI Faith Avenue/Spoke on behalf of a group of citizens who are attempting to organize an effort that will monitor, document, and present to the City Council police activity that is unbecoming or i..:.....:.,~'...?}"j,{"..;;ii;nnpf()fessional. Mr. Wallin stated.thattheir intent is to promote professional behaYi0I~;irestor;e:~d.ignity.and: establish good rapport between the citizens and police. He requested public support and stated that comments or suggestions (~ould be emailedtoianwallin@yahoo.comorcopstoppers@yahoo.com. Philip LangnS8 B Street/Spoke regarding ethics and submitted a copy of the City Portland's Charter- Chapter 1.03 to the Council. Mr. Lang commented on the Council's acceptance of gifts from Oregon Shakespeare Festival and recommended that the Council adopt a code of ethics for Ashland's elected and appointed offici.als. The book "On Bullshit" by author Harry Frankfurt was presented to the Council as a gift. [Copy of Mr. Lang's written' testimony and attachments were submitted into the Public Record) PUBLIC HEARINGS 1. Public Heuring re An Appeal of Planning Action 2005-00328 - Request for a Conditional Use Permit to use one of the residential condominiums in a mixed-use building for one hotel/motel unit for the property located at 180 Lithia Way. Mayor Morrison read aloud the procedure for Public Hearing for Land Use Hearings and opened the Hearing at 7:45 p.m. City Attorney Mike Franell noted that the opponents would be limited to 5 minutes. Abstentions. Conflicts. Ex Parte Contacts Councilor Amarotico noted that he sat on the Hearings Board when the original applicant came forward seven years ago. Councilor Hardesty noted his involvement with the Historic Commission as the Council Liaison. Councilor Silbiger stated that he had sent an email to Colin Swales and noted that a copy of this correspondence has been submitted into the record. City Recorder Barbara Christensen clarified that all of the emails from Colin Swales had been submitted into the record as exhibits. It was clarified that the focus of tonight's hearing should be on the hoteVmotel issue; not on the previous raised issues regarding Planning Commissioner Kerry KenCairn. -.. Staff Renort City Planner Maria Harris stated that the application before the Council is a request for a Conditional Use Permit to use one residential unit in a mixed-use building for a hoteVmotel unit, and noted that the building is located in the C-I-D zoning district. Originally, this action was approved in April, 2005. Subsequently, it was called up for public hearing and the Hearings Board approved the action with 5 conditions at their June 4,2005 meeting. ASHLAND CITY COUNCIL i\fEE71NG AUGUST 16, 2005 PAGE 3 of7 Ms. Harris presented a slide show of pictures for the Council. She noted that a hotel or motel is a conditional use in the C 1 zone and stated that it is up to the Council to determine whether the proposal meets the defmition of a hotel or motel unit. This includes whether the unit has a "separate entrance directly exterior" and consists of "individual sleeping quarters, detached or in connected rows". She stated that the 120-day timeline expires on August 18th; therefore it is necessary for the Council to reach a decision at tonight's meeting. L Ms. Harris stated that theAMC defines a hotel unit as uA building in which lodging is provided to guests for compensation and in which no provisions are made for cooking in the lodging rooms. " While ,a motel unit is defined as "A building or group of buildings on the same lot containing guest units for rental to transients, with separate entrances directly exterior and consisting of jndividual sleeping quarters, detached or in . connected rows, with or without cooldngfacilities. " ~~ Comment was made questioning how a single unit would fall under the definition of motel, noting that the language in the definition states "units" (plural). Ms. Harris stated that this question would b(: best directed towards the applicant, and they have the burden of proof. Mr. Molnatprovidedabriefhistoryofthe.bu.JI!1ing. He stated that back in 2002, the space that isnow two garages was an open floor plan and was identified as either office or retail space. At the time of the building permit, that was modified and a request was made by the applicant to convert 600 sq. ft to two single space garages. Mr. Molnar stated that it is not uncommon for some changes to occur during the time between the planning approval and the building permit. Applicant Harold Dresner/1550 Tyler Creek RdlExplained that last year he and his wife purchased unit 301 at 180 Lithia Way from Archerd & Dresner, LLC, a company in which he is a partner. In February, th(:y applied for a Conditional Use Permit. Their plan was to live in the apartment during the fall and winter and rent it during spring and summer until they sold their existing home. He stated that they presented their appJlication for the CUP using the existing definition of a motel, realizing that it is odd to think of one unit as a motel, but noting that this was the only legal definition available. Mr. Dresner stated that the Planning Departnlent and Legal Staff felt that the unit fit this definition and stated that it is now up to the Council to make a judgment call. He explained that the requirement of two parking spaces to qualify as a motel was an existing protection that would prohibit other housing units downtown from turning into motel units and stated that the statements made by Colin Swales was a distortion of the facts. Mr. Dresner stated that from the start, the intent of Archerd & Dresner. was to sell the two condos in the Jasmine Building; it was only when consttvcti~)n was almost complete that he and his wife considered buying one of the units from the corporation. Comment was made questioning if the applicant would consider a "sunset clause" that would make the CUP valid for a limited time. It was also questioned how to distinguish when a CUP is needed, noting that the applicant can already rent the unit on a yearly lease or on a month to month basis. Mr. Dresner stated that they are aware that they currently have the option to rent the unit on a month to month basis, but felt that the unit would serve the needs to Ashland better if they were allowed. to rent it for shorter periods of time. Those Wishinl! to Provide Testimonv Bill Street/180 Mead/Spoke regarding the need for the conditional use to be compared to th(~ target use and stated that the applicant failed to do so. Mr. Street stressed that this was a threshold interpretation and stated that allowing this use could transform the nature of downtown. He noted the current diversity in the downtown and stated that the units downtown used to be for citizens who could not afford a house and stated that this action would reduce this type of housing. Mr. Street requested that the Council deny the application. ASHLAND CITY COUNCIL 1\1EE77NG AUGUST 16, 2005 PAGE -I of7 Jim Batzer/131 TerraceNoiced his support of the project and noted he is a long time resident: He stated that the downtown area is primary commercial and does not believe this application will change the area. Mr. Batzer stated that this is targeting a special market and there are a limited amount of people who would take advantage of it and requested that the Council approve the application. Jerome White/253 Third StreetJExpressed his support for Mr. Dresner's point of view and disagreed with the statement that this was "planning by stealth". He stated that mixed-use was an old concept that is coming back and thinks that however they can get housing downtown is a great thing. Mr. White stated that whether it is transient or not, it is still housing and makes our downtown lively. Erik Navickas/711 Faith/Stated that this is clearly not a motel; it was designed as a condo and that is what it is. He expressed his concern regarding setting precedence and the attempt to weaken the City ordinance. Mr. Navickas stated that the applicant did not need the CUP, as he can currently rent the unit and thinks that the City needs to be firm on their position and requested that they protect the character of downtown and not allow for vacation rentals. Barbara Allewr131 Terrace Street/Notedher:longtime.residencymtd voiced.supp0rtfordowntown travelers accommodations. Ms. Allen stated that if they only have accommodations on the outskirts of town, then they are creating a situation where visitors will go to Medford. She stated that this unit would help to support the local and downtown businesses and voiced her support for this planning action. Macki Grafton/535 Rock Street/Stated that she manages travelers accommodations and one of the most important factors for guests is that they be within walking distance of the theatre, restaurants and shops. She stated that there is not enough of this type of lodging available and people are being forced outto the motels on the edge of town.. Brent Thompson/582 Allison/Submitted the following written testimony: "I do not believe it matters whether a condominium unit is rented short term. It is still centrally located housing which will by its central location reduce vehicle trips and contribute to the vitality of the downtown. We need more housing downtown of whatever type. We need to generally allow four-story buildings andfour and one-half if the top floor is incorporated in the roof line. " Art Bullock/71~1 Glendower/Spoke regarding potential conflict of interest In regards to Planning Commissioner Kerry KenCairn and this planning action. Council questioned the reasoning for bringing forward the issue of conflict of interest due to this being a de novo hearing. Assistant Attorney Mike Reeder clarified that since this is a de novo hearing, anything that is done during this hearing would cure any potential defect. Staff Responsf: In response to the conditional use being compared to the target use, Mr. Molnar explained that the target of this zone is retail commercial, and this building is being compared to a 5,000 sq. ft. retail business. He stated that Staff felt that providing a mixed use building with one motel unit would not have an adverse material impact on the livability when compared to a 5,000 sq. ft. single use retail building given the types of businesses that could operate in such a facility. Mr. Molnar commented on the issue raised regarding permanent housing vs. vacation rentals. He stated that the Downtown Plal1t speaks of the advantages of permanent housing, but noted that the City's Economic Element, which was upda.ted in 1991, identified a large deficit of tourist accommodations by 2005. He stated that there ASHLAND CITY COUNCIL A1EE71NG AUGUST 16,2005 PA.GE 5 of 7 are merits to both housing and tourist accommodations downtown and stated that the Land Use Ordinance does not state a certain balance. Councilor Jackson! Amarotico m/s to extend Public Hearing to 9:30 p.m. Voice Vote: all AYES. MOtion passed. Rebuttal - Mr. Dresn~r addressed the threshold issue and stated that this was not a legitimate concern because of the two parking space requirement. In regards to the target use issue, he stated that there was no legal impediment to his use of the residence and stated that the target issue was not relevant. He stated again that it is up to the Council to make this judgment call and noted his disappointment that this application has resulted in Kerry KenCairn's name being impugned. He stated that she is a hardworking, honest commissioner and does not deserve this negative attention. - .. Public Hearin2 Closed: 9:03 p.m. " Council Deliberation Mayor Morrison stated that the Council can choose to approve the application, deny the application, or approve with additional conditions. Suggestion was made for the Council to begin the deliberations on the definition of hotel and motel. Statement was made that the unit does not fit the definition of a hotel or a motel. There was agr(~ement voiced to this and it was commented that it would be a stretch to call the unit a motel. Explanation was given that a motel is thought of as having multiple units and it was noted that a single unit such as this would not need an onsite manager. Statement was made that at this point in time, the code does not allow using the rules for travelers accommodations for downtown housing, and it would be preferable to clean up the hmguage in the code rather than making an exception in this case. Additional comments were voiced in regards to the single unit meeting the definition of a motel. It was explained that the hotel definition would not apply because the unit has a kitchen, and the motel definition would not fit because that definition implies multiple units with an onsite manager. Mayor Morrison voiced his concern that if they stretch the definition they could open themselves up to unintended consequences;'. He-added that Staff has recently started of process of correcting some of these ambiguities in the code. Councilor Hardesty/Jackson m/s to deny the application. DISCUSSION: Comment was made that if there was a precedent set, it would not be a bad one. Roll Call Vote: Councilor Silbiger, Chapman, Hardesty, and Jackson, YES. Councilor Amarotico, NO. Motion passed 4-1. Assistant City Attorney Mike Reeder presented to the Council preliminary findings for their consideration and requested that t~ey provide Staff direction on the proposed language. Request was made for the findings to focus on the definition of the motel issue, and not on the access issue. It was noted that the reasonable interpretation of the definition is that there is more than one unit and there is a manager associated with the facility. Request was made for the findings to include an additional paragraph after 2.3 that addresses this issue. Mr. Franell suggested the addition of the language "We find the proposal does not meet the definition as a motel because it is only a single unit, and because there is no proposed onsite manager. " ASHLAND CITY COUNCIL 1\1EE71NG AUGUST 16,2005 PAGE6of7 Councilor Jac~~onlHardesty mIs to approve Findings & Conclusions for P A #2005-00328.as amended. Roll Call Vote: Councilor Hardesty, Amarotico, Silbiger, Chapman and Jackson, YES. Motion passed. UNFINISHED BUSINESS (None) NEW AND MISCELLANEOUS BUSINESS: 1. Adoption of Engineering Design Standards for Public Infrastructure Improvements. Interim Public 'Vorks Director Joe Strahl and Associate Engineer Peter Smeenk presented the Staff Report to the Council. Mr. Smeenk noted that he had previously submitted the Engineering Design Standards to the Council several months ago, and stated that it was important for the Council to provide input so that they can move forward. He noted that there is a technical advisory group that meets frequently and noted that there is an o~ortunity to make .revisions every six months. Council voiced support for the document and the importance of having consistent standards requirements throughout the eommunity was noted. Request was made for Staff to clarify-why the arterials are designed for a minimum. speed of 45.mph. Mr. Smeenk explained that this is the standard that they are required to design to for any projects that receive federal or state :funding. He stated that this is the minimum they have to design for and clarified that this is different from a target speed. He stated that while the street design has to accommodate speeds of 45 mph, the City's Street Stmdards promote the slowing down of speeds as much as possible. Councilor Jacl~onlHardesty mIs to adopt the Engineering Design Standards for Public Infrastructure Improvements. Voice Vote: all AYES. Motion passed. 2. Ninth Annual report on implementation of the Valdez Principles Electric Director Dick Wanderscheid presented the Annual Report and provided a brief history of the Valdez Principles. He stated that the report consists of a list of the programs, initiatives and City activities that support each of the prindples, and stated that this was an ongoing and growing list of activities. It was noted that items that have been accomplished or are no longer being worked on are in parenthesis, and new items that have been added are iln italics. Mr. Wanderscheid provided an explanation of the new items that have been added to the list, which include: · Purchase of a new Bio-fuel Tank · Greening the World W ellness Weekend · Cities for Climate Protection · Temperature Study for the WWTP Effluent · Piping of Filter Backwash Water to the WWT Plant · The City's Public Works Department will be purchasing a New Hybrid vehicle for use by the Water Department Mr. Wanderscheid noted that Staff was considering a better fonnat of the report and requested Council's input. Art Bullock/79'1 Glendower/Spoke regarding the AshlandConstitution.org group and how they considered the Valdez Principles when developing the core values driving city government. Mr. Bullock questioned why the Valdez Principles were not in the City Charter and why there have not been more reports in the past. He feels that the City has taken a values-driven process and turned it into Staff busywork. Mr. Bullock offered three suggestions: 1) Place Valdez Principles on city web site and link to projects, 2) Use Valdez Principles when setting annual c~ouncil goals, and 3) Take these principles to heart. [Mr. Bullock written comments were submitted into the Public Record) Request was made for staff to look into detennining if it is possible for citizens to research what is on the list. ASHLAND CI7T COUNCIL f\fEEnNG AUGUST 16, 2005 PA.GE 7 of 7 Opposition was voiced to placing the Valdez Principles in the City Charter. Comment wasrilade that the values might belong in the Charter, but the principles do not because they are continually changing. Councilor Chapman/Jackson m/s to direct Staff to design an Ashland Green Fleet PrograJn and report back to the City Council for approval. The goal will be to conserve money and our environment by reducing the use of fuels, favoring renewable clean fuels and minimizing air emissions. DISCUSSION: Councilor Chapman offered the following suggestions for'the program: 1) Collect data · Catalog city vehicles and their fuel consumption . Determine total costs of fuels (considering both monetary and environmental impacts) 2) Optimize vehicle travel, operation & maintenance .' 3) Substitute other modes of travel or reduce the need to travel 4) Use clean fuels in existing equipment when possible 5) "Right-size" the replacement vehicles by downsizing or eliminating vehicles you do not need 6) Purchase the most fuel-efficient and lowest emission vehicle possible and consider alternative fuels, hybrids and electric vehicles 7) Investigate. state fleet pricing for green vehicles: . 8) Report results periodically to the City Council Voice Vote: all AYES. Motion passed. Councilor Jackson/Chapman mls to extend meeting to 10:30 p.m. Voice Vote: all A YES.l\1[otion passed. Request was made for Staff to provide a status report on each phase of the Cities for Climate project. Mr. Wanderscheid stated that students from SOU are working on this project and have provided two status reports and he would provide these to the Council. 3. Quarterly Financial Report: April- June, 2005. Finance director Lee Tuneberg presented the Staff Report to the Council. He reminded the Council that these are preliminary numbers and noted that Staff has been preparing for the audit. Mr. Tuneh~rg stated that operating revenues are at 990/0 of budget. The Personal Services category is at 950/0 of budget city-wide and Materials and Services is at 92% with Debt Service at 98%. He stated that it is their goal to be alt 100% or less in these categories. He also stated that the Financial Report will be presented to the Council in October after being accepted by the Audit Committee. Councilor Silbiger/Jacksoo.mJs"to approve the Quarterly Financial Report. Voice Vote: all AYES. Motion passed. ORDINANCES. RESOLUTIONS AND CONTRACTS (None) OTHER BUSINESS FROM COUNCIL MEMBERS (None) ADJOURNMENT Meeting was adjourned at 10:13 p.m. Barbara Christensen, City Recorder John W. Morrison, Mayor '-II. VI" ASH Li\.N D Council Communication Bicycle & Pedestrian Commission Annual Presentatio,n Meeting Date: September 6, 2005 Department: Community Delel ent Contributing Departments: Planni Approval: Gino Grimaldi <: Primary Staff Contact: Derek Severson dl5' E-mail: seversod@ashland.or.us Secondary Staff Contact: Bill MOlnar~D1!'"\. E-mail: molnarb(CD.ashland.or.us <H> Estimated Time: 5-10 Minutes Statement: The Bicycle and Pedestrian Commission would like to take this opportunity to provide its annual update to the Council and make the Councilors aware of our plans for this year's Ashland Car Free Day Festival on September 2200,2005. Background: The Bicycle and Pedestrian Commission is established under Municipal Code Chapter 2.22, which was last updated by Ordinance #2832 in 1998. The Commission consists of nine voting members, one of whom is a City Councilor, and four non-voting members including representatives from the Rogue Valley Transportation District (RVTD), Community Development, Public Works and Police. The primary purpose of the Commission is to advocate for the equal opportunity to use non-automotive forms of travel and to ensure the development of bicycle and pedestrian facilities injto a well-designed, integrated transportation network for all Ashland citizens. Related City Policies: Ashland Comprehensive Plan, Transportation Element - Pedestrian and Bicycle Transportation Council Options: For information only. Staff Recommendation: For information only. Potential Motions: For information only. Attachments: None. r~' Minutes AFN Programming Committee Minutes 07/28/05 These Minutes are preliminary pending approval by AFN Programming Committee at the September 29, 2005, AFN Programming Committee Meeting. MINUTES FOR AFN PROGRAMMING COMMITTEE July 28, 2005, 5:30 p.m. Community Development Building 51 Winburn Way Ashland CALL TO ORDER Chairperson, Ed Perkins, called the meeting to order at 5:35 p.m. in the large conference room of the Community Development Building. ROLL CALL Attendees: Ed Perkins, Candice Chapman, .Pamela Garrett, Marilyn Hawkins and Budd Gottlieb were present. Gary Simms, James Olney were not present. City Council Liaison: Alex Amarotico, not present Staff Liaison: Lee Tunebuerg, Mike Ainsworth APPROVAL OF MINUTES Chairperson Perkins asked for approval of the June 23, 2005 minutes. Committee member Garrett made a motion to approve the minutes of the June 23, 2005 as written, and Committee member Chapman seconded the motion. Voice vote: all Ayes. The motion passed with a unanimous vote. PUBLIC FORUM None present OLD BUSINESS List Serve Email Update Mr. Ainsworth explained the members of the committee, Mr. Amarotico, Mr. Tuneberg, Mr. Ainsworth, Ms. McClary, and Mr. Holbo are subscribers to the list serve. Mr. Ainsworth is the List Serve Monitor. Chairperson Perkins would like to pursue getting a white list. Channel and Tier Discussion 1. KBLN, RVTV------KBLN (Better Life TV) will take channel 11 position, and RVTV will move to channel 97 on August 2ih. 2. JCTV--------------Mr. Ainsworth reported JCTV will pay .05 cents per subscriber, which would be approximately $160.00 annually. AFN will need to purchase a receiver. JCTV is an entity of TBN. (Trinity Broadcasting Network). The members discussed the background as it applied to public input, youth market, number of Religious channels and cost. Committee member Gottlieb made a motion not to add JCTV at this time, and Committee member Chapman seconded the motion. Afn Min 07 28 05 Page 1 of 3 The members further discussed the issues at hand. Voice vote: Ayc~s: Candice Chapman, Pamela Garrett, Marilyn Hawkins and Budd Gottlieb. OppoSE!d: Ed Perkins The motion passed with a majority vote. 3. HDTV Discussion---Chairperson Perkins remarked this discussion would include items 4& 5. He reported AFN had lost subscribers because we did not carry HDTV. Mr. Ainsworth explained because of the costs associated with HDTV, AFN would either lose money or break even, and he noted we lose approximately 3 subscribers a month because we do not offer HDTV. Charter offers 11 HD networks and he feels we would need to match the offer. The members discussed costs, current subscribers, opportunities and concluded as a Committee that HDTV would be essential in the future. Chairperson Perkins made a motion that the Programming Committee recommends the addition of high definition channels as quickly as business case can do done, in terms of costs and other operational factors. The motion was seconded by Committee member Chapman. Voice vote: all Ayes. The motion passed with a unanimous vote. 4. ESPN HD-included in above discussion 5. DisGover HD-included in above discussion 6. Othler -none NEW BUSINES~~ Chairperson Perkins reminded the members that staff was to look into two new channels, Logo and Shalom. Mr. Ainsworth reported Shalom will launch in December to coincide with Hanukkah, and the technical terms are not yet worked out. Logo launched June 28th with 20 million subscribers. . The members discussed different aspects of adding the Logo channel including costs, tiers and requirements. Committee memb,er Chapman made a motion to approve the addition of Logo, pending Mike Ainsworth contractual prowess, subject to a satisfactory negotiation. Committee member Garrett seconded the motion. Voice vote: all Ayes. The motion passed with a unanimous vote. Committee member Gottlieb presented to the Committee the idea of meeting with the newly formed AFN Options Committe1e. Mr. Tuneberg explained that the Options Committee would also like to meet with the groups associated with AFN and offered to bring this Committee's desire to their next meeting. . Chairperson Perkins made a motion that this Committee expresses strong interest meeting with the Option S Committee under circumstances and schedules to be determined. Committee member Gottlieb seconded the motion. Committee member Chapman requested the Programming Committee call for a joint study session and Mr. Tuneberg would explore this option. Committee membl~r Hawkins amended the prior motion to add a joint study session and have a fall back position if they decline. The Chairperson accepted the amendment and it was seconded by member Gottlieb. Voice vote: all Ayes. The motion passed with a unanimous vote. Afn Min 07 28 05 Page 2 of 3 CHANNEL AND TIER DISCUSSION Committee member Chapman requested the Committee discuss the Shopping channels. She discussed the most recent survey results and different aspects of adding other channels. The members discussed cluttering and diminishing the products, and they differed in opinions. The members discussed Shop at Home and decided to consider this Channel at a future meeting. NEXT MEETING DATE September 29th, 2005 Location change: 90 North Mountain Ave, in the Electric Conference Room. ITEMS NOT ON THE AGENDA Mr. Ainsworth reported Pax TV will be available through I Network. ADJOURNMENT Meeting adjourned at 6:55pm. Respectfully submitted by, Mary McClary, Assistant to Electric Department Afn Min 07 28 05 Page 3 of 3 CITY 4()F ASHLJ~ND Council Communication Approval of Grant Distribution Greater than $75,000 Meeting Date: September 6, 2005 Department: Administrative ~ices Contributing Departments: NA Approval: Gino Grimaldi '~ Primary Staff Contact: Lee Tuneberg ~ E-mail: tuneberl@ashland.or.us Secondary Staff Contact: E-mail: Estimated Time: Consent Agenda Statement: Resolution 2004-32 provides for the Ashland Chamber of Commerce and the Oregon Ehake&p.eare Festivatto .receive grant funding from the Transient Occupancy Tax each budget year through the Economr(~ and Cultural- Development grant process. The City Council adopted the 2005-06 budget which included grant funds for the Ashland Chamber of Commerce of $245,241 and the Oregon Shakespeare Festival of $112,200. Background: Resolution 2004-32 states that beginning in Fiscal Year 2004/2005, the city council will appropriate thirty three and one third percent of the anticipated Hotel/Motel tax monies for Economic and Cultural Development. The amount to be allocated annually to the Ashland Chamber of Commerce (COC) and Oregon Shakespeare Festival for promoting tourism per the state definition shall be $80,432 and $110,000, respectively, adjusjled each year by the amount of inflation or deflation established in the Budget process. An additional amount of $160,000, adjusted each year by the amount of inflation or deflation established in the Budget process willlbe granted annually to COC for economic development projects in cooperation with City staff. Related City Policies: Resolution 2004-32 Council Options: Approve Ashland Chamber of Commerce and Oregon Shakespeare Festival grant contract for signature. Revise current Resolution. Staff Recommendation: Staff recommends approval of the Ashland Chamber of Commerce and Oregon Shakespeare Festival Economic and Cultural Development contracts. Attachments: Resolution 2004-32 Ashland Chamber of Commerce contract Oregon Shakespeare Festival contract ~~. .~.~ RESOLUTION NO. 2004- ?:>'L A JlESOLUTION OF THE CITY COUNCIL OF THE CITY OF ASHLAND RJB:ITERATING ITS POLICY OF RELATING THE EXPENDITURE OF MONIES FOR ECONOMIC AND CULTURAL DEVELOPMENT TO THE HOTEL/MOTEL (Transient Occupancy) TAX AND REPEALING RESOLUTION 2004-11 THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTION 1. That the city council recognizes that the source of monies for the Economic "and Cultural Development Grant program is the Hotel/Motel Tax. SECTION 2. The following are the goals which the Economic and Cultural Development Committ'ce is attempting to meet by granting money to applicants: a) Tourism Promotion. b) Economic Development by: 1) Re:sponding to general inquiries about business in the city; 2) Providing assistance to existing small businesses; 3) Providing technical and financial assistance for the expansion of existing businesses; 4) Providing technical and financial assistance for the development of new businesses; or 5) Providing such 'other services and support to business as the city council may deem beneficial. c) Cultural Development. SECTION 3. Beginning in Fiscal Year 2004/2005, the city council will appropriat(~ thirty- three and one-third percent (33.3%) of the anticipated HotellMotel tax monies for Economic and Cultural Development. The City of Ashland has determined that as of July 1, 2003, $186,657 or 14.230/0 of total HotellMotel tax revenues were expended on tourism promotion, as definc.::d in Chapter 818 of the 2003 Oregon Laws, and will continue to be spent on tourism promotion increased or decreased annually consistent with the estimated TOT revenues budgeted. The amount to be allocated annually to Ashland Chamber of Commerce (CaC) and Oregon Shakesp1eare Festival (OSF) for promoting tourism per the state definition shall be $80,432 and $] 10,000, respectively, adjusted each year by the amount of inflation or deflation established in the Budget process. An additional amount of $160,000, adjusted each year by the amount of inflation or deflation established in the Budget process, will be grant(~d annually to COC for economic development projects in cooperation with City staff. The allocations in this paragraph shall sunset after three years. Any additional amount for tourism required by Chapter 818 shall be allocated to COC, OSF or other group during the budget process. The remainder of the monies budgeted for these grants may be allocated to grantees for activities fitting in any of the three categori(:s set forth in Section 2 of this Resolution. TOT Resolution 9/07/04 page I of 2 By January 31 of each year each recipient of grants under this resolution shall submit a report to the city council setting forth how the grant funds received were expended in furtherance of the goals set forth in Section 2. SECTION 4. The following guidelines and criteria are established for the Economic and Cultural Development Grants: a) Grantee shaH be a 501(c) non-profit agency. b) Grantee shall be a non-governmental agency. c) Grantee shall promote livability for the citizens of Ashland. d) The minimum grant proposal will be $1,000. ~) The grant will benefit Ashland in regards to enrichment and activities of an economic nature. t) Grantee shall serve the population in Ashland but may encompass other venues in the Rogue Valley. g) Irrespective of sub-paragraph 'b', the City of Ashland Public Arts Commission may apply for and receive funds. SECTION 5. Resolution 2004-11 is repealed upon passage of this resolution. SECTION 6. This resolution takes effect upon signing by the mayor. This resolution was read by title only in accordance with Ashland Municipal Code Section 2.04.090 duly . ~r~ ~~ PA~TED this><day of ~ 2004 ~ , Barbara Christensen, City Recorder ff./~'19 ~ SIGNED and APPROVED thisje( day ~ 2004: ~-P~ Alan DeBoer, Mayor TOT Resolution 9/07/04 page 2 of 2 CITY OF ASHLANJ: Agreement for Services Between City of Ashland And Ashland Chamber of Commerce Agreement between the City of Ashland (City), the Ashland Chamber of Commerce (CoC) and the Ashland Visitor and Convention bureau (VCB) for fiscal year 2005-06. Recitals A. The VCB shall receive $80,432 for promoting tourism inAshlandbas~d upon Ashland City Council Resolution 2004-32. That amount will be adjusted each year by the amount of inflation or deflation established in the budget process. The amount awarded for FY 2005-06 is $82,041, which will be disbursed in monthly amounts of $6,836.75 for the fiscal year. Expenditures of these funds must meet the requirement of ORS 320.300 through ORS 320.350. B. The CoC shall receive $160,000 for the purpose of economic development in Ashland based upon Ashland City Council Resolution 2004-32. That amount will be adjusted each year by the amount of inflation or deflation established in the budget process. The amount awarded for FY 2005-06 is $163,200, which will be disbursed in monthly amounts of $13,600 for the fiscal year. C. The City, CoC and VCB now enter into this Agreement to identify their roles and responsibilities. Purpose The City relies on the VCB to promote Ashland to visitors traveling from more than 50 miles to Ashland and/or visitors who stay overnight in Ashland. Promotion includes advertising, publicizing, distribution of printed materials, marketing special events and festivals, conducting strategic planning, visitor center management and research necessary to stimulate tourism development. The City of Ashlctnd has established a system of shared responsibility with the CoC to handle typical economic development types of needs. Currently the Chamber provides the following kinds of services: coordinated marketing, rapid response team to inquiries, relocation services, point-of-contact management and information services, general inquiries, training for local business anq coordination with the Small Business Association. The City of Ashland's comprehensive Plan is the guiding document for all development within the community. The plan incorporates ten specific elements related to development. The economic development element is identified in Chapter 7. Finance Department D.L. Tuneberg, Director 20 East Main Street Ashland. Oregon 97520 www.ashland.or.us Tel: 541-488.5300 Fax: 541-488-5311 ID: 800-735-2900 ~~, The CoC will emphasize, in it's economic development activities, the importance of maintaining Ashland's small-town feel and portraying Ashland as a family friendly community that supports its schools and places great value on the quality of education offered. Overall Objectives Retention and Expansion of Existina Business The CoC will develop and implement on-going strategies on retaining and expanding existing businesses, particularly those businesses that are non-tourism related, in Ashland with an emphasis on creating additional family wage jobs. I. Methodology: Adopt an aggressive and focused business retention plan, which is research and relationship based. II. Promotion: Offer assistance to all City of Ashland cultural and economic development grant recipients to make them aware of the wide array of business support r~sources, in Ashland, southern Oregon and the State of Oregon. ' III. Service Delivery: Organize processes by which any existing business interest may acquire accurate and timely information with regard to making a business expansion dE~cision to stay in Ashland. IV. Advocacy: Establish multiple pathways in which a local business may acquire specialized support in growing their business, to include conduits to other agencies, governments, applicable organizations or existing community leadership for the purposes of retaining jobs in Ashland. New Business Development The CoC will develop and implement on-going strategies with emphasis on creating new family wage jobs by attracting new businesses to Ashland. The strategy will focus on non-tourism related businesses. I. Methodology: Adopt an aggressive and focused new business recruitment plan, which is research and relationship based. II. Promotion: Attract the attention of potential new businesses through networking, making personal or telephone contact, and organizing special events. III. Special Delivery: Organize processes by which any outside business interest may acquire accurate and timely information with regard to making a business location decision in favor of Ashland. IV. Advocacy: Establish multiple pathways in which a potential new-business may acquire specialized information on which to base their decision to locate in Ashland, to include conduits 2 Finance Department D.L Tuneberg, Diector 20 East Main Street Ashland. Oregon 97520 www.ashland.or.us Tel: 541-488-5300 Fax: 541-488-5311 TTY: 800-735-2900 ~~. .~-~ to other agencies, governments, applicable organization or existing community leadership for the purposes of creating jobs in Ashland. Tourism The VCB will develop and implement a year-to-year strategy to maintain current levels of tourism in Ashland and increase tourism from November through February, known as the shoulder season. I. Methodology: Adopt an aggressive and focused tourism promotion plan, which is research and relationship based. II. Promotion: Focus on promoting visits to Ashland during the shoulder season and make assistanee available to Economic and Cultural Grant recipients. ... III. Service Delivery: Organize processes by which visitors may acquire accurate and timely information with regard to making a trip to Ashland and by which once in town, visitors can ~cquire accurate information about the community. Accountability Develop mechanisms for tracking progress, measuring success, auditing finances and reporting to the Ashland City Council on a yearly basis. Present a progress report on current fiscal year activities at least annually at a Council meeting. General Expectaltions I. Retain or create jobs through business assistance programs measured by job retention or expansion. II. Create new business and employment opportunities measured by job creation. III. Maintain or increase the number of outside dollars spent in Ashland retail, service and lodging businesSt9S as measured by increased revenues and transient occupancy tax revenue. IV. Reach out to other City of Ashland cultural and economic development grant recipients to assist them with their efforts. Specific Reauirements The CoC shall provide an annual report to the Ashland City Council no later than January 31 on its previous year's cictivities, which shall at a minimum consist of the following: I. Provide cl report of Ashland businesses, which received direct assistance from the CoC for the purpose I:>f retaining or creating new family wage jobs in Ashland. II. Provide cl report of prospective businesses the CoC made presentations to for the purpose of attracting new jobs to Ashland. III. Provide cl report of local and regional partnerships developed and maintained for the CoC for the purpose of business retention and development including but not limited to: SOWAC, 3 Finance Department D.L. TunebeIg, Director 20 East Mail Street Ashland, Oregon 97520 WWN.ashIand.or.us Tel: 541-488-5300 Fax: 541-488-5311 TTY: 800-735-2900 r., SOREDI, and AGA. Include documentation of supportive efforts including but not limited to offering educational workshops, cross promotion and web links. The VCB shall provide an annual report to the Ashland City Council no later than January 31 0!1 its previous year's activities which, shall at a minimum consist of the following: I. Provide a report on the variety of specific promotion activities executed for the purpose of attracting visitors to Ashland. Include samples of advertising, which include fanlily, quality of life and educational opportunities. II. Provide a report on the variety of specific promotion activities executed for the purpose of attracting visitors to Ashland during the shoulder season. Include samples of advertising, which include family, quality of life and educational opportunities. General Provisions 1. .Amount of Grant. Subject to the terms and conditions of this agreement,_the. City agrees tQ . provide funds in the amount specified above. 2. Use of Grant Funds. The use of grant funds is expressly limited to the objectives identified in this agreement. 3. Unexpended Funds. Any grant funds held by the Grantee remaining after the purpose for which the grant is awarded or this agreement is terminated shall be returned to the City within 30 days of completion or termination. 4. Financial Records and Inspection. Grantee includes in the annual report to the City a) copies of 501@ letter, IRS non-profit status and corporate bylaws; b) list of Board mernbers, their occupations, and years on the Board; c) financial statements showing previous year expenses and revenues; d) current and projected budgets (total organization and individual program's funded by this grant. 5. Living Wage Requirements. If the amount of this agreement is $16,379.00 or more, and if the Grantee has ten or more employees, then Grantee is required to pay a living vvage, as defined In Ashland Municipal Code Chapter 3.12, to all employees' and subcontractofSi who spend 500/0 or more of their time within a month performing work under this agreement. Glrantees required to pay a living wage are also required to post the attached notice predominant.ly in areas where it will be seen by all employees. 6. Default. If Grantee fails to perform or observe any of the covenants or agreenlents contained in this agreement or fails to expend the grant funds or enter into binding legal agreements to expend the grant funds within twelve months of the date of this agreement, th4~ City, by written notice of default to the Grantee, may terminate the whole or any part of this a~Jreement and may pursue any remedies available at law or in equity. Such remedies may include, but are not'limited to, termination of the agreement, stop payment on or return of the ~~rant funds, ". ,;, payment of interest earned on grant funds or declaration of ineligibility for the receipt of future grant awards. 4 Finance Department D.L Tuneberg, Director 20 East Main Street Ashland, Oregon 97520 WYfW.ashland.or.us Tel: 541-488-5300 Fax: 541-488-5311 T1Y: 800-735-2900 ~~. r..~ 7. Amendments. The terms of this agreement will not be waived, altered, modified, supplemented, or amended in any manner except by written instrument signed by the parties. Such wriitten modification will be made a part of this agreement and subject to all other_ agreemE~nt provisions. 8. Indemnity. Grantee agrees to defend, indemnify and save City, its officers, employees and agents harmless from any and all losses, claims, actions, costs, expenses, judgments, subrogation's, or other damages resulting from injury to any person (including injury resulting in death,) or damage (including loss or destruction) to property, of whatsoever nature arising out of or incildent to the performance of this agreement by Grantee (including but not limited to, Grantee's employees, agents, and others designated by Grantee to perform work or services relating jto Grantee's obligation under the terms of this agreement). Grantee shall not be held responsiible for damages caused by the negligence of City or anyone acting in behalf of City. 9. InsuranGe. Grantee shall, at its own expense, at all times for twelve months from the date of this agre!ement, maintain in force a comprehensive general liability policy. The liability under such policy shall be a minimum of $500,-eOOper occurrence (combin_ed single limit for bodily injury and property damage claims) or $500,000 per occurrence for bodily injury and $100,000 per occurrence for property damage. Liability coverage shall be provided on an "occurrence" not "claillls" basis. The City of Ashland, its officers, employees and agents shall be named as additional insures. Certificates of insurance acceptable to the City shall be filed with the City Risk Manager or Finance Director prior to the expenditure of any grant funds. 10. Merger. This agreement constitutes the entire agreement between the parties. There are no understandings, agreements, or representations, oral or written, not specified in this agreement regarding this agreement. Grantee, by the signature below of its authorized representative, acknowl,edges that it has read this agreement, understands it, and agrees to be bound by its terms and conditions. 11. Notices and Representatives. All notices, certificates, or communications shall be delivered or mailed postage prepaid to the parties at their respective places of business as set forth below or at a place designated hereafter in writing by the parties. 5 Finance Department D.L. Tuneberg, Director 20 East Main Street Ashland, Oregon 97520 www.ashland.or.us Tel: 541488-5300 Fax: 541488-5311 TTY: 800-735-2900 r~., CITY of Ashland: Gino Grimaldi City Administrator 20 East Main Ashland, OR 97520 Ashland Chamber of Commerce: Sandra Slattery 110 East Main Ashland, OR 97520 This Agreement constitutes the Entire Agreement between the parties. There are no understandings, agreements, or representations, oral or written, not specified herein regarding this agreement. No amendment, consent, or waiver or terms of this agreement shall bind either party unless in writing and signed' by all parties: Any such amendment, consent or waiver shall be effective only in the specific instance and for the specific purpose given. The parties, by the signature below or theilr authorized representatives, acknowledge having read and understood the Agreement and the parties agree to be bound by its terms and conditions. City of Ashland By Title Date Date ?--7--a3 ( 6 Finance Department D.L. Tuneberg, Director 20 East Main Street Ashland, Oregon 97520 www.ashland.or.us Tel: 541-488-5300 Fax: 541-488-5311 m: 800-735-2900 ~~. .~-~ CITY OF ASHLAND FINANCIAL ASSISTANCE AWARD CONTRACT CITY: CITY OF ASHLAND GRANTEE: Oregon Shakespeare Festival 20 E Main Street Address: P.O. Box 158 Ashland OR 97520 Ashland, OR 97520 (541) 488-5300 Telephone: 482-2111 FAX: (541) 488-5311 Date of this agreement: July 1, 2005 Amount of grant: $112,200, which will be distributed in monthly segments of $9,350 for the fiscal year. Budget subcommittee: Economic and Cultural Development Contract made the date specified abovebetween~ the City.of Ashland and Grantee named above. 1. Amount of Grant. Subject to the terms and conditions of this contract and in reliance upon Grantee's approved application, the City agrees to provide funds in the amount specified above. 2. Use of Grant Funds. The use of grant funds are expressly limited to promoting tourism activities identified in Resolution 2004-32, Section 2 as accepted by the budget subcommittee designated above. Grantee will report in writing on the use and effect of granted monies per the following: a. Within 90 days of the event completion (Single event applications) b. As part of a subsequent application for grant funds from the City c. Within 90 days of the budget fiscal year 3. Unexpended Funds. Any grant funds held by the Grantee remaining after the purpose for which the grant is awarded or this contract is terminated shall be returned to the City within 30 days of completion or termination. 4. Financ:ial Records and Inspection. Grantee shall maintain a complete set of books and records relating to the purpose for which the grant was awarded in accordance with generally accepted 8ccoul1ting principles. Grantee gives the City and any. authorized representative of the City access to and the right to examine all books, records, papers or documents relating to the use of grant funds. 5. Living Wage Requirements. If the amount of this contract is $16,379 or more, and if the Granteelhas ten or more employees, then Grantee is required. to, pay a living wage, as defined in Ashland Municipal Code Chapter 3.12, to all employees and subcontractors who spend 50% or more of their time within a month performing work under this contract. Grantees required to pay a living wage are also required to post the attached notice predominantly in area~ where it will be seen by all employees. 6. Defaullt. If Grantee fails to perform or observe any of the covenants or agreements contained in this contract or fails to expend the grant funds or enter into binding legal agreements to expend the grant funds within twelve months of the date of this contfaGt,'":the"c~:" City, by written notice of default to the Grantee, may terminate the whole or any part of this Grant Contract 2005-<>6 Page 1 of 2 contract and may pursue any remedies available at law or in equity. Such rE!medies may include, but are not limited to, termination of the contract, stop payment on or return of the grant funds, payment of interest earned on grant funds or declaration of ineli~libility for the receipt of future grant awards. 7. Amendments. The terms of this contract will not be waived. alterE!d, modified, supplemented, or amended in any manner except by written instrument signed by ,the parties. Such written modification will be made a part of this contract and ~subject to all other contract provisions. 8. Indemnity. Grantee agrees to defend, indemnify and save City, its officers, employees and agents harmless from any and all losses, claims, actions, costs, expenses, judgments, subrogations, or other damages resulting from injury to any person (inc:luding injury resulting in death,) or damage (including loss or destruction) to property, of whatsoever nature arising out of or incident to the performance of this agreement by Grantee (including but not .Iimited to, Grantee's employees, agents, and others designated by Grantee to perform work or ~ervicesattendant to this agreement}..o Grantee shall net be he!d responsible for damages caused by the negligence of City. 9. Insurance. Grantee shall, at its own expense, at all times for twelve months from the date of this agreement, maintain in force a comprehensive general liability policy including coverage for contractual liability for obligations assumed under this Contract, blanket contractual liability, products and completed operations, and owners and contractors protective insurance. The liability under each policy shall be C3 minimum of $500,000 per occurrence (combined single limit for bodily injury and property damage claims) or $500,000 per occurrence for bodily injury and $100,000 per occurrence for property damage. Liability coverage shall be provided on an "occurrence" not "claims" basis. The City of Ashland, its officers, employees and agents. shall be named as additional insureds. Certificates of insurance acceptable to the City shall be filed with the City's Risk ManagE~r or Finance Director prior to the expenditure of any grant funds. 10. Merger. This contract constitutes the entire agreement between the partiE~s. There are no understandings, agreements or representations, oral or written, not sp4~cified in this contract regarding this contract.. . Grantee, by the. signature below of its authorized representative, acknowledges that it has read this contract, understands it, and agrees to be bound by its terms and conditions. :~N~~~ Title ~~ Vv\t~ ~~ (""C2,. J.o/' C!TY OF ASHLIl.ND By Finance Director Date Account Number (for City use only) Grant Contract 2005-06 Page 2 of 2 CITY OF A.SHLAND Council Communication - Approval of Sole-source Procurement and Public Contract Greater than $75,000 Meeting Date: September 6, 2005 Department: Finance Contributing Departments: Public W(fJ(WWTP Approval: Gino Grimaldi Estimated Time: Consent Agenda Primary Staff Contact: Lee Tuneber!~ Jfh E-mail: tuneberl@ashland.or.us Secondary Staff Contact: Terry Ellis, 'NWTP E-mail: ellist@ashland.or.us Statement: This action is to request approval from the City Council, as the Local Contract Review Board, to enter into a public contract deemed to be a Sole-source Procurement. It has been determined based on written findings that Dry Creek Landfill is the closest approved landfill for the disposal of biosolids from the Wastewater Treatment Plant. Background: Biosolids from the Wastewater Treatment Plant are required to be disposed of in a manner that meets all federal and state regulations. The closest local approved disposal site for biosolids in the Rogue Valley is Dry Creek Landfill. Biosolids are hauled daily to the landfill site for burial. Dry Creek Landfill will accept the material at the current fee of $35.75 per ton through August 1, 2006. The estimated cost for fiscal year 2006 is $115,000.00. Annual costs for the previous three (3) years: 2005 $107,105.49 2004 $119,825.57 2003 $118,644.06 Related City Policies: AMC Chapter 2.50.070 (E) Sole source contracts for goods or services, or classes of goods or services, which are available from only one source which exceed $75,000, must be approved by the Local Contract Review Board. The Purchasing Agent shall provide public notice via the City's Internet website of the determination of a sole- source contract that exceeds $75,000 at least fourteen (14) days prior to the LCRB approval. AMC Chapter 2.50.060 (2) The Purchasing Agent is authorized to recommend that the Local Contract Review Board approve or disapprove contract awards in excess of $75,000, or to change orders or amendments to contracts of more than $75,000. Council Options: Local Contract Review Board can approve the Sole-source procurement or decline to approve the Sole-source procurement. r.i' Staff Recommendlation: Staff recommends that the City enter into a public contract with Dry Creek Landfill based on the written findings. Potential Motions: Local Contract Review Board moves to approve the public contract deemed to be a Sole-source Procurement. Attachments: Copy of Public Notiice published on City website August 22, 2005 Letter from Dry CrE!ek Landfill Written Findings r., PO Box 3187 Central Point OR 97502 July 21, 2005 541 7794161 Mr. Terry Ellis City of Ashland Wastewater Treatment Facility 90 Mountain Ave. Ashland, OR 97520 Fax 541 7794366 Dear Mr. Ellis, The purpose of this letter is guaranteeing the tonnage fee at Dry Creek Landfill for Ashland wastewater treatment sludge. Dry Creek Landfill Inc. will accept the material at the current fee of $35.75 per ton through August 1 of 2006. Should you have questions or comments, please call me at 494-5420 S7J.rel ,- (/~ '._>->~ Donald Cordell President, Dry Creek Landfill CIty ot Ashland, uregon - CIty 1'14ews OREGON 97520 Back Ashland Fiber Network .r agt; 1 Vi L.. @. ~~Y: ii: \~l~ r~;..1i.:: ,~#~~ill{r.IW~~IQ) . . HOME . MAYOR & COUNCIL PUBLIC NOTICE - Dry Creek Landfill PUBLIC NOTICE Sole-source Procurement First date of publication: August 22, 2005 It has been determined based on written findings that the following goods or service ",,~'::::'77"'''''77~'T'77'';''7:':~:~'':'''T777'c"' available from one source. i~..t!i\.rCh $.j.t~m~m · Ag.y.fI.n~~gL.$.~.M~h Biosolids from the Wastewater Treatment Plant are required to be disposed of in a I meets all federal and state regulations. The only local approved disposal site for bit Rogue Valley is Dry Creek Landfill. Biosolids are hauled daily to the landfill site for estimated cost for the current fiscal year is $115,000.00. . Annual costs for the previous three (3) years: 2005 $107,105.49 2004 $119,825.57 2003 $118,644.06 The contract terms, conditions and specifications may be reviewed upon request. An affected person may protest the determination that the goods and services are c only one source in accordance with OAR 137-047-0710. A written protest must be City of Ashland, Purchasing Office, 90 N. Mountain, Ashland, OR 97520, within sev after the first date of public notice of the Sole-source procurement. This public notice is being published on the City's Internet World Wide Web site at II days (14) prior to requesting the approval of the Local Contract Review Board as re Ashland Municipal Code 2.50.070 (E). Kari Ann Olson Purchasing Representative Tel: 541-488-5354 Fax: 541-488-5320 TTY: 800-735-2900 http://www.ashland.or.uslNews.asp?NewsID=1311 8/22/2005 UO/oJ.1./U.J ".&..:...1.1 ..Lu.u,,"* .a.n.a. u-:l..L "SVV UU.V ......,....~...,., _ t _ _ .......... --- .--- - - - -- - - - - - .-. .,' . .... ." c ",'.,'. .' :.. . .. .0,'. .,' .... . . :.. .... . I.T .Y.. ...f.. .... ,'~:.:.S. ':'::'~I','L..,,':.:'j(. "N. ...:.....:,'0. ....: .":.:,' ~ .. :~'T,':'.. '.:0:: ..,':....:: ':.'.:':.: Memo DATE: August 8, 2005 TO: FROM: Lee Tuneberg, Finance Director Terry Ellis, Wastewater Systems Supervisor RE: FindinQs for Sole-Source Procurement - Drv Creek Landfill Dry Creek Landfill'is the closest approved landfiH site for disposal of the City's biosolids from the WWTP. Biosolids are hauled daily to the landfill site for burial. Dry Creek Landfill does not require a contract. The current fee is $35.7S'per ton, which is guaranteed until August 1, 2006. . Thank you. ~C~ Terry Ellis Wastewater Systems Supervisor Wastewater Treatment Plant Public Works 90 N. Mountain Avenue Ashland, Oregon 97520 www.8shland.or.us Tel: 5410488-5348 Fa~ 541-48U320 TTY: 800-735-2900 .[1.....1:.. . .. .... ""~~... ::: .....:~..:. '.::.: Council Communication Public Hearing on An Ordinance Withdrawing an Annexed Area from Jackson County Fire District No.5 (Pacific Western of Medford, LLC, Annexation, end of Clover Lane) Meeting Date: September 6, 2005 Depamnent: Community Dev Contributing Departments: Legal Approval: Gino Grimaldi Primary Staff Contact: Bill Molnar, 552-2042 bill@ashland.or.us Estimated Time: 10 minutes Statement: . The property located at the end of Clover Lane was. approved for annexation by the City Council- after the adoption of findings on October 21, 2003. That completed the land use ordinance portion of the annexation process. The applicant has prepared and submitted the required boundary description of the property and posted a perfonnance bond for public improvements related to the extension of Clover Lane. The final step for the Council in the annexation process is to hold a public hearing and adopt an ordinance withdrawing the annexed area ftom the jurisdiction of Jackson County Fire District 5. Background: A map of the annexation area is attached. This step is required to withdraw this area ftom the special taxing district of Jackson County Fire District No.5. Related City Policies Since the Council has already approved the land use ordinance portion as well as th€:: resolution annexing the area, it has previously found that the applicable goals and policies of the City have been met by this request. Council Options: After conducting the public hearing, the Council can choose to move the ordinance to second reading, or choose not to withdraw the property ftom the jurisdiction of Fire District: 5. Staff Recommendation: Staff recommends that the Council move the ordinance to second reading. Potential Motions: Move the ordinance to second reading. Attachments: Ordinance Map of Survey Annexation Area Description ORDINANCE NO. AN ()RDINANCE WITHDRAWING AN ANNEXED AREA FROM JACKSON COUNTY FIRE DISTRICT NO.5 (PACIFIC WESTERN OF MEDFORD, llC, ANNEXATION, END OF CLOVER lANE) Recitals: A. The owner of the property described in the attached Exhibit "A" has consented to the annexation of this property to the City of Ashland. The Council further finds no elec!ors reside in the tract to be annexed. B. Pursuant to ORS 222.524 a public hearing on the question of withdrawal of this property from Jackson County Fire District NO.5 was held at 7 p.m., ~eptember 6, 2005, in the~ Council Chambers, Civic Center, 1175 East Main Street, Ashland, Oregon. THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1.. The land described in the attached Exhibit "A" is declared to be withdrawn from Jackson County Fire District No.5 pursuant to the provisions of ORS 222.111. The foregoing ordinance was first READ on the 6th day of September ,2005, and duly PASSED and ADOPTED this day of , 2005. Barbara Christensen, City Recorder SIGNED and APPROVED this day of , 2005. John W. Morrison, Mayor Approved as to form: \.A--'- \)4.. ~ \ Mike ReedE~r, Assistant City Attorney ----... G:\legal\Office\ORD\A\Annex ord withdrawing dist (Pacific Western of Medford-Clover Lane) (9-6-05).doc ~ I :2 +' ... -'" ~ ~ ~I ~ I ~j~~j >- d~di l:-~ \.. 'G \~/ '-- 2 .~ - a: >- ~ ~ l&J t:: I:! ~ :> ~w .t1 0::: en ~ ~ Q: ::> ~ -or; ~o V>~~:c~ '"' ~:i l&... z ~ I&. 5 o '"' 0 0 .. ~ . iJ t ~ .~ ~ _ 0 ~ ~ Q a:: 0 . ~ - ~ ~ vi . 9 ~ ....: ~~ \ ~. \ \ ~a. ' ... \ \ ,\.~ ~~ 'ON ':]'1'(1 ,'" . . '(~ \ \ t . 1 101 lN3HM/3/\ \ ,"- ~'tLt("X " \ O!J 3N/1 lS113 ~~\ \ .;.:~.~~~ Il l ~ \ t:'G ~ I \ ~ \ I $... t-~ ,~ ~V!~ ~'iI i ' 'IQ( ... \"t 'f! ~ .~~ "- I - I ....~o ...~ It) \ N 00'.90'21. 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EAGLE POINT, OR 97524 PHN 541-830-0111 FAX 541-830-4222 April 17, 2005 Legal description for T39S, IE, 14A, TLI200 "Exhibit A, Annexation Description" COMMENCING AT TIlE NORTIlEAST CORNER OF GOVERNMENT LOT I IN SECTION 14, .TOWNSHIP 39 SOUTH OF RANGE I EAST OF nIB WILLAMbllb MERIDJA]~, JACKSON COUN1Y, OREGON, THENCE soum 00000'21" EAST ALONG~nm.EAST,LINE<OF SAID LOT 1,883.88 FEET TO TIlE SOUfHEAST CORNER OF THAT TRACT DESCRIBBD-IN VOLUME 272, PAGE 618, OFFICIAL RECORDS, SAID COUN1Y AND STATE, AND THE INITIAL POINT; THENCE WEST, ALONG niB soum LINE OF SAID TRACT, 433.64 FEET TO 1HJB BASTERL Y RIGHT OF WAY OF INTERSTATE mGHWAY 5; THENCE SOUTH 18006'12" EAST, ALONG SAID EASTERLY RIGHf OF WAY LINE, 147.09 FEET; THENCE EAST, LEAVING SAID RIGIIT OF WAY, 387.95 FEET TO THE EAST LINE OF SAID LOT I; THENCE NORm 0000'21" WEST, ALONG SAID EAST LINE, 139.81 FEET TO THE INITIAL POINT. ~~~3- Daniel L. Seibert PLS 2541 9'-/7. oS- Date REGISTERED ._1 'Q; PROFESS'ONAI: ~ . :~~ LAND SURVEYOR .,~r' CITY OIF ASH LA)" D Council Communication An Ordinance Amending Chapter 18.96, Sign Regulations, Regarding the Number of Business Frontages Meeting Date: September 6, 2005 Department: Community Dev~ment Contributing Departments: Approval: Gino Grimaldi -( Primary Staff Contact: Bill Molnar, 552..2042 bill@ashland.or.us Estimated Time: 1 Hour Statement: Brent Thompson appeared before the Council on November 2,2004 during Public Forum, requesting that the City Council consider an ordinance amendment to the Sign Code regarding the number of business frontages a building can have for signage. Section 18.96.080.A.l. states: no building shall be credited with more than two business frontages. A business frontage is defined as "a lineal front footage of a building or portion thereof devoted to a specific business or enterprise, and having an entrance/exit open to the general public" (18.96.020.7.). Mr. Thompson explained the situation regarding his building at Oak and A Streets, the former Cantwell's Market, currently being remodeled for a variety of business uses. The building has structural faces (Le. frontage) on three streets (Oak,. A, and Pioneer) and the main en.trance toward the parking lot, functionally creating opportunities for four business frontages. At its regular meeting on December 21, 2005, the City Council formally discussed the request by Brent Thompson to consider amending the Sign Code. After deliberation, the Council directed the Community Development Director to initiate the process of having the Planning Commission evaluate the possibility of amending the ordinance. Background: The Ashland sign code was originally adopted in the early 1970's as a tool to help rc~vitalize the economic vitality of the community by ensuring aesthetically appropriate design for commercial advertising. It was a key component of the Downtown Plan of 1967. It has been described as one of the most restrictive sign codes within Oregon, and has served the City well in protecting the character of our commercial districts. The restrictions on plastic materials and internal illumination with the downtown historic district, and the restrictions on size and height throughout the community have ensured that other facets of design, such as architecture and landscaping, are the key components of commercial development. The limitation on the number of business frontages appears to have been an attempt to control the overall amount of signage allowed on a building. One of the primary requirements for a business frontage is that it includes an entrance/exit open to the general public. This has ensured 1 r., that signs arc;: not located on the backs of buildings with no public entrance, and supports the Site Design and {Jse Standards regarding orientation of commercial buildings toward the street. On May 24, 2005, the Planning Commission evaluated the proposed amendment to the Sign Code at their regular monthly study session. The minutes ftom that meeting are included in the record. At thle Commission's regular meeting of June 14, 2005, the Commission unanimously recommended that the Council approve the proposed changes to Chapter 18.96 of the Ashland Municipal Code - Sign Regulations. Related Cilty Policies The Comprehensive Plan has a policy in the Economic Element which states: "The City shall design the Land Use Ordinance to provide for: 0) Specific development guidelines which will ensure that: Strong sign regulations exist which ensure that the number, size, and placement of signs are the minirnum required for recognition by the public of the business at the site." From the 1988 Downtown Plan: "The effects of sign controTimd the design review recommendations of the Historic and Planning Commissions are evident and the business owners' creative efforts, worked within legal limitations, have tastefully drawn attention to their buildings without garish signs or colors." The City's ordinances related to this topic are the sign code in Chapter 18.96 of the land use ordinance, as well as the Site Design and Use Standards in 18.72. Council O]ptions: The Council could detennine that the CUtTent code language is adequate, allowing for signs that are the "minimum required for recognition", and choose not to amend the ordinance. The Council ,could approve the ordinance amendment as proposed or, following public testimony and discussion, direct Staff to evaluate additional changes to the proposed wording. Staff Reco]mmendation: At their study session on this issue, the Planning Commission had some concern regarding the design and appearance of the new business entrances that may be constructed. A recommendation was made that some fonn of site review process, with design standards for entrances, be developed in the future. In the interim, however, the Commission recommended that the definition of "business ftontage" be modified to include the same language as cUtTently exists in the City's Site Design and Use Standards for building entrances (II-C-l. 2) - essentially that the entrances be "attractive and functional." It appears logical and appropriate to allow for signage on each building ftontage that incorporates attractive and functional businesses entrances. While the total number of signs on a given building ftontage could likely increase through the proposed amendment, the total sign area will rem:ain proportional to the length of the building's ftontage and subject to existing maximum sign area requirements. 2 CITY IOF ASHLj~ND While Staff recommends approval of the amendment, there has been some discussion with regards to placing a limit on the number business frontages (for a specific building) allocated to a specific business establishment. This would be intend~ to preclude the possibility of one business establishment from controlling and placing signs on more than two business frontages. This issue can be further discussed and evaluated at the meeting. Potential Motions: Take no action. Move to approve the proposed ordinance amendment to the Sign Code, Chapter 18.96 of the land use ordinance, regarding the number of allowable building frontages. Move to approve the proposed ordinance amendment-to theSigIl"'Code, Chapter 18.96 of the land__ use ordinance, regarding the number of allowable building frontages with suggested changes as stipulated by the Council. Attachments: Record for Planning Action 2005-00960 - An Ordinance Amending Chapter 18.96, Sign Regulations, Regarding Number of Business Frontages 3 ~j.' - --< --.#-.---....~ ~.~.,.~ CITY Of ASHLAND RECORD FOR PLANNING ACTION 2005-00960 ORDINAN(:E AMENDMENT TO THE SIGN REGULATIONS, CHAPTER 18.96 OF THE ASHLAND MUNICIPAL CODE, REGARDING NUMBER OF BUSINESS FRONTAGES. Date 8/17/05 no date 7/12/05 7/14/05 5/24/05 5/23/05 5/8/05 1n/05 12/21/04 Ite'D . Nojtice of Public Hearing to Tidings for publication on 8/22/05 Amended sign ordinance (proposed)'- - Planning Commission Regular Meeting Minutes Planning Department Staff Report Planning Commission Study Session Minutes Letter from Brent Thompson Letter from Brent Thompson Letter from Brent Thompson City CouncU Minutes Paae # _ -:-:;:,;;cc ".~.7;t :! 2 3 4-6 7-8 9 10 11 12-15 ) CITY OF ASHLAND PUBLIC HEARING NOTICE OF PUBLIC HEARING - The Ashland City Council will hold a public hearing on Tuesday, Sep~~mber 6, 2005, at its meeting which begins at '7 p.rn.in the Civic Center Council Chambers, 1175 East Main Street, to consider 43 request to amend the Ashland Municipal Code Chapter 18.96, Sign Regulations. Pursuant to Article X, Section 2(c) of the Ashland City Charter,' the Ashland City COuncil will meet to consider the first reading by title only of the followingr: Ordinance amendment to the Sign Regulations, Chapter 18.96 of the Ashland Municipal Code, regarding number of business frontages. Copies of these ordinances have been furnished to members of the city <<::cuncil seven days prior to the council meeting, and three copies are on file in the office of the city recorder for public inspection during business hours. In compliance with the Americans with Disabilities Ad, If you need special assistance to partidpate In this mE!eting, please contact the aty Administrator's office at (541) 488-6002 (TTY phone number 1-800-735-2900). Notification -l2 hours prior to the meeting will enabie the city to make reasonable arrangements to ensure accessibility to the mee1jng (28 CFR 35.102-35.104 ADA 1itle I). Bill Molnar Interim Planning Director Dept. of Community Developme!nt Publish: Daily Tidings August22,2005 Purchase Order #70253 ~ ??117(O~ ~d u~c'( I ORDINANCE NO. AN ()RDINANCE AMENDING CHAPTER 18.96, SIGN REGULATIONS, _ REGARDING BUSINESS FRONTAGES. THE PEQIPlE OF THE CITY OF ASHLAND DO ORDAIN AS FOllOWS: Additions are indicated in bold type, deletions in ctrikeout type. SECTIONl1. Section 18.96.020.7 of the Ashland land Use Ordinance shall be modified as followS!: "7. Businless Frontage - A lineal front footage of a building or portion thereof devoted to a - specific busines~ or ent~rp~.sei ~nd..having" an attractive and functional entrance/exit open to the generalpub1ihClurin'g normal business hours." SECTIONI 2. Section 18.96.080.A.1. of the Ashland land Use Ordinance shall be modified ~IS follows: "1. Frontage. The number and use of signs allowed by virtue of a given business frontage sihall be placed only upon such business frontage, nnd no building Sh311 be credited tNith more thnn two business frontnges." SECTION 3. Section 18.96.090.A.1. of the Ashland land Use Ordinance shall be modified as follows: "1. Fronta!ge. The number and use of signs allowed by virtue of a given business frontage shall be placed only upon such business frontage, nnd no building shall be credited \,'ith more than nero business fronroges." The foregoing ordinance was first READ on the day of , 2005, and duly PASSED and ADOPTED this __day of , 2005. Barbara Christensen, City Recorder SIGNED sind APPROVED this day of , 2005. John Morrison, Mayor ~ ASHLAND PLANNING COMMISSION REGULAR MEETING MINUTES JULY 12, 2005 PLANNING ACTION 2005-00960 APPLICANT: City of Ashland DESCRIPTION: Request for an ordinance amendment to the Sign Regulations, Chapter 18.96 of the Ashland Municipal Code, regarding number of business frontages. D.ouma/KenCairn m/s to make a recommendation to move the sign ordinance changes f()rward to the City Council. Roll Call: Unanimous. PLANNING ACTION 2005-00965 APPLICANT: City of Ashland DESCRIPTION: Request for an ordinance amendment to the Tree Preservation and Protection, Chapter 18:~1. of Jhe Ashland Municipal Cod~*regarding:app1icability to building permits --~'~. ..... . Douma/Black m/s to m.ake a recommendation to move the tree ordinance changes forwclrd to the City Council. . Roll Call Morris, Fields, Black, Dotterrer, Dawkins,Chapman, Douma, KenCairn voted "yes" and Stromberg voted "no." ADJOURNMENT - The meeting was adjourned at 11 :00 p.m. 3 ASHLAND PLANNING DEPARTMENT STAFF REPORT June 14, 2005 PLANNING j~CTION: 2005-00960 APPLICANT:: City of Ashland y ORDINANC:E~ REFERENCE: 18.96 (Sign Regulations) REQUEST: Amendment to Chapter 18.96, Sign Regulations, regarding business frontages. I. Relevant Facts> , 1) Background - History of AppUcation: This action was initiated by the City Council at the request of commercial property owner Brent Thompson. A copy of the minutes from that meeting are included as part of this record. The Ashland sign code was originally adopted in the early 1970's as a tool to help revitalize the economic vitality of the community by ensuring aesthetically appropriate design for commercial advertising. It was a key component of the Downtown Plan of 1967. It has been described as the most restrictive sign code within Oregon, and has served the City well in protecting the character of our commercial districts. The restrictions on plastic materials and internal illumination with the downtown historic district, and the restrictions on size and height throughout the community have ensured,thatother facets of design, such as architecture and landscaping, are the key components of commercial development. The limitation on the number of business frontages appears to have been an attempt to control the overall amount of signage allowed on a building. One of the primary requirements for a business frontage is that it include an entrance/exit open to the general public. This has ensured that signs are not located on the backs of buildings with no public entrance, and supports the Site Design and Use Standards regarding orientation of commercial buildings toward the street. Planning Application 2005-00960 Applicant: City of Ashland Ashland Planning Department - StafIReport June 14,2005 Page 1 '-I 2) DetaUed Description of the Site and Proposal: It is proposed that the ordinance be modified to delete the limitation on the number of business frontages a building ~ay have. If a structure is constructed with multiple street frontages, and individual businesses entrances are located on those frontages, then it appears logical and appropriate to allow for signage on those frontages. The size and number signs allowed is directly related to th~ linear frontage of the business, ensuring that the scale of the signage is appropriate in relation to the size of the building. - - The Planning Commission, at their study session on this issue, raised some concern regarding the nature of the new business entrances that may b(~ constructed. . A recommendation was made that somefonn~of;siterevil~w.;pr,ocess, with design standards for entrances, be developed in the future. Staff (X)ncurs. In the interim, we recommend that the definition of "business frontage" be modified to include the same language as currently exists in the Site Design and Use Standards for building entrances - essentially that the entrances be "attractive and functional. " Mr. Thompson has further requested that the City consider allowing signage on building faces which have no entrance open to the public, and that sucl1 signage can be attractive and beneficial to businesses. Staff does not support such a request. A key portion of the City's sign code has been the relationship of entrances and signage. Allowing signs on the back of buildings, or sidc~s with no entrances detracts from the overall goals of the sign code - maintaining the aesthetic qualities of our community. Additional signage on the back of Albertsons, for example, maybe beneficial for the business, but does sl~em to be in the interest of the community. The following ordinance modifications are proposed: SECTION 1. Section 18.96.020.7 of the Ashland land Use Ordinance shall be modified as follows: -7. Business Frontage - A lineal front footage of a building or portion thereof devoted to a specific business or enterprise, and having an attractive and functional entrance/exit open to the general public during normal business hours" SECTION 2. Section 18.96.080.A.1. of the Ashland land Use Ordinance shall be t". modified as follows: -1. Frontage. The number and use of signs allowed by virtue of a given business frontage shall be placed only upon such business frontage, and no building &hall be oredited with mere than w:o bu&inoGG frontagoG" Planning Application 2005-00960 Applicant: City of Ashland Ashland Planning Department - Staff Report Jwtle 14, 2005 Page 2 s SECTION 3. Section 18.96.090.A.1. of the Ashland Land Use Ordinance shall be modified as follows: -1. Frontage. The number and use of signs allowed by virtue of a given business frontage shall be placed only upon such business frontage, :md no building &hall be credited with morc th::ln two bu&ine&& frontageG.. II. Proiect ImDact Staff believes that these amendments appropriate for addressing the needs changing structures in Ashland's commercial zones, where remodels have resulted in new entrances and revised floor plans for older, larger, structures. The size and number constraints of the code continue to address the aesthetic concerns of the community, while recognizing the advertising needs of the businesses. III. Procedural - Reauired Burden of Proof The criteria for a legislative amendment to the land use ordinance are as follows: 18.108.170.A. It may be necessary from time to time to amend the text of the Land Use Ordinance or make other legislative amendments in order to conform with the comprehensive plan or to meet other changes in circumstances and conditions. A legislative amendment is a legislative act solely within the authority of the Council. Staff believes that the proposed ordinance amendments address changes in the circumstances and conditions in the community, as older large buildings are remodeled into smaller business spaces with new entrances. IV. Conclusions and Recommendations Staff recommends that the Planning Commission recommend approval of the ordinance amendment to the City Council. Planning Applicatilon 2005-00960 Applicant: City of Ashland Ashland Planning Department - Staff Report June 14,2005 Page 3 '- CITY OF ASHLAND ASHLAND PLANNING COMMISSION STUDY SESSION MAY 24, 2005 ' CALL TO ORDER Chair John Fields called the study session to order at 8:05 p.m. at the Ashland Civic Center, 1175 East Main Street, Ashland, OR. COMMISSIONERS PRESENT: ABSENT MEMBERS: COUNCIL LIAISON: STAFF: John Fields, Chair Michael Dawkins Mike Morris Olena Black Russ Chapman John Stromberg Allen Douma Dave Dotterrer . Kerry KenCairn None Jack Hardesty John Mclaughlin, Planning Director Bill Molnar, Planning Manager Mike Reeder, Assistant City Attorney Sue Yates, Executive Secretary SIGN REGULATIONS -18.96 - PROPOSED AMENDMENT REGARDING 'THE NUMBER OF BUSINESS FRONT AGI:S .L\1cLaughlin has reviewed Brent Thompson's letter of May 8, 2005 regarding revisions to the Sign Regulations ordinance referring to signs on business entrances. The Council asked for clarification. The code requires there has to be a public entrance wherever there is a sign. Staffbegan by looking at how to make more attractive entrances, but that becomes very discretionary. Sign permits are currently issued over the counter without land use approvals. If we start adding discretion about an entrance meeting a certain standard, we would then have to provide public notice for sign permits. It seemed most prudent to delete the wording from 18.96.080 Commercial-Downtown Overlay District (C-Jl-D) A.l and 18.96.090 Commercial, Industrial and Employment Districts A. I., "and no building shall be credited with more than two business frontages." It is appropriate to allocate a sign to a separate business frontage that has an entrance. Staff disagreed with Thompson's provision about allowing signs on blank walls. Mclaughlin explained that it was assumed a building would have a front and a back. What we are finding as old buildings are rehabilitated and new buildings are built, there are entrances on COOlers and one building can have several public entrances to different businesses. The size of the sign will still be based on lineal building frontage. Even if a large frontage is broken into smaller businesses, the overall sign square footage would remain the same. Morris does not have a problem with the ordinance change. He;.~concemed with someone merely pulling a building permit to install an entrance. Mclaughlin said we don't have any design standards for adding an entrance. He will add wording linlqng the sign code language to the Site Review Chapter. KenCaim wouldn't want that trigger in every situation. Dawkins would like to see some review, but not necessarily a planning action. Mclaughlin said the timeline for approving this ordinance will be lengthened by adding site design language. ASHLAND PlANNING COMMISSION STUDY seSSION MINUTES MAY 24, 2005 1 7 Fields took a straw poUl and the majority favored doing the lesser alteration to the sign code at this time (deleting designated wording in Sign Regul~itions), knowing it will be reviewed by the consultants. Black abstained from tbe straw poll because she is concerned she has not been given enough information nor enough time to review the information received at tonight's meeting. She requested for now and in the future, more time to review ~terials. TREE PROTECTION ORDINANCE - CHAPTER 18.61 - APPLICABilITY OF THE TREE ORDNANCE TO BUilDING PERMITS McLaughlin. referred to the memo to th~ Tree CommissionIPlanning Commission dated May 24; 2005 concerning the Tree Ordinance and how it applies to building permits. This means construction can occur without needing a planning action. One of the concessions in writing the ordinance was to allow owners of individual lots and single family homes to cut trees on their property. It is not a regulated activity. However, the ordinance contradicts itself. Under 18.61.200 Tree Protection reads "Tree Protection as required by this section is applicable to any planning action OR building permit." Staff took this conflict to the Tree Commission and asked for their input on clarifying both regulated activities and tree protection applying to only activities involving planning actions,. not building permits. The Tree Commission agreed and recommended that we provide an educational component with building permits and building permit reviews and let people know they should install tree protection during construction on their property. The other option would be to require tree protection and regulate tree removal especiallythose.associated:with construction for single family residences. McLaughlin said it has been the Planning Department's experience that most people want to protect their trees but may not know how to protect thlCir trees. The recommended wording for the ordinance change under 18.61.200 Tree Protection would read as follows: Tree Protection as required by this section is applicable to any planning action or building permit associated with a planning action.. Bryan Holley, Tree Commissioner, said they'd always hoped to have an educational component to go hand in hand with the ordinance to let people know how they can protect their trees during construction. The Tree Commission and Planning Staff will put together the educational piece. Trees .will have to be shown on the plans and a. verification visit. One problem that could. arise is that oftentimes the contractor comes to the office to pull a permit and Staff does not always deal directly with owners. The contractors don't have as much. a vested interest as a homeowner. How can this be remedied? ORDINANCE AMENDMENT. CONSERVATION DENSITY BONUS This will be discussed Blt the next meeting. The Land Use Ordinan<:e will be reviewed by a consultant in 'the" next few months. If the Commissioners have any items for the consultant to review, e-mail the item to Sue Yates (sue(Q).asbland. or. us) ADJOURNMENT - The meeting was adjourned at 9:00 p.rn. Respectfully submitted, Susan Yates ASHLAND PlANNING COMMI~tSION STUDY seSSION MINUTES MAY 24, 2005 2 ~ 310 OAK STREET c/o P.O. Box 201 Ashland Oregon 87520 F\ECEIVED MAY 2 3 2005. dl.:2 ~~t~shland ~ ~ ~ . .? .~ /~~/~~~ ~.~~ ~ 707Y#~~S- a:r7'~/o/ ~~~ ~ ~ tpn~-r~~~~/ , Ct f ~ ~~/~~~ ,7 . ~ a ~ 7-~ 47k~ ~~~~~~ ~~ , ~~.~~~ a ~./'7I.~~ ,P~ ~7tM. ~7 / . ~~. ~~ 1" r r - c:::' Yt;/ '7 ~c. /30 1'1 J' 7- ,t1td ;..PE-:SJ .t?~Af/d,ne/7 ?'->'ft{p ~ /#/".;4"', AJ" ->e?V~~ t?A!6d'"~~. /'~~ ~~~/~t!J . te//~&f) /~~,,~ /C~~~c.:.J>o€- , /A/~A-17I/~A-c:.. J"~~L ;r= ~.,fi>/F7P'l/~ H/.JJtn'Fc;,.~y C,A-/VAI ~ /A~AL--€-- .' Brent Thompson P.O. Box 201 Ashland, OR 97520 8 May 2005 Ashland Planning Commission 20 East Main Ashland, OR 97520 He: Sign Code Revision Meeting Dear membe~rs of the Commission, ..As you know the City Council asked that you review the sign code to see if It met the needs of business owners who might be in buildings with more than two street frontages. As you know there are a number of locations where the limitation of signs to two frontages mi!~ht Impede Ole advertising of buslness~thus handicapping them.. At the same time the limitation might be Irrelevant, insignifICant, or unnecessary in preventing any erosion of general aesthetics.. 1. I would ask that the wording in the following sections be modified as follows: Section 18:.96.080 Commerclal- Downtown Overlay District (C-1-D) A. Special Provisions. 1. Fronta:ge. The number and use of signs allowed by virtue of a given business frontage shalll be placed only upon such business frontage.. , and no building shall be credited with more than fM) business frontages .. (Please deJrete what I. In Itallc8-) Section 18.96.090 Commercial, Industrial and Employment Districts Signs In commercial, Industrial, and employment districts, excepting the downtown- Commercial ~Dverlay and Freeway Overlay District shall confonn with the following regulations A. Spec1allProvisions. 1.. Frontage.. The number and use of signs allowed by virtue of a given business frontage shalll be placed only upon such business frontage. , and no building shall be credited with more than two business frontages .. AnothE,r issue is the prohibition of signs on frontages where there is a delivery entrance but not a public entrance.. My suggestion would be that delivery entrances be offered somE~ signage larger than an exempt 1 'x2' sign.. For example a building frontage with only a d~elivery entrance might be pennitted sign age of 1/3 to 1/2 the normal amount allotted . To iIIu~rtrate this I ask that you look at the Chun's Palace sign on Pioneer St. painted when the owners of Chun's Intended for the Pioneer door to be a public entrance. After opening the owners detennined a public entrance there was not feasible. The question is; does that sign constitutes blight? I believe it does not and that some sign age on Pioneer 51. makes that side more Interesting than it would be without the sign. I () ;:$4?r/ 7~ ~-~~ 310 OAK STREET P.o. Box 201 Ashland, OR 97520 .)i!;~ is ~; ':I"-:~ ~ ~J " 1_ .; u.: 7 January 2005 Ashland Planning Commission Winburn Way Ashland, OR 97520 RE: Sign code revisions Dear members of the Planning Commission, In the Council's last meeting of 2004 they wted to refer to the Plannin!~ Commission the issue of signs on more than two street or alley frontages- I ask that you hold hearings soon on revising that partiwlar issue in the sign code. CurrenUy the maximum street frontages that are permitted to have signs are two although there are a number of properties in Ashland where there are three or more business frontages- last June the Planning Staff attempted to handle this matter by havi~~ us apply for a variance, but In October the City Attorney instructed Planning Staff that the ordinance precluded dealing with signs for extra street frontages by means of a variance. Thus, an ordinance change would be necessary for signs to be pennitted on three or more sides of a building. Regarding this matter, I do not favor that an application for a sign penni! be a trigger for a site review. Site reviews should be triggered by new construction or major construction expansions not merely a business owner trying to be noticed by the public. Small businesses struggle enough as it is.. I understand the Planning Director's feeling that he needs control of what business frontages look like., but that can be handled by means other than through sign pennit applications- The current ordinance also calls for no signs on any street frontage that may have doolS but not access for the general pu, bile. I ask that the Planning Cc:t.l11mi~,.,9f1" " review this concept also. - . .-~_".c:.,-, - " . The businesses listed below have been attempting to have pennission to become noticed since June. I ask that they be able to do so. Thank you.. Respectfully, ~~~ Brent Thompson 00. Dana Greaves- Oregon Data Works, 130 -A- Sl Space 2B Sudy Storm- Mdwives on Mssions of Service 130 -A- St. Spaces 4D & (iF Chad Wikander- Wired Integrated Knowledge. 130 -A- St. Space 5E Julie Bedford-Southern Oregon Printmaking Assoc. 130 -A- Sl Space 1A /l City of Ashland, OTegon - AgeJ1tias And Minutes Page 1 of 4 Tuesday, Decel1nber 21, 2004 MINUTES FOR THE REGULAR MEETING ASHLAND CITY COUNCIL December' 21, 2004 Civic Center Council Chambers, 1175 E. Main Street CALL TO ORDER Mayor DeBoer called the meeting to order at 7:00 p.m. in the Civic Center Council Chambers. ROLL CALL Councilor Laws, Amarotico, Hartzell, Jackson, Morrison and Hearn were present. APPROVAL OF MII~UTES The minutes of the Regular Council meeting of December 7, 2004, Special Meeting of November 30, 2004, and Executive Meetiing of November 30, 2004 were approved as presented. SPECIAL PRESEN1rATIONS . AWARDS. Mayor made presentation of a plaque to Detective Steve Brown upon his retirement, in recognition for his service to the community. The community in appreciation of their service presented presentations and gifts to both Mayor Alan DeBoer, and Councilor Laws. Plaques were presented to Councilor Don Laws and to Mayor Alan DeBoer in recognition of servic:e to the City. Proclamation of January 8, 2005 as "Christmas Tree Recycle Day in Ashland" was read out loud. CONSENT AGENDJ~ 1. Minutes of Boalids, Commissions and Committees. 2. Liquor License j~ppllcation from Everett Glover dba La Familia. Cantina EI Pato (119 A Street) . 3. Liquor License j~pplication from Heakyoung Kwan dba Northwest Pizza. Pasta Co. (1585 Siskiyou Blvd.) Councilor Hartzell/Amarotico m/s to approve Consent Agenda Items. Voice Vote: all AYES. Motion passed. PUBUC HEARlNG~S 1. Public Hearing ,and First reading of "An Ordinance Amending the Tree Preservation and Protection Chapte:r of the Ashland Municipal Code (Chapter 18.61) by Adding Provisions to Further Protect H4!rltage Trees. II Proposal to modify Chapter 18.61 of the Ashland Use Ordinance to make removal of a Heritage Tree from the list immediate upon owner request, and to include removal of a heritage tree as an activity that requires a Tree Removal Permit was presented by Community Development Planner Maria Harris. CountU discussed language changes in section E..."removed from a currently listed Heritage Tree...~"'shall" versus "may." It was suggested that the Tree Commission report to the council annually on the Heritage Tree list. There is no current list at this time, but the Tree Commission has identified trees that.could be placed on the list. Tree Commissioner Bryan Holley presented history in regards to the proposed Heritage Tree list and how property owners felt that they should not be subject to the council when deciding whether a tree is on the list or not. Property owners should be able to manage and protect their trees easily. He noted that there are many trees both on city property and school district property. IJ- http://ashland.or.us/ Agendas.asp?Display=Minutes&AMID= 1972&Print=True 6/9/2005 City of Ashland, Oregon - Agendas And Minutes Page 2 of4 Public Hearing Open: 7:47 p.m. Public Hearing Closed: 7:47 p.m. It was noted that this amendment would allow notice to the Tree Commission should a property owner request that a tree be removed from the Heritage Tree list. Councilor Morrison/ Hartzell m/s to approve first reading of Ordinance with amendrnent to Section E to add "currently listed" and move to second reading. DISCUSSION: Amar4:>>tico requested further clarification on "shall" versus "may." City Attorney Mike Franell advised council that the current language does work given the Intent of the ordinance. Roll (:all Vote: Hartzell, Morrison, Laws, Hearn, Amarotico and Jackson. All AYES. Motion passed. PUBUC FORUM Melanie Mindlin/1338 Seen a Lane/Spoke regarding a proposed co-housing project on Fordyce Street. She is the applicant for a land use application, which was presented to the Planning Commissiion. She shared her perspective of the action taken the Planning Commission when her application was denied. She voiced her disappointment considering the amount of work and time that had been committed to this project. She did not feel that her project was given proper consideration. Ruby Henne/126 Beth/Spoke regarding the denial of co.-housing project by the Planning ODmmission and voiced her disappointment of the process. Challeng~d the council to follow through with clffordable housing. Sue Crader/SOO Broken Bow, Jacksonville/Shared her difficulty with finding affordable housing in Ashland. She voiced her disappointment with the Planning Commission when they denied the project that would have provided affordable housing. Brent Thompson/S82 Allison/Spoke regarding System Development Charges and the opp()rtunity to lobby at the State level to get a bill out that would give power back to the community in regards to SDC's. He requested that the council put this on their list of things to do. Dana Greaves/472 Williamson Way/Submitted statement to the council in regards to a pending E-l development in their neighborhood. He requested that the council amend the city's solar ordinance to correct what he believes is a serious flaw, in that the ordinance does not protect their homes from being put in the dark by commercial buildings up to 40 feet tall. He also requested that there be some consideration for providing appealing aesthetics with further development. Councilor Hartzell/Morrison m/s to place -discussion'tegarding solar ordinance amendment to council agenda under New Business. Voice Vote: all AYES. Motion passed. Community Development Director John Mclaughlin presented staff report on the request by IBrent "FhOmpson for a ordinance amendment regarding the number of frontages a building can have for~signage. The property used as an example is Mr. Thompson's building at Oak and A Street, which was curretnly remodeled for a variety of business uses. He explained that there have been a few instances in our community where this issue has arisen in the past, but that the current ordinance is very restrictive and does not leave a process to allow for unusual circumstances. Mr. Mclaughlin stated that an amendment should include requirements regarding the "quality" of the business frontage. Additional frontages should have improved streets and sidewalks along the frontage, a pUblic entrance that is "attactive and functional" with a strong sense of entry, and that the siignage be limited to 800/0 of the area altowedby ordinance. He reported that staff believes that these types of la http://ashland.or.uslAgendas.asp?Display=Minutes&AMID= 1972&Print=True 6/9/2005 City of Ashland, (>regon - Age!'"das And Minutes Page 3 of 4 additional requirements limit the overall amount of signage, ensures appropriate streetscape and pedestrian environment, and makes the entrance to the building attractive and inviting. Council discussed how this would affect other buildings in the community and the legal ramifications itthe ordinance were amended. It was suggested that this be referred to the Planning Commission for further discussion and resE!arch. CounCilor Laws gave brief history on the sign code, the importance of code enforecement for siignage and how there have been few changes to the ordinance over the years. He urged caution when considering any changes to the sign code. Brent Thompsonl582 Allison/He explained that he was unaware of any other solution for signage on his property other than through an amendment to the sign code. He submitted a statement that outlined his position and his su~~gested changes to the ordinance. Discussion regarding when a' planning action is required and the remodeling of the back of a building. It was clarified that d~evelopment patterns are set and an amendment to the ordinance would not necessarily affect this. Staff stctted that this proposal is only a concept. Comment was made that although this may be an amendment that should be considered, it should first be reviewed by the Planning Commission. Councilor MorrisCl1n/Hartzell m/s to Initiate the processofexplQring an ordinance amendment by the Planning Comlmlttion to the Sign Code, Chapter 18.96 of the land use ordinance, regarding the number of anowable building frontages. DISCUSSION: Clarification on the intent of the motion was madE~. Voice vote: all AYES. Motion passed. Additional gUidance: for staff was requested on how to handle prioritization. It was agreed that this needed to be done on a different level and another time. 2. Discussion regiarding requested amendment to solar ordinance. Council agreed that this topic should be placed on a future council agenda to discuss the problems associated with the solar ordinance in regards to this development. ORDINANCES, RESOLUnONS AND CONTRACTS: 1. Reading by title c)nly of "A Resolution Establishing Cable Television and Internet Rates for the Ashland Fiber Network, Readopting All Other Rates without Change and Repealing Resolution No. 2004-07." Electric & Telecommunications Director Dick Wandersc:hied presented staff report which included an update on Ashland Fiber NE~twork (AFN) operations. He noted corrections to the staff report and the resolution. On page 2 of the staff report Business (1-IP address) should be $72.80 as the old rate and $76.30 as the new rate. On the rate sc:hedule attached tothe resolution under Tier Rates per month, increment should be $8.29 and under Digital Plus (Tier IV), base fee should be $11.51. The following increclses are for CATV rates: Tier 1 $9.04 Tier 2 $14.40 Tier 3 $34.83 Tier 4 $46.9S It was noted that AIFN continues to offer a competiverate-as compared to Charter. Mr. Wanderschied stated that AFN is incurring increased cost of operating the system, which included additional staff, higher costs associated with employee benefits, and higher CATV programming costs. The new rates for Cable Modem Fees are as follows: Residential (w/ISP) $26.45 Residential (No ISP) $32.90 Residential Intermediate $51.03 Business (1-IP Address) $76.30 It http://ashland.or.us/Agendas.asp?Display=Minutes&AMID= 1972&Print=True 6/9/2005 II.O~.O(,(!t"'JCoWlcil ~. that reduced the maximum height of a building from 35' to 30'. Mr. Thompson also noted the Open Space Program and suggested that the City look Into other options to ensure that they have open areas around the structures that could potentially be built. Public Hearing Closed 7:48 p.m. Mr. Mclaughlin clarified that the height limit was reduced by the Maximum House Size Ordinance, and it did not apply to structures built outside of the Historic Districts. Mr. Goldman added that there are already requirements In the Site Design and Use Standards that regulate open space, orientation of building and break-up of mass. Mr. Mclaughlin stated that the proposed ordinance amendment would not guarantee affordable housing units, however it would preclude a far less affordable housing development. He added that there are many areas In the City that could accommodate single-family detached homes at a higher cost, however In the R-2"and R-3 zones, Staff Is lookin~at higher densities and hopefully lower costs. - Councilor Morrison/laws m/s to direct Staff to bring back the proposed ordinance changes, Including the modifications to the exception standards "C" and "X" as prese~ted by the Planning Commission, for first reading. Voice Vote: a" AYES. Motion passed. PUBLIC FORUM Art Bullock/791 Glendower/Submitted a written statement Into the record regarding false claims that were reported in the newspaper and the Nevada UD. Statement was added to the Council Agenda Packet for referenc Brent Thompson/582 Allison/Spoke regarding his hardship that has been created by the City's Sign Code. Mr. Thompson stated that he constructed a building that accommodates several businesses and that each one has their own entrance on different sides of the building. However, because of the sign provision contained in the Ashland Municipal Code, only 2 of the businesses can display a sign. Mr. Thompson asked that the Council direct the Planning Commission to perform a re-wrtte of this section of the Code" and asked that the Planning Commission be given some latitude to address this issue. Council requested further Information and asked that: this issue be placed on a future Council Agenda. UNFINISHED BUSINESS (None) NEW AND MISCELLANEOU$ BUSINESS 1. Quarterly Financial Report: July - September, 2004. Anance Director Lee Tuneberg presented the Quarterly Report for the first quarter of Fiscal Year 2004/2005. Mr. Tuneberg pointed out that during the year there would need to be adjustments made. At this time, Staff Is anticipating that they will have to make adjustments to the Telecommunications and Airport Funds. Mr. Tuneberg noted that the City has $23 Million In Cash Investments, which Is approximately $1 Million more than the previous years, and that this was directly related to the refinancing of the AFN internal debt. Mr. Tuneberg also noted that the City's total resources is http://ashland.or.usIPrintContentView .asp?lD= 1901&k~a=True . .. -b'" ... ..,.. ... 12/15/2004 CITY OF ASHLAND Council Communication Designation of Voting Delegate for NLC Meeting Meeting Date: September 6, 20~5 Department: Administration Contributing Departments: I/, Submitted by: Gino Grimaldi ~ Primary Staff Contact: Gino Grimaldi 488.6002 QrimaldQ@ashland.oLus Secondary Staff Contact: Estimated Time: 10 minutes Statement: This is to inform councilors of the upcoming National League of Cities meeting in Charlotte, North Carolina and to decide whether a council delegate will attend. Background: The City of Ashland is a member of the National League of Cities. The annual meeting for the National League of Cities will be held from December 6 - 10, 2005 in Charlotte, North Carolina. Under the Bylaws of the National League of Cities, the City of Ashland will be entitled to cast one vote at the Annual Business Meeting, held on December 10. Voting by proxy is not permitted. During mid-November, the National League of Cities will mail a special edition summarizing proposed National Municipal Policy amendments and proposed resolutions, which will be voted on at the annual meeting. Related City Policies: There is no established policy in the Ashland Municipal Code which states that a council membE~r must attend the National League of Cities annual meeting. Council Options: Approve and select a delegate to attend the annual meeting. Do not approve or select a delegate to attend the.annual meeting. Staff Recommendation: Staff recommends that if council chooses to send a member to the meeting, one voting delegate who has. interest in traveling to the meeting is selected, plus an alternate. Potential Motions: Move to approve a council member attends the annual meeting and select delegate. Do not approve a council member to attend the annual meeting. Background Information: The City of Ashland has been a member of the National League of Cities for the past seven years. Cost for a council member to attend the meeting will be registration fees, the cost of airfare, hotel room and meals for the time spent in Charlotte, North Carolina. Attachments: 82nd Annual National League of Cities brochure ~~, See what the fvEW COftgresSPiQ#;. Cities has to OFFER! 82nd Annual National League of Cilties Congress of Cities and ExpositiCJ~n December 6-10, 2005 Charlotte, North Carolina Charlotte, North Carolina, is the place to be in December 2005. Municipal officials from across the country will convene in Charlotte from December 6 through 10 for the 2005 National League of Cities Congress of Cities and Exposition to hear from the experts, share ideas with other city officials dealing with similar challenges, and take home practical ideas to solve problems in your city or town. Whether your biggest challenge is increasing affordable housing, dealing with the media, involving citizens in productive ways, or improving your basic skills as a local leader, the 2005 Congress of Cities will offer new ideas and practical solutions. For more information, visit the NLC website at wWlv.nlc.org or call (202) 626-3.105. ~ National League of Cities ~r ~-~ r~ . _~ WHY ATfEND THE CONGRESS OF CITIES? WHAT'S THE VALUE? The 2005 Congress of Cities provides resources, ideas, examples, peer connections, expert input, practical wisdom, and much more.You can attend workshops to hear examples of successful programs, visit the exposition with more than 350 booths featuring vendors who work with local governments every day, join other city officials for practical problem-solving sessions, and attend intensive leadership training seminars to hone your skills as an elected local policy maker. Here's what local elected officials who have attended past Congress of Cities say about why you should attend this conference: ''Attending the NLC Congress of Cities is an investment, not an expense, providing excellent leadership training for elected officials and networking opportunities to share program and service ideas." Michael Boehm, Mayor, Lenexa, Kansas "The conference provides countless opportunities to learn more and get ideas on how to save city resources and improve communi(y services." Pat Eklund, Counciil Member, Novato, California "The ideas shared at the Congress of Cities have helped save our city countless dollars and have steered our community into new relationships between our elected officials and citizens." Ron Schmitt, Council Member, Sparks, Nevada "The Congress of Cities was the best orientation I had as (j freshman council member." Jean Quan, Council Member, Oakland, California "The NLC Congress of Cities helps elected officials develop a better vision for their city through workshops, networking, and leadership development." James Mitchell, Council Member, Charlotte, North Carolina "I attended for the opportunity to talk about similar problems and to find solutions to those problems that would not occur in a letter, e-mail, newspaper etc." James Taylor, COUlncil Member, Littleton, Colorado ~"."'.';(' ~." ,: r, ",1:1\". ' ~?' , ~.... :04' " ;; .~.. '\ ., "When I was a newly-elected mayor, the National League of Cities in general and the Congress of Cities in particular were invaluable resources to me for practical advice, best practices, and support from elected officials with many more years of experience than I had. Nearly 7 years later, the Congress of Cities is still the best place to find solutions to local challenges. " Anthony A. Williams, Mayor, Washington, DC; NLC President - ,......,~ The 2005 Congress of Cities and Exposition will offer several unique learning opportunities for city officials over a five-day period such as: . General Sessions featuring nationally recognized speakers . Workshop Sessions featuring subject matter experts and experienced city officials · Host City Mobile Workshops · Leadership Training Institute Seminars · Constituency Group Events · State League Events · Networking Activities · Problem Solving Clinics · An Exposition of over 350 booths Connecting with Charlotte Delegates attending the 2005 NLC Congress of Cities in Charlotte, December 6 through 10, will be treated to southern hospitality at its best. Known as the Queen City, Charlotte has undergone tremendous growth during the past 10 years. It is now the second largest banking city in the world and is a showcase for successful private-public partnerships. The Charlotte host committee is lining up the city's premier attractions for NLC delegates in December. Visit the NLC website at www.nlc.org for regular updates on host city plans. Host City Mobile Workshops Learn about the exciting programs underway in Charlotte and how you can replicate them back home to help your city run more efficiently and save money. Host city mobile workshop sessions will take place Wednesday, December 7 through Friday, December 9, and will include: · Neighborhood Revitalization Strategy - Making Neighborhoods Better · Integrating Greenways into the Community · Innovative Solutions to Smart Growth in Small Town~ · Transit Oriented Development in Charlotte's South EI k. · Leaving the Lights on in Your Downtown · Behind ttw Checkered Flag - The Economics of NASCAR · COll1l11Ullity Policing - The Ill1p<\ct of Nl'ighhorhood Actioll Tl'(\!l1S I " llJ~UAI, U~"J:.!W1DLn. u leadership Training Institute Seminars 9:00 u.m. - 5:00 p.m. WEDNESDAY, DECEMBER 7 NLC Board of Directors Meeting NLC Advisory Council Meeting "'..C Policy Committee Meetings o a.m. - 5:00 p.m. Host City Mobile Workshops 9:00 a.m. - 5:00 p.m. Leadership Training Institute Seminars 9:00 a.m. - 5:00 p.m. Orientation Session for First-Time Attendees 5:45 p.m. - 6:45 p.m. Opening Reception with Exhibitors 6:30 p.m. - 8:00 p.m. 10 Reasons to Attend the 2005 Congress of Cities AMERICA'S CITIES Al\rD TOWNS TEAMING UP FOR TOJWORROW THURSDAY, DECEMBER 8 Opening General Session 9:00 a.m. - 11:00 a.m. Welcoming Lunch in Exhibit Hall 11:00 a.m. - 1:00 p.m. Exposition 11:00 a.m. - 5:0Qp.m. Conference Workshops 1:00 p.m. - 2:30 p.m. 2:45 p.m. - 4:15 p.m. Resolutions Committee Meeting 1:00 p.m. Host City Mobile Workshops 1:30 p.m. - 5:00 p.m. State Municipal League and Constituency Group Receptions/Events ~ fJO p.m. - 8:00 p.m. 1. Discover new approaches to leadership, governance, and problem solving by attending general sessions, conference workshops, and networking sessions. 2. Learn creative approaches to working in the current economy. 3. Hear from high profile national speakers who will offer their perspectives on issues and challenges facing the leaders of the nation's cities and towns. egates Luncheon __.45 p.m. - 2:/5 p.m. Annual Business Meeting 2:30 p.m. Host City Closing Event 7.'()() p fT/ Visit the NLC website at www.nlc.org for more detailed and up-to-date information about the conference schedule, general session speakers, conference workshops, and other conference activities. 4. Gain access to a broad network of information and resources - experts, vendors, city leaders, youth delegates, NLC staff, colleagues, and friends - all gathered in one place for five days. 5. Visit and learn about successful prograIl1S in Charlotte that might work in your community. 6. Observe and participate in setting National Municipal Policy for the nation's cities and towns. 7. Hone your leadership skills by attending special Leadership Training Institute seminars that will increase the value of your trip to Charlotte. 8. Share experiences and net- work with local leaders from throughout the country. 9. Se.e old friends and make new ones. ... dIDAY, DECEMBER 9 General Session 9:00 a.m. - 10:30 a.m. Exposition 10:30 a.m. - 3:00 p.m. Conference Workshops 10:45 a.m. - 12:15 p.m. 2:00 p.m. - 3:30 p.m. 3:45 p.m. - 5:15 p.m. Exhibit Hall Lunch 12:30 p.m. - 2:00 p.m. Host City Mobile Workshops 1:30 p.m. - 5:00 p.m. State Municipal League and Constituency Group Receptions/Events 6:00 p.m. - 8:00 p.m. Youth Delegates Event 7:00 p.m. - 10:00 p.m. 10. Help your city/town prepare for a better future by talking about emerging issues and hearing about local solutions. SATURDAY, DECEMBER 10 Ecumenical Prayer Breakfast 7:30 a.m. - .9:00 a.m. General Session 9:/5 a.m. - 10:45 a.m. Conference Workshops lI:OO a.m. - 12:30 p.m. ~ NLC Congress of Cities Conference Registration and Housing Form Charlotte Convention Center, Charlotte, NC, December 6'010,2005 For Faster Registration and Housing Reservation, Register Online at http://www.nlc.org No housing or registration will be processed without accompanying payment in full. Are you a newly elected official? Size of city? Name Gender Title City/Organization Mailing Address City Phone State Zip Fax Email Registrant's Email Spouse/Guest Name* ($60 fee) _ *Spouse/Guest not eligible for a separate hotel room. Fee is NONREFUNDABLE. Child Name (14 and under, no fel3) Age__ Youth Delegate** (15-18, $75 fee) Age __ **Local officials are encouraged to register youth as active participants in this conference I'D contribute to NLC's youth agenda. If the youth delegate requires hotel accommodations separate from yours, attach their registration form with your completed form. Youth Chaperone Name ($75 fee) (Local Elected City Officials afl~ not eligible for this rate.) Special Conference Rates 5 $355 First-Time Attendee SG $ 60 Spouse/Guest (non-refundable) 7 $75 Youth Delegate 8 $75 Youth Chaperone (not applicable to elected officials) $-- $-- $-- $-- Registration Fees: EarlylOnline AdvancelOnline 1 NLC Member City $455/$430 $495/$465 $__ 2 Associate Member $455/$430 $495/$465 $__ 3 SML Member City $575/$545 $620/$590 $__ 4 Non-Member/Other $695/$665 $735/$705 $__ Eligible for Early Fee if Postmarked by September 15, 2005. Eligible for On-line Advance Fee if Registered by November 28, 2005. Visit www.nlc.org and register Online for discounted online rate. Registration for Leadership Training Institute Seminars (Dec. 6 and Dec. 7, 2005) To REGISTER, codes and fees ar'9 listed beside the Leadership Training Institute title in this brochure or NLC Website. You must be registered for the conference in order to attend. Tuesday, December 6 - Full-Day Seminar Code:_ $__ Tuesday, December 6 - Morning Seminar Code:_ $__ Tuesday, December 6 -Afternoon Seminar Code:_ $__ Wednesday, December 7 - Full-Day Seminar Code:---,---- $__ Wednesday, December 7 - Morning Seminar Code:_ $__ Wednesday, December 7 - Afternoon Seminar Code: _ $__ LTI Participant & Recognition Luncheon - $40 Code:_ $__ Special Events P1 $50 Ecumenical Prayer Breakfast Code:_ $__ Constituency Group 2006 Combined Dues and Special Event Fees To REGISTER, codes and fees are listed under the Constituency Group section of the brochure or NLC Website You must be registered for the conference in order to participate. APAMO DueslActivities Code:_ $__ GLBLOActivity Fee Code:_ $__ HELO Dues/Activities Code:_ $__ HELOActivity Fee (nonmember only) Code:_ $__ NBC-LEO Dues/Activities Code _ L-- NBC-LEO Membership Luncheon Event (nonmember only) Code: _ $__ UCC Membership Luncheon Roundtables Code:_ $___ WIMG Dues/Luncheon Code _ $__ WIMG Luncheon (nonmember only) Code ~__ $__ WIMG Welcome Reception (members & nonmembers) Code ____ $__ TOTAL REGISTRATION FEE: $~-- Rate Office Use On Iv Pavment Check# Amount Hotel Reservations: You must be registered for the Conference to reserve a hotel room To guarantee your room, all hotels require one night's deposit plus tax, per room 14 da" prior to your arrival. This is required even if you plan to arrive before 6:00 p.m. If accommodations are not guaranteed 14 days in advance, the reservation will be canceleo LJ Please make my hotel reservation as indicated below, LJ I do not require hotel accommodations at any of the hotels listed below. LJ Please contact me regarding suite information Room Dates: Arrival Date: _/_/_ Departure Date _/_/_ Room Type: LJ Single (1 person/1 bed) LJ Smoking LJ Double (2 people/1 bed) LJ Non-Smoking LJ Double/Double (2 people/2 beds) Room types cannot be guaranteed but Hotels will attempt to accommodate all requests. Sharing My Room With (for Hotel Check In Purposes): Special Request (e.g., wheelchair accessible rooms" etc.): If you have special housing or transportation needs, please contact NLC Meeting Services. Hotel Choices: Indicate your first-choice hotel with the number "1". Number the other hotels from "2" to "16" in order of preference. The hotel listing appears in the order of the hotel map numbers, Sal/Dbl $99 _ Charlotte City Center Courtyard by Marriott $114 _Charlotte Marriott City Center $135 $119 $109 $129 $124 $89 _ Adam's Mark Hotel _ Hampton Inn Charlotte Uptown _ Hilton Charlotte Center City _ Hilton Charlotte Executive Park S91IDbl $99 $135 $109 $109 $125 $129 $129 $138 _ Charlotte Marriott Executive Park _ Hilton Garden Inn Charlotte Uptown _Holiday Inn Charlotte Center City Omni Charlotte Hotel _Doubletree Hotel Charlotte Gateway Village _ The Dunhill Hotel Uptown _Embassy Suites Hotel _Four Points by Sheraton Charlotte Uptown _Residence Inn Charlotte Uptown The Westin Charlotte Hotel Deposit Information: All major credit cards with expiration date of 12/05 or later are accepted at the conference hotels. All checks, government purchase orders vouchers or claims must be submitted to the hotel with your Reg ID number at least 4 WEEKS (November 7,2005) prior to arrival, and are subject to hotel approval. Registration Fee Payment Information U Charge my REGISTRATION FEES to VISA, MasterCard or AmEx listed below U Check for REGISTRATION FEES made payable to National League of Cities LJ Purchase Order for REGISTRATION FEES - copy must be enclosed & payment must be received by November 28, 2005, Hotel Deposit Payment Information LJ Charge my HOTEL DEPOSIT to the credit card listed below. LJ Check for HOTEL DEPOSIT. Please submit to hotel address noted on NLC Meeting Services' confirmation 4 WEEKS prior to arrival - subject to hotel approval. U Purchase Order for HOTEL DEPOSIT. Please submit to hotel address noted on NLC Meeting Services' confirmation 4 WEEKS prior to arrival - subject to hotel approval. Credit Card Authorization: NLC Meeting Services is authorized to use the card below to pay all applicable registration fees and guarantee my hotel reservation. I understand that one night's room charge will be billed through this card if I fail to show up for my assigned housing on the confirmed date unless I have canceled my reservation with the hotel at least 72 hours in advance, Visa/MasterCard/AmEx Number Exp. Date_ Card Holder Name Card Holder Signature Additional Credit Card Authorization: For hotel deposit only if different than the credit card number listed above. (Expiration date must be 12/05 or later, per hotel requirement) Credit Card Number Exp. Date_ Card Holder Name Card Holder Signature Return Conference Registration and Housing Form to: Fax 703-631-6288 (Credit Card and Purchase Orders Only - No Checks) Mail: NLC Meeting Services, c/o J. Spargo & Associates, Inc. 11212 Waples Mill Road, Suite 104, Fairfax, VA 22030 For more information: Phone 888-319-3864 or 703-449-6418 Email nlccocregandhoLlsing@jspargocom ***Make a copy of this form for your records"*** Htl Subblk Cate CONFERENCE REGISTRATION Whether you are registering online, downloading your registration form from the web, or sending it to NLC Meeting Services with a check, you can find up-to-date and detailed information about registration categories, constituency group events, leadership training seminars, the conference program and the city of Charlotte on the NLC website at www.nlc.org. Not an NLC Member? Savings on conference fees are just one of the benefits of NLC membership. To find out if your community is a direct member city or to receive membership information, please call the NLC membership office at (202) 626-3190 or visit the NLC website at www.nlc.org. Special Travel Discounts to Charlotte NLC is partnering with USAirways and American Airlines to offer discounted airfares and with Avis and Thrifty Car Rental Agencies to offer Special car rental rates. Visit the NLC website at www.nlc.org to learn more about how to take advantage of these partnerships. Accommodations Photos courtesy of Visit Charlotte All general sessions and workshop sessions as well as the exposition will be held at the Charlotte Convention Center. For a list of conference hotels and descriptions, visit the NLC website at wwwnlc.org. Conference Registration and Hotel Cancellation Policies Registration Dates and Deadlines September 15, 2005: Early registration postmark deadline. All requests for cancellation must be in writing, postmarked by November 18, 2005, and are subject to a $50 processing fee. No partial refunds will be made if you decide not to attend particular functions. No refunds will be accepted after the cancellation deadline. To guarantee your room, all hotels require a one night deposit plus tax, per room, 14 days before arrival.This is required even if you plan to arrive before 6:00 p.m.All reservations that are not guaranteed 14 days before arrival will be canceled. FOR QUESTIONS, CALL 1-888-319-3864 or 703-449-6418 or Email: nlccocregandhousing@jspargo.com PLEASE MAKE A COpy OF THE REGISTRATION/HOUSING FORM AND THE NLC POLICY AND PROCEDURES FOR YOUR RECORDS. What's Included in Your Conference Registration Fee . Four Ceneral Sessions with Nationally Recognized Sp(~akers . Over 10 C()(1current Workshops Addressing Critical Issues Facing Today's Local Leaders · Host City Mohil(' Workshops · '1'1](' Opellillg RC'("eptioll · 'Iwo Exhihit Ilall LlIIICI}('s November 18, 2005: Cancellation postmark deadline. November 28, 2005: Requested changes to existing hotel accommodations deadline. November 28, 2005: Advanced regitstration by fax or on-line deadline. After this date, please plan to register on-site. · The Delegates LUllCh · The Host City Closing Event . ^("C(~ss to the Exhihit Hall with OV('I( :~;;O Exhihil Boolhs, Cily Showc as(' (1I1d VelH lor Workshop Pn 'S( '1IIal iOllS · ^ ('ollfe'n'IIC(' Bag · ^ IJrillled ('()I1f('n'11c(' IJrogrdlll 82nd Annual National League of Cities Congress of Cities and Exposition ~ December 6-10, 2005 Charlotte, North Carolina ~. . YOU CA N'T AFFORD TO MISS THIS CONFERENCE! National League of Citie's Institute 1301 Pennsylvania Avenure, N.W Washington, D.C. 20004 Non-Profit Org. U.S. Postage PAID Permit No. 4815 Washington, D.C. ****************** AUTO** ALL FOR AADC 970 00216174 FRAN BERTEAU EXECUTIVE SECRET AR Y 20 E MAIN ST ASHLAND OR <J7520-1 X50 T 124 PI 11.1..1...1.1.1...1.111.." ...111..1..1.1.11...1.1..1.1...1.1.1 '--- - ......- ASHLJ\ND Council Communication Meeting Date: September 6, 2005 Department: Administrative Services Contributing Departments: NA Approval: Gino Grimaldi AFN Report - 4th Quarter FY 2004-05 #:1 Primary Staff Contact: Lee Tuneberg E-mail: tuneberl@ashland.or.us Secondary Staff Contact: E-mail: Estimated Time: 15 Minutes Statement: This is the AFN Quarterly Report covering April 1 to June 30, 2005. This report's format was developed for FY 2004-05 and this is the fourth in that series. Background: This report covers AFN's customer counts and financial status for the 4th Quarter of FY 2004-05. The information provided herewith are preliminary numbers for the end of the fiscal year and are unaudited and unadjusted. All Navigant recommended activities were completed in some form during the year. Results compared to projections based upon the report are: ~ Actual Cable TV numbers were 3,170 at the end of June while the target was 3:,532. ~ Actual Cable modem counts were 3,686 at the end of June as compared to the target of 3,850. AFN Financial Narrative: The cash balance increased from $564,996 on March 31 to $773,349 on June 30. The large balance is due to the refinancing and subsidy. The cash flow is fairly equal the rest of the year for operating cash in and cash out. The Debt refinancing was approved by the City Council in FY 2003-04 and the $200,000 subsidy was approved in June 2005. Related City Policies: Ashland's City Council identified as a goal to improve the performance of AFN. QuartE3rly reports were identified as one tool in keeping Council current on operations. The format of subsequent reports may change under the direction of the Information Technology Director or basE3d upon work of the AFN Options Committee. Council Options: Not applicable. Staff Recommendation: Accept this report. ~~. ...~ Potential Motions: Council moves to accept this report. Attachments: AFN Quarterly Report r., q V'v The target numbers are from the N avigant re- port. However, those have proven unattain- able. The ending num- ber count of connec- tions is 50 (1.6% growth) over last year's, despite a rate increase. Note the sea- sonal change between the three summer months and rest of the year. EOY Actual 3,120 Target 3,100 On the Internet side, we have 251(7.3% growth) more resi- dential cable modem accounts. Also shown on this graph is sea- sonal changes. Please note the similarity in activity with the above chart. R5PORT AFN Net Cable Connections by Month FY 2004-2005 (Plan Year 7) 3600 3525 3450 3375 3300 3225 3150 3075 3000 EOY Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun I Actual per Billing ~ Target I July Aug Sep Oet Nov Dee Jan Feb Mar Apr May June 3,113 3,099 3,182 3,210 3,202 3,209 3,210 3,193 3,214 3,200 3,207 3,170 3,136 3,172 3,208 3,244 3,280 3,316 3,352 3,388 3,424 3,460 3,496 3,532 AFN Net ResidentiallSP Customers FY 2004-2005 (Plan Year 7) 3900 3825 3750 3675 3600 3525 3450 3375 3300 3225 3150 3075 3000 EOY Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun I Actual per Billing ~ Target I EOY July Aug Sep Oet Nov Dee Jan Feb Mar Apr May June Page 1 Actual 3,435 3,451 3,470 3,575 3,648 3,699 3,718 3,705 3,697 3,735 3,734 3,709 3,686 Target 3,435 3,470 3,504 3,539 3,573 3,608 3,642 3,677 3,712 3,746 3,781 3,815 3,850 C1 V'v R5PORT Gets Vt FLow Go V\,A.:p et rLso ~ There are two high cash ins. The first one is due to the refinancing and the second one in June, is from Electric Fund for the subsidy. The rest of the year is fairly equal in operating cashin and cash out. July 1,000,000 900,000 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 Aug Cash Flow COl11>arison Jul Aug Sep Oct Nov Dee Jan Feb Mar Apr May Jun I_ Cashin - CashCAlt I Sep Oct Feb Apr May June Nov Dee Jan Mar Cash In 420,593 868,760 186,421 217,394 227,320 195,564 196,895 181,613 267,969 216,005 204,047 459,919 Cash Out 426,260 226,443 236,078 218,281 202,741 261,355 153,498 240,233 239,491 215,262 192,042 264,313 . Monthly cash Balance This chart compares actual Ending Cash Balance (bold line) by month with the Target Cash Balance (dash line) ex- tending to June 30, 2005. The large increase is due to the re- financing and subsidy. On a budgetary basis, we did not meet the target cash bal- ance which is needed to meet future cash requirements. 1,200,000 1,000,000 800,000 600,000 400,000 200,000 Monthly Cash Balance Jul Aug Sep Oct Nav Dec Jan Feb IMar Apr May Jun E:-- Ending Cash Balance - - Target Cash Balance I July Aug Sep Oet Nov Dee Jan Feb Mar Apr May June Ending 1,181 643,498 593,841 592,954 617,533 551,742 595,139 536,518 564,996 565,739 577,744 773,349 Target 600,000 600,000 610,000 622,750 639,006 659,733 686,160 719,853 762,813 817,587 887,423 976,464 Page 2 {it V'v R5'PORT MOV\,tltlLtj RlAtLo of SlA Les to 5)(-pev\'~ Ltures This chart shows the ratio dropped in part due to end of year accruals. Expenses grew faster than revenue during the year. operlAtLoV\,lA L RtveV\,ues to 5)(-peV\,ses GOVVl-plA rL- so V\, This chart provides a look at what is recorded each month. For a better comparison, bor- rowing (revenues) and issu- ance/debt service costs (expenses) have been re- moved. Revenue continued to be at or below expenses throughout the year. Monthly Ratio Sales to ExpenditurE~S 2 1.5 0.5 0 Jul Aug Sep Oct !\bv Dee Jan Feb Mar Apr May Jun Percent Sales to Expenditures - - Targlst Ratio I July Aug Sep Oct Nov Dee Jan Feb Mar Apr May June Percent 0.49 0.96 0.98 1.3 0.8 1.07 0.83 1.21 0.96 0.85 Target 0.95 0.95 1.04 1.07 1.1 1.14 1.2 1.27 1.36 1.48 1.63 Operational Revenues to Expense!s Comparison 300,000 250,000 200,000 150,000 100,000 50,000 Jul Aug Sep Oct !\bv Dee Jan Feb ~1ar Apr May Jun I_ Revenues: - Expenses: I Aug Sep Oct Nav Dee Jan Feb Mar Apr May June July Reven.ues 208,954 208,547 208,760 216,951 231,675 217,311 214,567 195,910 221,094 227,959 228,552 228,568 Expenses 202,455 218,147 208,549 166,723 231,450 273,191 200,583 236,157 182,811 237,176 228,345 267,417 Page 3 '-I I I '-II" ASH Li\.N D Council Communication Water Recycling Task Force Ad Hoc Committee Formation Meeting Date: September 6,2005 Department: Public Works rJ- Contributing Departments: Approval: Gino Grimaldi, City Administrator . Primary Staff Contact: Ed Olson, Interim Public W E-mail: olsone@ashland.or.us Secondary Staff Contact: Terry Ellis, Wastewater perintendent E-mail: ellist@ashland.or.us Estimated Time: 20 minutes Statement: Form an Ad Hoc Committee to evaluate options to meet the anticipated wastewater trE~atment plant's thermal load limits. The goal of the committee:,isAo:assist with the development andirnplementation of good public policy related to the different options developed. Background: The Wastewater Treatment Plant improvements were completed in May 2002 and the plant is in full compliance with all DEQ National Pollution Discharge Elimination System permit requirements. A new requirement will require the City to evaluate existing thermal loads and potential to reduce thermal loading into the Ashland and Bear Creek system. The City advertised for an engineering firm to consider options to meet the anticipated wastewater treatment plant thermal load limits in March of 2005. The City contracted with Carollo Engineers in June of 2005. One task included in this proposal was public involvement and an eduGational component. The intent of developing the task force is to assist with development and implementation of good public policy that is supported by the community. An ad hoc committee for water recycling will assist with the policy development for water quality ramifications, regulatory constraints, environmental benefits, and health risks of reclaimed water as well as education on the practices and activities in other states and communities. The task force will present their findings on water recycling and its impact on the health of Ashland and Bear Creeks, and recommend feasible options to the Council to pursue for the bE~nefit of the community. Council Options: The report and recommendations which will be produced by the Water Reuse Task Force will serve as guidance for Council to develop and implement a good public policy that supports the community is water reuse options. Staff Recommendation: Representatives from various backgrounds have been considered for this committee including members from Southern Oregon University, a local business representative, community member-at- large, environmental and wildlife specialist, Bear Creek Watershed Council member and City Council liaison. Staff recognizes the following potential members for their current knowledge and interest in the committee goals: Eric Dittmer, SOU Geology Department; Ron Roth, business r1epresentative and ri.' local water advocate; Susan Reid, community member-at-Iarge; Brent Crowe, Oregon Department of Fish and WildlifE~; Donna Rhee, Bear Creek Watershed Council member and John Morrison, Council Liaison. All meetings will be open to the public and citizen participation will be encouraged. Staff recommends that the formation of the committee be done in a timely manner in order to keep the project on schedule to meet the upcoming DEQ requirements. If the Mayor concurs with the recommendations, staff asks that he appoints the members at this meeting. Potential Moti~:>ns: Council moves to support the formation of the Water Recycling Task Force and asks the Mayor to support the recommended appointments made by staff. Council moves to not form a Water Recycling Task Force. Attachments: r~' CITY OIF ASHLAND Council Communication Resolutions Authorizing a Cable Television Rate Increase in the Telecommunications Fund and Surcharge on Electric Accounts lJi'?- Primary Staff Contact: Lee Tuneberg, 552-2003 tuneberlUl2ashland. or. us Meeting Date: September 6, 2005 Department: Administrative Services Contributing Depts: N/ A Approval: Gino Grimaldi Estimated Time: 30 Minutes Statement: This communication provides options to Council for changing cable television (CATV) rates and establishing a surcharge on electric utility accounts to meet AFN financial requirements. Background: Better financial stability of the Telecommunications Fund was a key discussion during the FY 2005-06 budget process held in April and May of this year. Everyone's goal was to establish a means of providing adequate fiscal support to the Ashland Fiber Network (AFN) for FY 2005-06 while Council considered what changes are needed for its telecommunications systerrL that was begun in the Electric Fund in FY 1998-99. To date AFN has been funded by two bank loans and internal borrowings for construction and operational costs that were rolled together in a $15.5 million refinancing done in August of 2004. Construction of the system, where financially practical, was considered complete in FY 2003-04. This means that the City has only one complete year of operational history available for ,'."~-"."','-comparison purposes. The refinancing included monies to be set aside, helping to paythe1i-rst debt service however, $200,000 was needed as a subsidy from the Electric Fund to provide sufficient cash to meet the July 15th payment of $802,000. The $200,000 was provided in June. The budget for FY 2005-06 was created relying on the $200,000 subsidy mentioned above to be included in the balance carry forward with remaining bond proceeds from FY 2004-015, a $500,000 operational transfer from the Electric Fund balance as a subsidy and additional revenues through rates and fees of $200,000. This would result in a $70,000 ending fund balance and a carry forward into FY 2006-07 of $210,000 if no contingency was spent during this year. The long-tenn budget shows the following years requiring 10% increases in revenues each year and subsidies increasing for several years to balance. The Electric Fund, as the original guarantor of AFN was identified as the provider of subsidies even though th(~ 2004 bond covenants specify that any unrestricted resources could be employed as Council chooses. ,., 1 AFN's operational revenue for FY 2004-05 totaled $2.6 million. Operational expenses (excluding bond issue costs) were about the same. Projections for FY 2005-06 are $2.835 million in operational revenues (including added revenue from rate increases and excluding the subsidy transfer of $500,000) and $4.220 milliOh in expenses (including $140,000 in Contingency but not including depreciation and amortizations totaling $500,000). The shortfall is $1.395 million and the long-term budget reflects that amount reduced to $890,000 through the subsidy transfe:r and the balance covered by a carry forward of $963,000. The amount needed is $738,000 for FY 2005-06. ' In order to meet or exceed the target of at least $70,000 fund balance carry forward on June 30, 2006, a combination of actions must take place to provide $738,000 in the remaining 9 months. These actions include rate increase(s), a subsidy or subsidies and cost savings. Narratives of these follow. Rate Increases: AFN has raised cable television rates twice in the last 15 months. The increases for cable television (CATV) were 8% in June 2004 based upon a consultant study and 6.6% in February 2005 to provide revenues to offset those not generated by other" initiatives. Although there have ., been some changes in the CATV line-up, the overall package is relatively the same as two years ago. AFN's CATV rates are thought to be 25 - 30% below national averages, the range depending on how dissimilar tiers and line-ups are factored. Charges for cable modem services were raised significantly during the same time period and are now thought to be priced competitively and should not be raised. Initial discussions included increasing CATV to the national average. Such a change is significant and. may best be managed in steps or done at the least sensitive time. The attached July 19,2005, memo to Council addresses many of these concerns. Attached is a chart showing connections in the prior year. The cycle of connections in the fall, with fewer disconnections in the spring, is thought to be consistent with seasonal changes and television viewing. Approximately two years ago the City discussed that the appropriate time for annual rate increases should be around January to best coincide with this cycle and marketing. Comparisons of a 15% (step approach'toward market) and 25% (at or near market in one step) are provided, both being done effective January 2006 to allow product or line-up improvements to minimize the advantage afforded competing systems. Subsidy: The first direct subsidy was the $200,000 done last June from the Electric Fund to provide cash to pay July's debt service. In the budget is an additional $500,000 transfer from the Electric Fund balance. An electric rate increase was deferred in that the fund balance is above the targeted mininlunt and the only need for the proposed rate increase was perceived as generating funds for AFN.. Additionally, an increase in electric rates would have benefited the'General Fund through user tax and franchise fee revenue. The budget reflects that impact but the $150,000 impact on the General Fund is offset by a projected larger carry forward from FY 2004-05. Instead of a direct transfer a surcharge has been recommended whereas a set amount ($3 -$10 per electric account per month) could generate sufficient revenues directly to AFN without any added fee or tax going to the General Fund, similar to existing taxes and surcharge. 2 To meet the overall needs of AFN there is a need to identify whether a surcharge is in addition to or replaces the operational transfer. A surcharge of $5 per electric account will generate approximately $50,000 per month, and if established effective October 1 would provide $450,000 to AFN in this fiscal year. Six dollars would provide $540,000, seven dollars equates . to $630,000, etc. Cost savinf!s: Not having to spend all appropriation levels can be beneficial as long as important expense such as staffing, marketing, capital reftesh investments and debt service are met. Included in the calculations above is an amount for unidentified expenses called Contingency in budgeting. Any of this not utilized improves the bottom line and carries forward to the subsequent year. AFN spent 98% of the original appropriation levels for FY 2004-05 and left $57,000 in Contingency unused. The above calculations are done assuming that all budget appropriations and Contingency are consumed. Fiscal action{s) needed: _ __ The budget established was predicated on fiscal steps being taken in the current year. The Electric Fund balance that is currently available for use will not be there in following years without increased electric rates. This establishes the need to establish a surcharge to subsidize AFN related costs as needed. The tools Council uses to balance the Telecommunications Fund for FY 2005-06 can change for following years as operating AFN changes. Provided in the options section of this report are a few of the things that could be done. With the many v.ariables and preferences that come into play, utilizing different elements of the options provided can satisfactorily meet fiscal requirements. Timing of the changes can impact the proposed options such as implementing rate changes sooner may provide more revenues by end of year at a smaller percentage increase. Significant changes now will affect things that may be proposed later either by the ne'w director or arising through the Options Committee. The City must anticipate that customers and citizens will combine any rate increase with any surcharge to evaluate the value of the service provided for the total cost paid. The surcharge proposed, as with any subsidy transferred, is partially. -.---. funded by some citizens who still cannot receive all of AFN' s services. For comparative purposes, staff is providing tables showing a 15% and a 25% increase in January and potential impacts to the end of FY 2005-06. This is based upon preliminary FY 2004-05 customer counts, revenues and expenses and projecting into FY 2005-06 the potential range of impacts a significant CATV rate increase may include: 150/0 Increase in CATV Rates as of January Impact On: Customer Counts 3,200 3,040 2,880 2,720 2,5610 Change in Counts 0% -5% -10% -15% -20'% Revenue $ 65,855 $ 39,995 $ 14,115 $ (11,530) $ (37,4310) Expenses $ $ (18,158) $ (36,360) $ (54,342) $ (72,544) Net Impact $ 65,855 $ 58,153 $ 50,4 75 $ 42,812 $ 35,114 3 The previous table shows the possible impact on AFN finances with a 15% CATV increase and a range of percentages representing zero to 20% reductions in customer counts. It should be noted that in FY 2004-05 the number of customers increased by 50 despite the above mentioned increases however, it is difficult to predict sensitivity to increases as AFN's rates approach market and it is equally difficult to accurately estimate the number of new customers that went with competing systems or technology after comparing price and line up. 25% Increase in CATV Rates as of January Impact On: Customer Counts 3,200 3,040 2,880 2,720 2,560 Change in Counts 0% -5% -10% -15% -20% Revertue $ 109,725 $ 81,716 $ 53,605 $ 25,785 $ (2,350) Expenses $ $ (18,158) $ (36,360) $ (54,342) $ (72,544) Net Impact $ 109,725 $ 99,874 $ 89,965 $ 80,127 $ 70,194 A comparison of local rates for CATV tiers reflecting a 15% and 25% increase,~toAshland customers is as follows. Discussions regarding national rates included Ashland existing rates being 25 to 301% less so an Outside the Area column is provided. CATV Rate Comparison* AFN Competitor Existing Rates Existing +15% +25% In Ashland Outside Estimate Community $ 7.87 $ 9.06 $ 9.84 N/A N/A Basic $ 12.96 $ 14.92 $ 16.21 $ 13.07 $ 20.00 Expanded $ 32.37 $ 37.25 $ 40.48 $ 32.40 $ 48.00 Digital Plus $ 43.88 $ 50.49 $ 54.87 $ 38.30 N/A Premium Channels (2) $ 10.01 $ 11.52 $ 12.52 ** N/A *Plus applicable franchise and PEG access fees. ** Included in Competitor's Digital Plus The reader should note that these comparisons are difficult as program line-ups vary from community to community and system to system. Rather than advertise the latest promotional programs for the competition, the table reflects published rates in town and outside. Since marketing practices are such that private companies publish their base charges and add on taxes and fees when billed, the comparison is before franchise and PEG access fees. Subsidy table:. As you can se(, there are several combinations of fees, charges and subsidies to meet fiscal requirements and the elements can be changed between years as need dictates. As shown in the second column below, a Transfer of $420,000, a surcharge of$3 in October and a rate increase of 15% in January will provide enough resources to meet requirements for the year. 4 FY 2005-08 CATV Rate Increase Net Impact 15% increase with 10% fewer customers OR 25% increase with 20% fewer customers $ 3 $ 3 $ 4 $ 4 $ 5 $ 5 $ 6 $ 6 $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ 420,000 $ 400,000 $ 330,000 $ 310,000 $ 240,000 $ 220,000 $ 150,000 $ 130,000 $ 270,000 $ 270,000 $ 360,000 $ 360,000 $ 450,000 $ 450,000 $ 540,000 $ 540,000 $ (48,000) $ (68,000) $ (48,000) $ (68,000) $ (48,000) $ (68,000) $ (4B;,Ooo) $ (68,000) $ 50,475 $ 50,475 $ 50,475 $ 50,475 $ 70,194 $ 70,194 $ 70,194 $ 70,194 Surcharge Amount/month/account Estimated Shortfall Transfer from Electric Surcharge Revenue Surplus (Shortfall) The above table shows that not all of the budgeted transfer from the Electric Fund would be needea with either rate increase in January, even if the surcharge was set at $3. The unused amount of the transfer and any surplus in revenue generated by the surcharge could be held in reserve to address capital refresh or costs related to operational changes identified later. A table showing all comparisons from $3 - $10 is attached~ However, the following table presents the need in FY 2006-07 that must be addressed in time for the budget process, all things remaining constant. A higher surcharge set in FY 2005.-06 will reduce the amount of the surcharge needed in the following year. FY 2008-07 CATV Rate Increase Net Impact $ 7 $ 7 $ 8 $ 8 $ 9 $ 9 $ 9 $ 9 Estimated Shortfall $~~$~~$~~$~~$~~$~~$~~$~~ Transfer from Electric Surcharge Revenue $ 840,000 $ 840,000 $ 960,000 $ 960,000 $ 1,080,000 $ 1,080,000 $ 1,200,000 $ 1,200,000 Surplus (Shortfall) $ (60,000) $ (60,000) $ 60,000 $ 60,000 $ 180,000 $ 180,000 $ 300,000 $ 300,000 CATV Rate Increase Net Impact 15% increase with 10% fewer customers $ 50,676 $ 50,676 $ 50,676 $ fiO,676 5% increase no change in customers $ 24,710 $ 24,710 $ 24,710 $ 24,710 The above table shows that a $7 surcharge would generate $840,000 revenue in FY 2006-07 which approximates the debt service payment for that year. A $5 surcharge for nine months in FY 2005-06 will provide $450,000 that year and $600,000 in FY 2006-07. If all of the Electric Fund transfer is used in FY 2005-06, the surcharge could be set at $5 and not be changed for FY 2006-07, estimating that all requirements are met through June 30, 2007. Related City Policies In June, 2005, Council accepted a policy to fund cash shortfalls in AFN through the Electric Fund. Staff requested and Council authorized a $200,000 subsidy from the Electric Fund in June 2005 to assist in paying for debt service. The FY 2005-06 budget also includes a $500,000 subsidy to AFN in the fonn ofa transfer from the Electric Fund. On July 19, 2005, Council accepted staffs recommendation to d(~fer an 5 electric rate increase in favor of more information on wholesale power costs. The possibility of a surcharge for .AFN's benefit was also discussed. With a rate adjustment and a surcharge being approved, no other subsidy or transfer between funds would bc~ done for AFN without prior Council approval. Council Options: To meet financial obligations a combination of changes are needed but the timing and size of changes are optional. The following represent options currently available: 1. Do not change rates or establish a surcharge until January 1, 2006, allowing the: a. Options Committee to complete its work. b. Selection of a new AFN director. c. ". AFN staff to develop sufficient changes to CATV services to balance the increase. The impact of taking this option requires transferring some portion of the budgeted $500.000 transfer. minimized bv a larger surcharge (approximatelv $ll/account/month) and the 25% rate increase to meet the $738.000 need. 2. Establish a surcharge effective October 1 on electric accounts of $3 per month to generate $270,000 in FY 05-06 with the $500,000 and a $7 charge per month in FY 06-07 to generate $840,000 the next year, or set the surcharge at $5 for both years with the $500,000 transfer. This option does not include a rate increase. 3. Raise AFN CATV rates for existing tiers an intermediate amount (15%) with the $5 surcharge (generating $450,000) to: a. Generate $35,114 -$65,855 in CATV revenue depending on timing and customer reaction toward the increases. b. Reducle subsidy from Electric transfer to $222,145 - $252,886 based upon the $738,000 need. c. Move toward a policy that the city does not subsidize cable television. 4. Raise AFNf CATV rates for existing tiers 250/0 to "market" with the $5 surcharge (generating $450,000) to: a. Generate $70,194 - $109,725 in CATV revenue depending on timing and customer reaction toward the increases. b. Charge more closely what it costs to provide the service. c. Reduce subsidy from Electric transfer to $178,275 - $217,806 based upon the $738,000 need. d. Employ a policy that the city does not subsidize cable television. Staff Recornmendation: Staff believes an argument can be made for any of the four options above for fiscal reasons but remain cautious about too many changes and processes occurring at the same time. Making changes to ensure fiscal stability of AFN during FY 2005-06 is necessary, especially as operational changes are considered. Staff recommends Option #3 including a surcharge of $5 effective October 1, a rate increase effective January set at the necessary leveland balanced with a change in services and.a subsidy 6 transfer from the Electric Fund as needed (estimated at $210,000 - $500,000) for the following reasons: 1. The community then contributes to the fiscal well-being of AFN and retirement of the City's debt. 11. The surcharge is set once for almost two years but can be amended if needed. 111. The City moves toward charging for the cost of service of cable television. IV. Electric reserves are used to soften the impact on customers in the first two years. Potential Motions: Council moves to: EITHER a. Adopt the attached resolution to establish a surcharge on electric accounts for the benefit of AFN in the amount of $ (from $3 - $10), or b. Adopt both attached resolutions establishing a surcharge on electric accounts for the benefit of AFN of $__ (from $3 - $10) AND raising CATV rates __0/0 (10%- 30%) or c. Adopt the attached resolution to increase cable television rates _% (10~) - 30%) but do not establish a surcharge at this time. OR No motion, Council prefers to defer the surcharge and cable television rate increases for more information from staff, the new' director or information from the Options Committee, etc. Attachments: Resolutions authorizing rate increase and/or subsidy. Memo to Council dated July 19,2005 FY 2004-05 Cable Customer Count report AFN Funding Comparison Table 7 .. RESOLUTION NO. 2005- A RESOLUTION ESTABLISHING CABLE TELEVISION AND INTERNET RATES FOR THE ASHLAND FIBER NETWORK, READOPTING ALL OTHER RATES WITHC~UT CHANGE & REPEALING RESOLUTION NO 2004-40 THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTION 1. The Attached rate schedule is adopted as the rates and fees for AFN Internet and AFN Cable Television provided by the City of Ashland Information Technology department, Ashland Fiber Network Division. These rates are effective with the Cycle 8 Billing in , 200_. SECTION 2. --Installation charges, equipment rental, bulk rates, and other charges m,ay be set administratively. To the- extent practicable, such fees shall be set to re~cover, over a fiscally prudent period, the incremental cost of providing such service by taking into account all costs actually incurred. SECTION 3. Nothing in Section 1 or Section 2 shall preclude AFN staff temporarily reducing or waiving rates or charges in conjunction with promotional campaiglns, 2) establishing different and nondiscriminatory rates an charges for commercial customers, as allowed by federal law' and regulations, or 3) establishing different and nondiscriminatory rates and charges for AFN high speed data and wholesale high speed data commercial customers, as allowed by federal law and regulations. SECTION 4. Resolution 2004-40 is repealed. SECTION 5. This resolution takes effect upon signing by the Mayor. This resolution was read by title only in accordance with Ashland Municipal GQd~.. '.- 92.04.090 duly PASSED and ADOPTED this _ day of ~,2005. Barbara Christensen, City Recorder SIGNED and APPROVED this _ day of , 2005. John W. Morrison, Mayor Reviewed as to form: Michael W. Franell, City Attorney RESOLUTION NO. 05- A RESOLUTION ADDING A SURCHARGE TO ELECTRIC UTILITY RA~TES FOR THE PURPOSE OF SUBSIDIZING ASHLAND FIBER NETWORK Recitals: A. The Ciity of Ashland operates Ashland Electric Utility to provide electricity to customers within the City limits of 'Ashland. B. ~' The Ciity of Ashland also operates Ashland Fiber Network (AFN) which uses a fiber optic backbone to provide cable television and internet services to customers within the City of Ashland. C. The Ashland Electric Utility utilizes the AFN fiber optic backbone to transmit data important to the operation of the electric utility andJhereforeJinds it beneficial to subsidize the operation of AFN. ' D. The Ciity finds it beneficial to establish a surcharge on electric utility customer rates for the purpose of subsidizing AFN. THE CITY OF ASHLAND RESOLVES AS FOllOWS: SECTION 1. .The City of Ashland adopts a $ surcharge on billings for electric usage to provide a subsidy to Ashland Fiber Network, said surcharge to begin with Cycle 1 billings prepared on or after October 1,2005. SECTION 2. _The surcharge revenue is not subject to the Electric Utility Tax or included in the franchise fee calculation for General Fund Revenues. SECTION 3. This resolution takes effect upon signing by the Mayor. This resolution was read by title only in accordance_ with Ashland Municipal Code ~2.04.090 duly PASSED and ADOPTED this day of , 2005. Barbara Christensen, City Recorder SIGNED and APPROVED this _ day of , 2005. Reviewed as to form: John W. Morrison, Mayor Michael W. Franell, City Attorney 1- . -Resolution- AFN Surcharge on Electric Accounts 2005-9-6G:\legal\PAUL\FORMS\resolution form.wpd _ Resolution NO. 2005 Rate Schedule (Effective on Cycle 9 Billing · (150/0 increase)' , 200_) AFN Television Rates Base Fee Franchise Fee Peg Increment Total Tier Rates Per Month Community (Tier I) 9.06 0.48 0.75 9.54 10.29 Basic (Tier II) 5.86 0.31 6.17 16.46 - Increment added to Tier I Expanded (Tier III) 22.33 1.18 ~~3.51 39.97 - Increment added to Tier I & II. Digital Plus (Tier IV) 13.24 0.70 13.94 53.91 -Increment added to Tier I, II & III. Premium Rates Per Month StarzlEncore 11.52 0.61 12.13 HBO 15.87 0.84 16.71 Showtime 15.87 0.84 16.71 Pay Per VIew Per Event Price Varies From $0 to $250 Charge/Additional Customer Premise AFN Residential Internet Rates Base Fee Franchise Fee Equipment (CPE) Total Residential Internet (wholesale rate to certified ISP) Monthly Rates (Includes 1 CPE) 26.45 N/A 5.00 Each 26.45 Residential Internet Direct Connect (no Ispf** Monthly Rates (Includes 1 CPE) 32.90 . N/A 5.00 Each 32.90 ** For existing customers only. New customers must choose a certified ISP. Charge/Additional Customer Premise AFN Advanced Residential Internet Rates Base Fee Franchise Fee Equipment (CPE) Total Residential Internet with Fixed IP OR 1 mb Upload Speed (wholesale rate to certified ISP) Monthly Rates (Includes 1 CPE) 51.03 N/A 5.00 Each 51.03 Residential Internet with Fixed IP and 1 mb Upload Same Price and Provisions of Business Internet - Speed (wholesale rate to certified ISP) 1 Fixed Address AFN Business Internet Rates Base Fee Franchise Fee Fixed Address Total Business Internet (whol,esale rate to certified ISP) Monthly Rates 76.32 NIA 1 . 76.32 81.58 2 -81.58 86.84 3 86.84 92.10 4 92.10 97.36 5 97.36 102.62 6 102.62 107.88 7 107.88 113.14 8 113.14 AFN High Speed Pricing Bundled High Speed Internet Services .5 mbit access 400.00 per month 1 mbit access 500.00 per month 1.5 mbit access 600.00 per month 2 mbit access 700.00 per month Installation Fee 1,000.00 One time charge These services assume that the customer will not use all of the available bandwidth, they will be upgraded to the unbundled services. The local loop connection is 100mbit. These prices replace thE! existing service prices. These are designed to allow a business to use a high speed service at a very low rate, but assume that sustainE~ bandwidth to the internet is not needed. For these services the maximum number of IP addresses that will be abilable per service are 32, and they will be given out in blocks of 16. If a customer needs sustained bandwidth, or other types of services such as a local loop to connect two locations together then the following rate schedule will be used. Unbundled High Speed Access Price per mbit for IntemE!t Access 615.00 per month Local Loop Fee 390.00 per month Installation Fee 1,000.00 One time charge All Services are 100 mbit local loop. Example: 2 mbit service = 390 + (2*615) 1,620.00 per month 1,000.00 Installation Example: 1.5 mbit servic:e - 390+(1.5*615) 1,312.50 per month T1 Equivalent Service 1,000.00 Installation For Services 3 mbit and above, no local loop fees will be charged For these services any number of IP addresses can be requested, but they must be justified via the American Registry for Internet Numbers (ARIN) regulations. Resolution NO. 2005 Rate Schedule (Effective on Cycle 9 Billing. (25% increase) , 200_) AFN Television Rates Base Fee Franchise Fee Peg Increment Total Tier Rates Per Month Community (Tier I) 9.84 0.52 0.75 "10.36 11.11 Basic (Tier lit 6.37 0.34 6.71 17.82 - Increment added to Tier I Expanded (Tier III) 24.27 1.28 :25.55 43.37 -Increment added to Tier I & II. Digital Plus (Tier IV) 14.39 0.76 '15.15 58.52 -Increment added to Tier I, II & III. Premium Rates Per Month StarzlEncore 11.52 0.66 12.18 HBO 17.25 0.91 18.16 Showtime 17.25 0.91 18.16 Pay Per View Per Event Price Varies From $0 to $250 Charge/Additional Customer Premise AFN Residential Internet Rates Base Fee Franchise Fee Equipment (CPE) Total Residentiallntemet (wholesale rate to certified ISP) Monthly Rates (Includes 1 CPE) 26.45 NIA 5.00 Each 26.45 Residentiallntemet Direct Connect (no ISP) ** Monthly Rates (Includes 1 CPE) 32.90 N/A 5.00 Each 32.90 ** For existing customers only. New customers must choose a certified ISP. Charge/Additional Customer Premise AFN Advanced Residential Internet Rates Base Fee Franchise Fee Equipment (CPE) Total Residentiallntemet with Fixed IP OR 1 mb Upload Speed (wholesale rate to certified ISP.) Monthly Rates (Includes 1 CPE) 51.03 N/A 5.00 Each 51.03 Residentiallntemet with Fixed IP and 1 mb Upload Same Price and Provisions of Business Intemet - Speed (wholesale rate to certified ISP) 1 Fixed Address AFN Business Internet Rates Base Fee Franchise Fee Fixed Address Total Business Internet (wholt3sale rate to certified ISP) Monthly Rates 76.32 N/A 1 76.32 81.58 2 - 81.58 86.84 3 86.84 92.10 4 92.10 97.36 5 97.36 102.62 6 102.62 107.88 7 107.88 113.14 8 113.14 AFN High Speed Pricing Bundled High Speed Internet Services .5 rnbit access 400.00 per month 1 rnbit access 500.00 per month 1.5 mbit access 600.00 per month 2 mbit access 700.00 per month Installation Fee 1,000.00 One time charge These services assume that the customer will not use all of the available bandwidth, they will be upgraded to the unbundled services. The local loop connection is 100mbit. These prices replace thel existing service prices. These are designed to allow a business to use a high speed service at a very low rate, but assume that sustainEKI bandwidth to the internet is not needed. For these services the maximum number of IP addresses that will be abilable per service are 32, and they will be given out in blocks of 16. If a customer needs sustained bandwidth, or other types of services such as a local loop to connect two locations together then the following rate schedule will be used. Unbundled High Speed Access Price per mbit for Internelt Access 615.00 per month Local Loop Fee 390.00 per month Installation Fee 1,000.00 One time charge All Services are 100 mbit local loop. Example: 2 mbit service = 390 + (2*615) 1,620.00 per month 1,000.00 Installation Example: 1.5 mbit service - 390+(1.5*615) 1,312.50 per month T1 Equivalent Service 1,000.00 linstallation For Services 3 mbit and above, no local loop fees will be charged For these services any number of IP addresses can be requested, but they must be justified via the American Registry for Internet Numbers (ARIN) regulations. CITY OF AS H Lil\N D Memo DATE: TO: FROM: 0- RE: July 19, 2005 Mayor and City Council Lee Tuneberg, Administrative Services & Finance Director AFN Cable TV Rate Increase Staff continues to review AFN operations evaluating the potential to change rates and services, primarily on the cable television (CATV) side of business. We intended to have a proposal to Council in July but .. ;'[e'(:51 ififuportant to defer a significant change until other important decisions are-made.and to.~allQw;staff. adequate time to identify potential changes, their timing and balancing charges with service levels. We recognize that Council and the Budget Committee raised concerns regarding overall A.FN financial health and specifically the amount being charged and the cost of CATV operations however there are enough unknowns about all the changes occurring and the appropriate size and timing of changes to compel us to defer these changes. The major issues are as follows: A. Multiple increases in a short time: Although it would have been ideal to charge market rates and better cover AFN's operating costs from the very beginning, multiple significant increases in a short period have a risk of alienating customers and may be less effective than anticipated. The history for AFN operations and the impacts or rate increases is not sufficient enough to predict the sensitivity customers have to rate increases. Thus, staff can only estimate the impact increases will have on customer counts. B. Not value added: In modeling the financial impact and speculating the effect on subscriber counts, it is possible that much of the benefit of raising rates a significant amount are minimized by customers terminating service or not connecting at all. This would be the third increase in CATV rates in 14 months with no significant product change The end result could be a smaller increase in the bottom line than hoped. AFN's Marketing and Operations managers recommend strategic changes in line-up, partnerships and tier structure. Such changes are being formulated but may need to be deferred until input is provided by others, possibly through the Options Committee or the new manager. C. Benefit to the competitor: Even though there are some positive perspectives to moving to significantly higher rates the potential for the competition to wait on their increase:s to gamer as ADMISTRATIVE SERVICES DEPARTMENT D. L. Tuneberg, Director Tel: 541-488-5300 20 East Main Street Fax: 541-488-5311 Ashland, Oregon 97520 TTY: 800-735-2900 www.ashland.or.us r., CITY OF ASHLAND Memo many of Ashland's customers as possible based upon price alone is high and the impact could be devastating to some options being considered. Due to that risk, a smaller increase or series of increases combined with other changes could be proposed and may be better for retaining clJstomers. D. Conflicting processes: The city is in the midst of two processes that could be negatively affected by dramatic changes in mechanisms to fund operations. The city is recruiting for a new director with more telecommunications and cable television experience to head-up AFN and for a team to consider options for AFN's future. Significantehanges at this time may impact what is or can be done through both processes. Additionally, the impact of the City considering a surcharge as the means to provide a subsidy rather than the operational transfer included in the budget must be viewed in relation to any proposed rate change, whether there are value-added adjustments to product lines or not. Staff has been evaluating costs, projecting impacts of rate increases, calculating surcharge amounts and identifying potential changes in services provided but such reviews are not complete enough to propose changes in July. However, staff has also been diligently working on: 1. implementing technology to enable innovative and improved services 2. constructing new subdivisions to obtain customers 3. providing unrivaled services and service to Ashland customers 4. resolving construction issues in the system 5. implementing required satellite and line-up changes 6. assisting city administration to ensure a smooth management transition An AFN quarterly report recapping FY 2004-05 and speaking to the activities above will be provided in August. At that time options will be identified for potential changes in services, charges and their timing. Please contact me if you have any questions or comments. ADMISTRATIVE SERVICES DEPARTMENT D. L. Tuneberg, Director Tel: 541-488-5300 20 East Main Street Fax: 541-488-5311 Ashland, Oregon 97520 TTY: 800-735-2900 ~.ashland.or.us r~' City of Ashland Recap of Cable Customers By Tiers Jul Aug Sep Oct Nov Dee Jan Feb Mar Apr May Jun T1 Connects 19 12 20 11 4 10 11 7 9 7 6 13 Disconnects -11 -7 -13 -5 -4 -6 -9 -7 -11 -5 -9 -17 T1 Total 267 272 279 285 285 289 291 291 289 291 288 284 T2 Connects 22 20 42 30 22 23 33 20 23 21 39 51 Disconnects -22 -32 -28 -20 -16 -17 -19 -17 -27 -18 -39 -41 T2 Total .. 689 677 691 701 707 713 727 730 726 729 738 748 T3 Connects 75 89 127 59 49 51 46 50 68 45 53 63 Disconnects -107 -90 -71 -52 -63 -56 -54 -72 -44 -66 -59 -110 T3 Total 1799 1798 . 1854 -1861 1847 t842 1834 1812 1836 1815 1809 1762 T4 Connects 21 3 17 12 10 13 5 4 12 9 12 17 Disconnects -4 -9 -11 -7 -10 -11 -12 -2 -9 -7 -5 -13 T4 Total 358 352 358 363 363 365 358 360 363 365 372 376 TOTAL 3113 3099 3182 3210 3202 3209 3210 3193 3214 3,200 3207 3170 .5connect Reason Codes 1. Not Watching TV 5 7 10 8 8 4 6 5 11 9 11 7 2. Dish 5 2 1 6 4 5 2 2 3 4 0 1 3. Moving -out of TO\! 53 77 49 22 30 26 32 31 28 41 32 77 4. Upgrade 27 11 17 7 6 6 5 4 17 8 11 22 5. Charter 4 3 7 4 4 4 3 8 4 1 7 3 6. Financial 1 1 0 0 4 2 4 8 1 2 3 2 7. Downgrade 10 8 12 9 4 8 13 10 3 6 8 9 8. Transfer 26 17 19 11 13 9 12 16 7 10 16 22 9. Other 12 5 5 5 0 5 0 0 4 2 3 10 10. Moving - AFN N. 0 4 6 3 7 5 1 1 1 4 1 1 11. Non Pay 4 2 1 3 2 2 0 3 2 0 1 4 147 137 127 78 82 76 78 88 81 87 93 158 G:\finance\utilities\Cable Counts FY 2005 Cable Counts FY 2005 Summary 9/1/2005 11 :26 AM AFN Funding Comparison Table Fiscal Year 2005-06 and 2006-07 FY 2(]IOS-06 Surcharge Amount/month/account $ 3 $ 3 $ 4 $ 4 $ 5 $ 5 $ 6 $ 6 Estimated Shortfall $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) Transfer from Electric $ 420,000 $ 400,000 $ 330,000 $ 310,000 $ 240,000 $ 220,000 $ 150,000 $ 130,000 Surcharge Revenue $ 270,000 $ 270,000 $ 360,000 $ 360,000 $ 450,000 $ 450,000 $ 540,000 $ 540,000 Surplus (Shortfall) $ (48,000) $ (68,000) $ (48,000) $ (68,000) $ (48,000) $ (68,000) $ (48,000) $ (68,000) CATV Rllte Increase Net Impact 15% increase with 10% fewer customers $ 50,475 $ 50,475 $ 50,475 $ 50,475 OR 25% increase with 20% fewer customers $ 70,194 $ 70,194 $ 70,194 $ 70,194 FY 2(]iOS-06 Surcharge Amountlm<mthlaccount $ 7 $ 7 $ 8 $ 8 $ 9 $ 9 $ 10 $ 10 Estimated Shortfall $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) $ (738,000) Transfer from Electric $ 60,000 $ 40,000 $ $ Surcharge Revenue $ 630,000 $ 630,000 $ 720,000 $ 720,000 $ 810,000 $ 810,000 $ 900,000 $ 900,000 Surplus (Shortfall) $ (48,000) $ (68,000) $ (18,000) $ (18,000) $ 72,000 $ 72,000 $ 162,000 $ 162,000 .CA TV Rate Increased Ftevenue 15% increase with 10% fewer customers $ 50,475 $ 50,475 None None OR 25% increase with 20% fewer customers $ 70,194 $ 70,194 None None FY 2006-07 CATV Rate Increase Net Impact $ 7 $ 7 $ 8 $ 8 $ 9 $ 9 $ 9 $ 9 Estimated Shortfall $ (900,000) $ (900,000) $ (900,000) $ (900,000) $ (900,000) $ (900,000) $ (900,000) $ (900,000) Transfer from Electric Surcharge Revenue $ 840,000 $ 840,000 $ 960,000 $ 960,000 $ 1,080,000 $ 1,080,000 $ 1,200,000 $ 1,200,000 Surplus (Shortfall) $ (60,000) $ (60,000) $ 60,000 $ 60,000 $ 180,000 $ 180,000 $ 300,000 $ 300,000 CATV Rate Increase Net Impact 15% increase with 10% fewer customers $ 50,676 $ 50,676 $ 50,676 $ 50,676 5% increase no change in customers $ 24,710 $ 24,710 $ 24,710 $ 24,710 CJ) c:: 3 3 0> -< Q. ::0 0> m 0> ::J a.. 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Ut~ Ci ~ o -s o. ::J ~ )> " z :a E>> - (1) en c ri (") )>::T:::;: en~'< o c.c 0 -(1)- (CO)> ~-c ~ o=m- <.n 0 :::J :::J a. (") o 3 -c E>> ... C;;' o :::J en RESOLUTION NO. 2005- A RESOLUTION ESTABLISHING CABLE TELEVISION AND INTERNET RATES FOR THE ASHLAND FIBER NETWORK, READOPTING ALL OTHER RATES WITHOUT CHANGE & REPEALING RESOLUTION NO 2004-40 THE CITY OF ASHLAND RESOLVES AS FOllOWS: SECTION 1. The Attached rate schedule is adopted as the rates and fees for AFN Internet and AFN Cable Television provided by the City of Ashland Information Technology department, Ashland Fiber Network Division. These rates are effective with the Cycle 8 Billing in , 200_ SECTION 2. Installation charges, equipment rental, bulk rates, and other charges may be set administratively. To the extent practicable, such fees shall be set to n3cover, over a fiscally prudent period, the incremental cost of providing such service by taking into account all costs actually incurred. SECTION 3. Nothing in Section 1 or Section 2 shall preclude AFN staff temporarily reducing or waiving rates or charges in conjunction with promotional campai~~ns, 2) establishing different and nondiscriminatory rates and charges for commercial customers, as allowed by federal law and regulations, or 3) establishing different and nondiscriminatory rates and charges for AFN high speed data and wholesale high speed data commercial customers, as allowed by federal law and regulations. SECTION 4. Resolution 2004-40 is repealed. SECTION 5. This resolution takes effect upon signing by the Mayor. This resolution was read by title only in accordance with Ashland Municipal Code 92.04.090 duly PASSED and ADOPTED this __ day of , 2005. Barbara Christensen, City Recorder SIGNED and APPROVED this _ day of ,2005. John W. Morrison, Mayor RESOLUTION NO. 05- A RESOLUTION ADDING A SURCHARGE TO ELECTRIC UTILITY RATES FOR THE PURPOSE OF SUBSIDIZING ASHLAND FIBEI~ NETWORK Recitals: A. The City of Ashland operates Ashland Electric Utility to provide electricity to customers within the City limits of Ashland. B. The City of Ashland also operates Ashland Fiber Network (AFN) which uses a fiber optic backbone to provide cable television and internet services to customers within the City of Ashland. C. The Ashland Electric Utility utilizes the AFN fiber optic backbone to transmit data important to the operation of the electric utility and therefore finds it beneficial to subsidize the operation of AFN. D. The City finds it beneficial to establish a surcharge on electric utility customer rates for the purpose of subsidizing AFN. THE CITY OF ASHLAND RESOLVES AS FOllOWS: SECTION 1. The City of Ashland adopts a $ surcharge on billings for electric usage to provide a subsidy to Ashland Fiber Network, said surcharge to begin with Cycle 1 billings prepared on or after October 1, 2005. SECTION 2. The surcharge revenue is not subject to the Electric Utility Tax or included in the franchise fee calculation for General Fund Revenues. SECTION 3. This resolution takes effect upon signing by the Mayor. This resolution was read by title only in accordance with Ashland Municipal Code ~2.04.090 duly PASSED and ADOPTED this ___ day of , 2005. Barbara Christensen, City Recorder SIGNED and APPROVED this _ day of ,2005. John W. Morrison, Mayor 1- Resolution - AFN Surcharge on Electric Accounts 2005-9-6G:\legal\PAUL\FORMS\resolution form.wpd CITY OF ASHLAND Council Communication A vista Corporation Gas Franchise Renewal Meeting Date: SePtemb~rfi Department: Legal @ Contributing Departments: I Apprpval: Gino Grimaldi <' Primary Staff Contact: Michael Frane1l488-5350 franellm@ashland.or.us Secondary Staff Contact: Estimated Time: 10 minutes Statement: The A vista Corporation natural gas franchise expired this year. The attached franchise with A vista comprehensively addresses the tenns and conditions of their right to use the public rights of way within the city. The franchise addresses the fees to be charged, the infonnation to be provided to the City concerning their facilities, relocation responsibilities and liability responsibilities. The proposed franchise is for a ten year tenn. Under the franchise~, A vista will pay 5% of their gross revenues generated from delivery of natural gas to customers inside the City. Background: A vista provides natural gas to customers within the City of Ashland. Most of the gas lines used to deliver gas to customers are located within the public rights of way. A vista has a. franchise agreement with the City for the location of their lines and facilities within the public~ rights of way. The ten-year franchise agreement expired this year. We have negotiated a ne'w agreement with A vista covering their rights and responsibilities within the public right of way. Attached is the proposed new franchise agreement. Related City Policies The proposed franchise subjects A vista to the right of way excavation requirements found in Ashland Municipal Code Title 13, Chapter 12. Council Options: The Council can accept the franchise renewal by passing the attached ordinance on first reading. The Council could direct staff to negotiate further with A vista, providing staff specific direction on additional desired tenns. Staff Recommendation: Staff recommends the Council adopt an Ordinance Of The City Of Ashland, Oregon, Granting A Franchise To Avista Corporation For The Construction, Operation, And Maintenance Of Natural Gas Facilities Within The City Of Ashland, Oregon, on first reading by title only. 1 ri. ., Potential Motions: I move the Council adopt Ordinance No. ___, an Ordinance Of The City Of Ashland, Oregon, Granting A Franchise To Avista Corporation For The Construction, Operation, And Maintenance Of Natural Gas Facilities Within The City Of.Ashland, Oregon, on first reading by title only. Attachments: Proposed Franchise Renewal Ordinance Expired Franchise Ordinance 2 C:\DOCUME-l\st,ephens\LOCALS-l\Temp\Avista Franchise 8-2005.doc ORDINANCE NO. AN ORDINANCE OF THE CITY OF ASHLAND, OREGON, GRANTING A FRANCHISE TO AVISTA CORPORATION FOR THE CONSTRUCTION, OPERATION, AND MAINTENANCE OF NATURAL GAS FACiliTIES WITHIN THE CITY OF ASHLAND, OREGON THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: '" SECTION 1. Subject to the terms and conditions hereof, City grants to Grantee, its successors and assigns, for a period of 1 0 years from the 18th day of March, 2005, the right, privilege, and franchise to construct, maintain, operate, use, repair and/or replace a system of conduits, mains, and pipelines, together with the appurtenances thereto, in 'i;:;-I'4JL~_~;i~,:~_' the streets, alleys-;- avenues, and thoroughfares of the City of AshlandrC€)ur:tt}(~of Jackson, State of Oregon, for the purpose of supplying, transmitting, distributing, and selling artificial, natural, or mixed gas to any and all persons, firms and corporations within the said city and beyond the corporate limits thereof for light, heat, pO'Ner, or for any other lawful purpose. SECTION 2. This franchise is granted and the continuance hereof is contin~~ent upon and subject to the following conditions: a) All installations of pipes, mains, and other conduits shall be underground and in accordance with the city's standards and specifications for public works as they now exist or may be hereinafter amended, and at such locations and depth (not less than eighteen inches (18") below the established grade line, except with the consent of the city) as shall not interfere with the use of such streets, alleys, avenues~ or thoroughfares by the city or others for the maintenance, use, and repair of sewers, water mains, pipes, conduits, electrical circuits or other installations then in place, and shall be so laid as todO'~t1o injury to the proper use of such streets, alleys, avenues, and thoroughfares, nor to private property adjacent thereto, and shall be maintained in a good and worknlanlike manner as may now or hereafter be provided by the laws of the State of Oregon and ordinances of the City of Ashland and lawful regulations issued pursuant thereto, respectively. The grantee shall recognize and comply with the city's excavation ordinance, in Ashland Municipal Code Title 13, Chapter 12, as it currently exists or as it may hereinafter be amended by the City of Ashland. b) The grantee shall file with the office of the City Administrator an accurate plat on all portions of its distribution system that are located on the streets and alleys of the City of Ashland, and shall keep and maintain said plat in a current condition, in order that at all times the City of Ashland shall be fully advised as to the location of all of the Grantee's installations on said streets or alleys. Gas Franchise Agreement C:\DOCUME-1 \stephens\LOCALS-1 \ T emp\A vista Franchise 2005(2).doc Page - 1 c) The grantee shall promptly upon laying, replacing, or repairing said pipes, mains, and other conduits, or any part thereof, at its own cost and expense place said streets, alleys, avenues, and thoroughfares, or so much thereof as have been damaged thereby, in as good order and - condition as they were before being disturbed or excavated for the purpose of laying, placing, or repairing said pipes, mains, and other conduits and such repair shall be in accordance with city specifications and in accord with Title 13, Chapter 12 of the Ashland Municipal Code. The grantee shall assume all liability for damages to persons or property which may arise from the construction, repair, or operation of said pipes, mains, conduits, or appurtenances and from the excavation of any street, alley, avenue, or thoroughfare and the exercise of the privilege hereby granted and shall at all times save the City of Ashland harmless from any and all liability which may arise or be incurred therefrom, occasioned or arising out of the exercise of the privileges hereby granted to the grantee. d) Grante-e-shall perform-all construction, installation, repair or relocation of lines and appurtenances along or under the roads, rights of way or properties subject to this Franchise in such a manner as not to interfere with the construction and maintenance of other utilities, public or private, drains, drainage ditches and structures, irrigation ditches and structures located therein, nor with the grading or improvement of such roads, rights of way or other public property subject to this Franchise. e) The grantee, as consideration for the privileges hereby granted, shall within sixty (60) days of the close of each quarter during each year during the term hereof, pay to the City of Ashland a franchise tax or toll equal to five percent (50/0) of the gross receipts of the grantee from the sale of gas to users thereof within the City of Ashland during each of the franchise quarters of each year throughout the term hereof. Further provided, that in the event the Oregon Public Utilities Commission permits an increase in the gross receipts, then grantee agrees, commencing with the next succeeding quarterly payment, to pay to the City of Ashland a franchise tax or toll at the rate of the maximum percentage permitted by the OregQn;)~,i' ' Public Utilities Commission of the gross receipts of the grantee as set forth herein. SECTION ~~. The grantee shall keep books and records of its financial affairs for the operation of its business in the city and said books shall cover only such business. The city shall have the right to inspect these books and records, at reasonable times and places, with respect to all matters covered by this ordinance. SECTION 4. The grantee self insurers '-against liability. The grantee agrees to maintain insurance n~serves throughout the term of this franchise, insuring the grantee against all damages in the minimum amount of (a) $250,000 for property damage in anyone . accident; (b) $500,000 for bodily injury or death to anyone person, and (c) $1,000,000 for bodily in.jury or death resulting from anyone accident, or in such amounts as provided for City liability in the Oregon Tort Claims Act, ORS 30.265 et seq., as it exists Gas Franchis<<3 Agreement C:\DOCUME -1 \stephens\LOCALS-1 \ T emp\A vista Franchise 2005(2).doc Page - 2 - -:-. ~.__,...r_ ___ . <--, ,,-Y!l-j;:,' {'. today or hereinafter is amended, whichever is greater. The grantee agrees to indemnify and hold the City harmless against any liability or cost arising out of or in connection with actions by the Grantee, its officers, employees, agents, contractors and/or subcontractors. In the event grantee's insurance reserves, for any reason, drop below the minimums to cover potential liabilities as set forth in this paragraph Grantee shall immediately notify City of the reserve deficiency and shall take necessary steps to bring the insurance reserves back up to minimum required amounts. During any period of insurance reserve deficiency, Grantee shall not perform any work within the City of Ashland until such deficiency shall have been corrected. SEC"TION 5. The grantee shall promptly reimburse the City for any damage to city property by reason of the installation, maintenance, or operation of said business within the corporate limits of the City of Ashland. SECTION 6. Grantor shall notify Grantee of any intended or expected requirement or request to relocateG"rantee's facilities as early as practicable;'uutnotdater1.than 120 days prior to any such relocation when the requirement or request could have been foreseen by that date. Grantor shall endeavor to cause any such relocation to be consistent with any applicable long term development plan or projection of Glrantor or approved by Grantor. If, at any time, the Grantor shall cause or require the alteration or the improvement (the "Improvement") of any road, highway or right-of-way wherein Grantee maintains facilities subject to this franchise by grading or regarding, planking or paving the same, changing the grade, altering, changing, repairing or relocating the same or by constructing drainage or sanitary sewer facilities, the Grantee upon written notice from Grantor shall, with all convenient speed, change the location or readjust the elevation of its system and other facilities so that the same shall not interfere~ with such work and so that such equipment and facilities shall conform to such new grades or routes as may be established. The relocation of Grantee's facilities shall be at the sole expense of Grantee unless: (i) the Improvement was not paid for solely by public funds, in which case the Grantor agrees to make reasonable efforts to facilitate an agreement between the adjoining property owners or developers to pay for the costs of relocation; or (ii) Grantor has failed to provide the-;r-e~uired .advance notice, in which case, except in the event of an emergency or in the event such relocation was caused by an unforeseen event, any and all excess costs caused by the failure to provide such notice shall be paid by Grantor. SECTION 7. Grantee shall within 30 days after the passage of this ordinanGe file with the City Council a written acceptance of the terms and conditions of this franchise. Said franchise and privilege shall be granted upon each of the provisions and conditions herein contained and in consideration of the promise of the grantee to keep and , observe each of said provisions and conditions herein expressed to be kept and:-:~': observed by it and in acceptance of said franchise and privilege the grantee does agree to keep and observe each of said conditions and provisions. SECTION 8. In the event that Grantor charges or imposes upon Grantee any fees, taxes or other costs in connection with the issuance, maintenance, existence, Gas Franchise Agreement C:\DOCUME-1\stephens\LOCALS-1\Temp\Avista Franchise 2005(2).doc Page - 3 continuation, or use of the franchise, or the public rights-of-way governed hereby, granted pursuant to this document, then Grantor shall impose equivalent charges, fees, taxes or costs upon any other franchisee in the same business or competing with Grantee. SECTION 91. If Grantee shall willfully violate or fail to comply with any of the provisions of this FranGhise through willful and unreasonable neglect or willful and unreasonable failure to heed or comply with any notice given Grantee under the provisions of this grant, then Grantee shall forfeit all rights conferred hereunder and this Franchise may be revoked or annulled by the Grantor; provided, however, the Grantor shall give ninety (90)Jiays' written notice of its intention to revoke or annul the Franchise during which period Grantee shall have the opportunity to remedy any breach. SECTION 10. Any facilities and appurtenances in streets, alleys, rights of way and public plac€!s, incidental to the franchise system, that have been, or are at any future time acquirE~d, leased, or utilized in'any manner by Grantee are thereupon to be deemed authorized by and shall be subject to all provisions of this Franchise. SECTION 11. Any subsequent additions or modifications of the boundaries of the Grantor, whether by annexation, consolidation or otherwise, shall be subject to the provisions of this Franchise as to all such areas. Grantor shall notify Grantee of the precise scolPe of any change of boundaries not less than thirty (30) days prior to such change becoming effective. SECTION 12. This Franchise shall update and supersede all prior gas franchises for the above stated purpose heretofore granted to A vista Corporation or its predecessors, by Grantor, or its predecessors, and shall affirm, authorize and ratify all prior installations authorized by permits or other action not previously covered by this Franchise. SECTION 13. The Franchise is granted pursuant Ashland Municipal Code and to the laws of the State of Oregon relating to the granting of such rights and privileges by T; Grantor. If any article, section, sentence, clause or phrase of this Franchise is for any reason held illegal, invalid, or unconstitutional, such invalidity shall not affect the validity of the Franchise or any of the remaining portions. The invalidity of any portion of this Franchise shall not abate, reduce, or otherwise affect any obligation required of Grantee. SECTION 14. The right and privilege hereby granted shall become and be effective as of March 18, 2005, and upon written acceptance of the terms and conditions herein contained by the grantee within said period-of forty (40) days after the passage of this ordinance. Gas FranchisE~ Agreement C:\DOCUME-1\stephens\LOCALS-1\Temp\Avista Franchise 2005(2).doc Page - 4 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 , 2005, ,2005. and duly PASSED and ADOPTED this day of Barbara Christensen, City Recorder SIGNED and APPROVED this day of , ,2005. John W. Morrison, Mayor Reviewed as to form: Michael W. Franell, City Attorney Gas Franchise Agreement C:\DOCUME-1\stephens\LOCALS-1\Temp\Avista Franchise 2005(2).doc Page - 5 . ---... ,o/-( 1'1"~': ,.,- I f -.J-O \,/ / JJ-'v ORDINANCE NO. 2363 AN ORDINANCE GRANTING TO CP NATIONAL, A CORPORATION, ITS SUCCESSORS AND ASSIGNS, THE FRANCHISE AND PRIVILEGE TO CONSTRUCT, MAINTAIN, OPERATE, USE, REPAIR, AND REPLACE A_ SYSTEM OF CONDUITS, MAINS, AND PIPELINES, IN THE STREETS, ALLEYS, AVENUES AND THOROUGHFARES. IN THE CITY OF ASHLAND, COUNTY OF JACKSON, STATE OF OREGON, FO~ THE PURPOSE OF SUPPLYING GAS FOR LIGHT, HEAT, PO\olER, AND OTHER LA'~FUL . PURPOSES TO THE INHABITANTS THEREOF. ~ . THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLO\-lS: ," SECTION 1. That subject. to the terms and conditions hereof, there is hereby granted, effective as of ~~~::!~.~+~.~.?, to CP National, a California corporation duly author1z~d to do business in the State of Oregon, its ,successors and assigns, (her~inaftE~r called the grantee) I for the period of 20 ve~ from said 18th day of.. Mar~~, 1985, the. right, privilege, an franchise to construct, maintain, operate, use, repair and/or replace. a system of conduits, mains; and pipelines, together with the. appurtenances thereto, in the streets,. alleys, avenues, and thoroughfares of the City of Ashland, County of Jackson, State of Oregon, for the purpose of supplying, transmitting, distributing, and selling artificial~ natural, or mixed gas to any and all persons, firms, and corpora- tions within the said city and beyond the corporate limits thereof for light, heat, power, or for any other lawful purpose. SECTION 2. That the granting and continuance for the. term above set forth of the rights , privileges, and franchise here:by granted is and shall be subject to the following conditions: (a) All installations of pipes, mains, and other conduits shall be underground and in accordance with the city's standards and specifications for public works as they now exist or may be hereinafter amended, and at such locations and depth (not less than 18 inches below the established grade line, except with the consent of the city) as shall not interfere with the use of such streets, alleys, avenues, or thoroughfares by the city or others for the maintenance, use, and repair of sewers, water Inains, pipes, conduits, electrical circuits or other installations then in place, and shall be so laid as to do no injury to the pr.oper llse of such streets~ alleys, avenues, and thoroughfares, nor to private property adjacent thereto, and shall be maintained in a good and workmanlike manner as may now or hereafter be provided by the laws of the State of Oregon and ordinances of the, City of Ashland and lawful regulations issued pursuant thereto, respectively. The grantee shall recognize . and comply with the city's excavation ordinance, which limits excava- tion in newly paved streets, and is more fully set forth in Chapter 13.12 of the Ashland Municipal Code, or as it may hereinafter he amended by the City of Ashland. Ordinance No. 2363 -1- ~ (b) The 5.antee shall file with the L~fice of the City Administrator an accurate plat on all portions of its distri- bution system that are located on the streets and alleys of the City of Ashland, and shall keep and maintain said plat in a cur- rent condition, in order that .at all times the City of Ashland shall be fully advised as to the location of all of the grantee's installations on said streets or alleys. (c) The grantee shall promptly upon laying, replacing, or repairing said pipes, mains, and other conduits, or any part thereof, at its own cost and expense place said streets, alleys, avenues, and thoroughfares, or so much thereof as have been damaged thereby, in as good order and condition as they were bef6re being disturbed or excavated for the purpose of laying, placing, or repair- ing said pipes, mains, and other conduits and such repair shall be in accordance with city specifications and in accord with Chapter 13.12 of the Ashland Municipal Code. The grantee shall assume all liabil- ity for damages to persons or property which may arise from the construction, repair, or operation of said pipes~ mains, cond~ts. or appurtenances and from the excavation of ,any street; alley, avenue, or thoroughfare and the exercise of the privilege hereby granted and s~al~ ~t all times save the -Cft;: of Ashlal!~hi!.r;ml~~ from any and all l1ab1l1ty which may arise or be incurred therefrom, occasioned or arising out of the exercise of the privileges hereby granted to the granteE~ . (d) The grantee, as consideration for the priveleges hereby granted, shall ~!thi~~~~,oK.t;;9~_~C1,~~""~-JW...~r during each year during the tebIf'fiereoE, pay to the City of Ashland a fr~nchise tax or toll equal to three percent ~!>"9ftI:\~rg.~~ . !e,ce~ of the grantee _from the sale of gas to users~fiereorw~th~n ~y of Ashland during each of the franchise quarters of each year throughout the term hereof. Further provided, that in the event i*~~fic~i~~Ea~'~lliiiI t!~;~:~e~i~~~f;: 31~~~'e~~~~~~~1~fii- of the gross receipts, then the grantee agrees, commencing with the next succeeding quarterly payment, to pay to the City of Ashland a . . franchise tax or toll at the rate of the maximum percentage permitte4 by the Oregon Public Utilities Commission'oF'the gross receipts of : .the grantee as set forth herein. SECTION 3. To'~he extent permitted by State Law, if the City levies a util:i:.!;.Y..J!~.E}.L);B.f:C or excise tax on the users of natural gas, then the grantee agrees to collect and remit said tax to the City of Ash- land at the same time as franchise payments are due to the City, and the grantee shall be permitted to retain five percent (5%) of the total tax collected to defray the cost of collection. Ordinance No. 2363 -2- ION 4. Th~.grantee shall keep books p~~ records of its fin- anCla a ai~ r the operation of its b ess in the city and said books sha~L cover only such business. fhe city shall have the right to inspect these books and records, at reasonable times and places with respect to all matters covered by this ordinance. SECTION 5. The grantee shall maintain li.~1?~~~_~y insuran.ce through-' out the term of this franchise, insuring the City and the grantee against all damages in the minimum amount of (a) $250,000 for property damage in anyone accident; (b) $500,000 for bodily injury or death to any one person, and (c) $1, 000 , 000 for bodily injury . or death resulting from anyone accident. The City shall be named as an additional insured and require a "notice of cancellation" to be sent to the City at least ten (10) days prior to any such cancelT lation. Grantee shall furnish proof of insurance as required hereip to the Director of Finance by filing a certificate of insurance. 7. SECTION 6. The grantee shall promptly reimburse the City for any damage to city property by reason of the installation, 'maintenance, or operation of said business within the corporate limits of the City of Ashland. SECTION 7. That said grantee shall within 30 days after the passage of this ordinance file with 'the city council a writte~ acceptance of the terms and conditions of this franchise. Said franchise and privilege shall be granted upon. each of the provisions and condition herein contained and in consideration of the promise of the grantee to keep and observe ~ach of said provisions and conditions herein expressed to be kept and observed by it and in acceptance of said franchise and privilege the grantee does agree to keep and observe each of said conditions and provisions. . SECTION 8. The right and privilege hereby granted shall become and be effective as of March 18, 1985, and upon written acceptance of the terms .and conditions herein contained by the grantee within said period of 40 days after the passage of this ordinance, The foregoing ordinance was first r~ad by title only in acco~d- ance '-lith Article X, Section 2(C) of the City Charter onthe....G_..~i day ..~f &/'--!<J~,~.d , 1985, and duly PASSED and ADOPTED this. c2~ Z~ day of ~~~tr.~d ... , 1985, I · ATTEST: / ----... / ( , . . .;/.- . . , ."" . __ ' I L / . 77 ~ f,!". . ~ ~ /~ !" '/""' i-: ~, -.(...-' Nan E, Frank in City Recorder - Treasurer .51,.3,,1/1 day offl-<t<j~J . 1985. ~j~ Don La\vs - 01<.1 i rocTson ^cting Mayor SIGNED and APPROVED this Ordinance No., 23A3 -3- .Y7v -4 ~ /t/, - ~c. ('1- /t....:i ., 1(,. .... il' ........~;' C-L- -;iP (2tLct ;~ 3 ~ 3 '&;v.:;tr/1 < ~ ~~TIDNAL 229 W. MAIN STREiET jP.O..BOX 1709 jMEDFORD. OR 97501 (503) 772-5281 \ August 28, 1985 Ashland City Council City of Ashland City Hall Ashland, Oregon 97520 This is to indicate formally CP National's acceptance of the terms and conditions of Ordinance No. 2363 passed by the Ashland City Council on August 20, 1985. q;;;;fZ:' I J.P. Paris I' Vice-President, p' Northwest Region JPP:bgr ~355 W1k....OW \Vo\y:,CONCORD CA 9':: .'.'\ ~C/ v:.:;/ \ ~~ y~,\% O rn@rnD\Yl~ - r ---~ ! " ,1 J APR I 0 1997! U ! [~ 0~I p , \~~.~~~ ~.,t:" '~'.,": .',\ ~~ .~. '--;r"- C--f, I ~, ORDINANCE NO. ,;(1-/~(} . AN ORDINANCE OF THE CITY OF ASHLAND IMPOSING A TWO PERCENT UTILITY USER TAX ON THE USERS OF NATURAL GAS PURSUANT TO SECTION 3 OF FRANCHISE ORDINANCE NO. 2363. WHEREAS, section 3 of Franchise Ordinance No. 2363 permits the city of Ashland to levy a utility user tax on the users of natural gas; and WHEREAS, the existing franchise tax of 3% and the proposed utility users tax of 2% will bring the total tax to 5%, the same total rate charged to other city franchises. .. NOW THEREFORE, THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS: SECTION 1. Pursuant to section 3 of Franchise Ordinance No. 2363, a, utility users tax. in th~ amount::of;two-"(2)_,:,percent is hereby imposed on the users of natural gas within the city of Ashland. 'SECTION .2. The tax hereby imposed shall be billed, collected and . remitted. to the city'in the same mant:1er as the.current franchise tax, ex~ept that C.P. National shall be permitted to retain five (5)" percent of tpe total utility user tax collected to defray the cost of. collection. SECTION 3. The tax imposed by this ordinance may be separately stated on the customer's bill as "utility User Tax", or similar 'wording approved by the City. ' SECTION 4. The effective date of this ordinance shall be for gas bills render~d ~n'6r after June 15, 1990. The foregoing Ordinance was first READ on the .li1L day of 1990, and duly 'P~SSED.. and ADOPTED this ~:)"~/~ay of "- /J;4~1 < 07&1. ; 1990. , C"'] . : ,~.,-~/ , ~.': " ../;;f. .~~ '-/,1.:/z /~ A- -e -e.~ (,/' Nan E. Franklin ' City Recorder .SIGNED and APPROVED this II ""7~ /' ,Y -day of ))i" J J e'''-;1'"/ , , 1990. . . ~~;h~ ,Catherine M. Golden Mayor 7'7 :L ,~/135 "'" . . . '-I. ASHLAND Council Communication Mt. Ashland Restorati9r:t Resolution Meeting Date: September 6,2005 Department: Legal Contributing Departments: Approval: Primary Staff Contact: Michael W. Franell E-mail: franellm@ashland.or.us Secondary Staff Contact: E-mail: Estimated Time: 45 minutes Statement: The City of Ashland stepped in back in the 1990s to acquire Mt. Ashland Ski area when it appeared it was about to close. ~':-:"T""7'iTtm:City chose to~lease the ski area to the Mt. Ashland Association (MM), a_private nonprofit corporatioQ,Joioper,ate-as.~,:;: ski area. The lease agreement sets forth the various rights and responsibilities between the City and MM. The City holds the Special Use Permit from the U.S. Forest Service which permits operation of the ski area. MM, under the terms of the lease, sought to modify the City's permit to allow construction of an expansion of the ski area. The Forest Service granted the modification of the permit. As a condition of the Special Use Permit, both as originally issued and as modified, there is a requirement to remove the equipment and restore the ski area upon termination of the permit or terminati()n of the operation of the ski area. The costs for such removal and restoration are uncertain and remain a contingent liability. ....'..'-,..... ..a.'. Under the lease agreement with MM, MM assumes responsibility for compliance with the permit terms and conditions. Concern has been expressed that should MAA not be in the position to fund restoration in the event operation of the ski area is no longer a viable venture, the City will face that liability. Concern has also been expressed that the City should be actively involved in protecting the watershed for the City in relation to activities in the s'ki area, specifically, in relation to the ski area expansion. Background: Concerned Councilors and concerned citizens each submitted proposed resolutions to the City Council to address the concerns relating to the Mount Ashland Ski area. Copies of the proposals are attaebed-hereto. The Council voted to have legalloak at the lease agreement between MAA and the City and to come back with suggestions relating to the concerns expressed. Since that time, legal has reviewed the lease and met with representatives from MM, some concerned citizens and concerned Councilors in relation to the issues. Review of the lease indicated that much of the content of the proposed resolutions could not be made binding upon MM. Therefore, Paul Copeland volunteered to take the proposed resolution that he had submitted and to rework the resolution with the discussion points in mind. His reworked resolution is attached. Legal initially reviewed the proposed resolutions based upon legal impediments within the proposed Resolution. The primary legal impediments are: 1) The fact that we have an existing lease agreement with Mount Ashland Association that grants them broad, long-term rights in exchange for their operation of the facilities and their compliance with the Special Use Permit terms and conditions; aod 2) The requirements for environmental protections, including watershed protection and post permit restoration are under the control of the U.S. Forest Service. The redrafted resolutions have addressed most of the legal issues. Which leaves budgetary and policy issues that need to be discussed. Normally, legal would not handle these issues, however, due to the City Administrator's close connections ~i. ., with MAA (His brother-in-law is the current president of the MAA, and Gino is a volunteer member of the Mt. Ashland Ski PatroL), Gino has requested legal to address the budgetary and policy issues. The revised proposed resolution submitted by Paul Copeland has budget implications in the following areas: 1) The expert team to establish restoration costs would most likely have a cost the City would be bound to cover should that resolution be adopted; 2) The independent accounting firm to review the business proposal would have a cost to the City; 3) The QNQC team, to the extent MAA will not cover the costs, will have a budgetary implication. The policy implications that seem to be considered are: 1) Protection of the City's watershed; and 2) Provision to cover the contingent liability for restoration responsibilities; 3) .. Whether the City wants to go beyond restoration and also include rehabilitation. The difficulty with Mr. Copeland's proposed resolution is that it creates binding financial obligations upon the City with no guarantee that anything constructive will come from the costs spent. While the policy considerations are important, to a large extent, the City's hands are tied. The existing lease agreement sets forth the responsibilities and rights of MAA. Under the lease, the City does not have any aothoritytoreYiewand/ormake any adjustments toMAA'sbusiness plan. The best that we can hope for in that area is that MAA will be cooperative with the City in an effort to broaden the chance for success. MAA has already agreed to use a QNQC approach to the construction of the Mt. Ashland expansion, but they have not necessarily agreed to the composition of the team or to their response to any QNQC recommendations. Pursuant to the terms of the lease, MAA is required to comply with the terms and conditions of the permit. However, the Forest Service declined to require QNQC, based upon their statement that they are ultimately responsible for monitoring and compliance with good forest practices. Therefore, MAA cannot be bound into any particular QNQC configuration or result. Restoration in the event of permit termination or forfeiture is a requirement of the SUP. Therefore, arguably, it is a responsibility that MAA has assumed under the lease. How MAA goes about fulfilling that responsibility is not set forth in the lease and is therefore subject to interpretation and negotiation. Establishing at least some base as to what restoration would require today may be prudent. The resolution seems to go beyond the permit requirements for restoration and to also include a commitment to rehabilitation. Planning for the contingent liability for restoration is prudent. However, it must be recognized that actual restoration requirements will not be determined until and if the permit is terminated. Therefore, any estimates established today are subject to change. Adding rehabilitation commitments most likely will add additional cost burdens which go beyond the requirements of the permit and therefore would, most likely, fall to the City to cover. The revised resolution suggested by legal tries to address the policy considerations without necessarily committing the City to immediate budgetary implications. The difficulty with legal's proposed resolution is that it merely sets forth the City's policy considerations withourfmplementing any binding obligations on the City to address the policy stances. However, it does at least indicate an intent to work towards solutions in two of the three policy areas set forth in Mr. Copeland's resolution. Related City Policies: The City chose to acquire Mt. Ashland and to lease it to an independent private nonprofit to take more of a hands off approach in its operation. The City intentionally tried to pass off responsibility for permit compliance, but recognized the limited resource pool of MM and therefore, also limited the initial and continuing financial commitments of MM in the operation of the ski area. The Council has adopted an active role in monitoring and protecting its watershed area. Council Options: ~~, The Council cou1ld adopt the proposed resolution from Paul Copeland, indicating a solid policy stance and committing City resources to that policy stance. The Council could adopt the proposed resolution from legal, still indicating a policy stance, but not necessarily committing City resources to that policy stance. The Council could decide not to pass a resolution at this time, but to rather continue negotiations and cooperation with MAA towards an end that hopefully will accomplish the majority of the Council policy desires, without substantial expenditure of City resources. The Council could not take any strong policy stances in this area at this time. Staff Recommendation: Staff recommends the Council not adopt a resolution at this time, but give staff policy direction on the considerations that are important to the Council. Direct staff to do its best to address the policy directions in staffs negotiation with MAA. Potential Motions: I move the Council direct staff to do its best to address the following policy areas in its negotiations with MAA: 1) ? 2) ? I move the Council adopt A Resolution of the City of Ashland Identifying City Policy Relating to the City's Obligations as the Permit Holder for the Mt. Ashland Ski Area. I move the Council adopt A Resolution Protecting the City Of Ashland From Mt. Ashland Ski Area Business And Environmental Risks. Attachments: Packet of initially proposed resolutions -- Attachment A A Resolution Protecting the City Of Ashland From Mt. Ashland Ski Area Business..-Amd Environmental Risks. - Attachment B A Resolution of the City of Ashland Identifying City Policy Relating to the City's Obligations as the Permit Holder for the Mt. Ashland Ski Area. - Attachment C r~' REQUEST BY COUNCILORS CATE HARTZELL AND JACK HARDESTY REGARDING PROPOSED RESOLUTION FOR FOLLOW-UP TO MOUNT ASHLAND EXPANSION ACTIVITIES and attachments ATTACHMENT A A RESOLUTION REGARDING CITY INTERES'f IN THE PROPOSEDMT. ASHLAND SKI AREA EXPANSION The City of Ashland resolves as follows: Section 1. Rehabilitation/Restoration A. The City's criteria for rehabilitation/restoration of the Mt. Ashland Ski Area includes but is not limited to the following: Stabilize and reduce the size of parking lots, including planting grass/shrubs, building an asphalt berm, stabilizing slopes, rip and remove asphalt except for roadway. Restore roads by providing adequate draining, minimize erosion and make site more visually acceptable. Some roads to be regraded; some to be ripped. Buildings. If removed - Dismantle and bum, remove foundation to at least one foot below grade. Cover with 3 feet of soil. Haul all non bumables off site. Utilities: All above ground utilities must be removed. Sewage system would also be removed. Lifts. Total removal- towers to be removed by" helicopter. Sonnet, Comer and possibly others also need concrete foundations totally removed. Bare areas. Must be ripped, mulched, fertilized and planted with grasses and shrubs. Reestablish drainage in vicinity of Arid. Runs. Objective is to improve drainage, minimize erosion and restore scenery of the area. Plant trees in certain areas; stabilize erosion gullies. B. The City Council to establish an independent team of experts to estimate costs for the rehabilitation/restoration work as required by the City, as above. This value to include rehabilitation/restoration of the Ski Area, including the expanded area. The City Council shall establish a cost for rehabilitation/restoration based on this estimate. C. The Permit and Lease to be modified to reflect the rehabilitation/restoration criteria, and new rehabilitation/restoration cost. 1 Section 2. Business Plan A. The Mt. Ashland Association will provide the City with a detailed Business Plan showing capital expenditure and operating projections for the expansion, including: a) Projected construction expenditures for each year of the expansion build out. b) Projected sources of funds for fInancing the expansion for each year of the build out. c) Projected operating revenues and expenses for at least a 10 year time frame during and after the expansion build out based on historic variability of visitation. d) Sources of funding for the restoration/rehabilitation reserves. B. City to contract with an independent CPA to verify thoroughness of Business Plan and the reliability of the projections. C. City Council to approve Business Plan. Section 3. Quality Assurance/Quality Control Team A) Establish a Quality Assurance/Quality Control team to oversee construction, construction methods and protection of the City's watershed once expansion begins as follows: 1) The QAlQC team shall be an independent third party team of 2-4 persons highly specialized in the soils and hydrology. The QAlQC team shall be selected by a community team of 6-9 persons, appointed by the Council. The Team shall be paid for by MAA and shall report directly to the City and Forest Service and give direction to MAA and its contractor. The Team shall be hired prior to construction design completion so that the erosion control, mitigation, restoration/remediation activities can be defmed through a specific erosion and sediment control strategy prior to construction bidding. Once a contractor is selected, that contractor must understand the authority of the QA/QC Team and be responsive to its recommendations. 2) The QAlQC Team shall monitor: a) Effects of expansion on soils. The Team shall analyze each specifIc area of construction impact to define the mitigation/restoration activities associated with each soils type. b) Effects of erosion: The Team shall provide specifIc BMP (best management practices) to significantly reduce or control the negative 2 impacts due to erosion. This set of BMPs must be specific to the alternative selected and be fully defined for the soils types. c) Over-snow timber removal: It is recommended that this be the primary removal method and that if work cannot be completed over snow, then that proposal be submitted to the QA/QC team for advice and approval. d) Construction methods to control erosion and. sedimentation: Just as standard erosion control strategies are in place, specific BMPs to control sedimentation loading should be included in the erosion and sediment control strategy developed by the QA/QC Team. e) During construction and after construction completion, the QA/QC Team shall defme a monitoring strategy to ensure post-construction BMPs are in place to minimize disruption to restoration activities due to storms and snow melt. f) To meet state and federal requirements, a Stormwater NPDES permit shall be provided prior to the begin of operations. The permit will necessitate an Erosion Control Plan and a Storm water Management Plan prior to construction. The QA/QC Team shall develop these plans and have them approved by the City Council prior to approval of construction. g) The QA/QC team shall evaluate and require methods to reduce or eliminate petroleum contamination. h) The QA/QC Team shall, prior to the beginning of construction, evaluate whether any work should be allowed in the mapped wetlands area. If there is any impact (direct or otherwise), mitigation measures shall be defmed and directed to fully restore the wetlands. i) Along with the wetlands area impact, the QA/QC Team shall make a recommendation whether work within the riparian reserve area is to be completed as an over snow operation, or during the dry season, to minimize impacts. j) The Team shall defme and recommend implementation to restore vegetation within riparian areas, if necessary. k) Any significant use of blasting is to be discouraged and shall. be referred to the QA/QC Team for its analysis and recommendation. 3 1) Lift clearing width shall be approved by the QAlQC Team. m) Erosion control methods shall include silt fencing and fabric. These are only two of the BMPs available. The QA/QC Team shall provide a detailed mitigation plan to the Team for approval, prior to the onset of construction. n) The QA/QC Team shall evaluate and make recommendations regarding areas which require seeding, mulching and re-vegetation. 3) The Forest Service and MAA shall monitor creek impacts (erosion and sediment loading primarily) at the 2060 Road at the crossing of the middle fork of the east fork of Ashland Creek. Methods of monitoring shall be submitted to the QA/QC Team for approval. Results of monitoring shall also be submitted to the QAlQC Team. 4) The MAA shall be bound by the reconunendations of the QAlQC Team. Section 4. Completion · The City requests that Mt. Ashland Association not proceed with an expansion plan activities until such time as all of the above Sections are completed to the satisfaction of the City Council. ;.~. 4 July 19,2005 City of Ashland City Council 20 E. Main St. AsWand, OR 97520 Re: Proposed Mt. Ashland Ski Area Expansion Honorable City Councilors: Over the past two years, there has been much discussion and many recommendations regarding how best to protect the City from financial liability and how best to ensure that the AsWand Creek watershed is protected from deterioration due to the proposed Mt. Ashland Ski Area (Ski Area) expansion. On many occasions, the Council and staff have made reasonable recommendations to and asked the Forest Service for information. An extensive review of past City Council meetings reveals that there are many recommendations that have not been implemented. The intent of this letter is to follow up on those recommendations so as to protect the interests of the City of Ashland relative to the proposed Mt. AsWand Ski Area expansion. We have prepared draft language of a resolution that will ensure that the lessee operator will not increase the exposure of the City for site restoration liability. It would also help to reduce the potentially tremendous impacts to the City's watershed. We believe that it is prudent for the Council to (a) specify and quantify the restoration requirements and set a new estimated cost for rehabilitation/restoration; (b) require a Business Plan from Mt. Ashland Association;and (c) require a Quality Assurance/Quality Control team to rigorously oversee Ski Area construction and protection of the watershed. it Rehabilitation/Restoration Bond Section X (A) of the Special Use Permit (SUP) between the City of Ashland and the US Forest Service requires that the ski facilities be removed in the event that the Permit- is terminated. (Attachment A) It also provides for restoration of the site. The special use permit, Section XI (E) requires a bond in the amount of $200,000 to pay for the restoration of the Ski Area. (Attachment B.) The 2004 Mt. AsWand Ski Area Expansion Record of Decision (ROD) requires that the amount of the assets be "..adjusted to account for the increase in developed area and the 1 subsequently increased need for funding for reclamation in the event of Ski Area closure." ROD, page 45-46. (Attachment C) This is a minimal estimate of the costs to rehabilitate/restore the Ski Area and will certainly not cover the actual costs. It is the City's responsibility to ensure that the MAA has adequate resources set aside to rehabilitate/restore the area to a standard acceptable to the Forest Service and the City. This will ensure protection for both the watershed and City taxpayers. Since at least 2003, there has been a great deal of discussion regarding the City's liability and the necessity to restore the Ski Area in the event of Ski Area closure. For example, on at least one occasion, the City asked the Forest Service to specify exactly what the restoration/reclamation requirements are and to quantify the costs. To our knowledge, the Forest Service has never done so. In 2003, it was recommended thattheCity give~written assurance that the MAA has sufficient assets to cover reclamation costs. Further, in 2003, staff recommended that the Lease reflect this new, minimum value and that the Minimum Liquidation Value formula be reexamined to determine whether it will provide adequate financial resources. Lastly, it was recommended, again by staff, that the pennit be revised to include specific restoration/rehabilitation requirements. The City as the SUP holder has a significant interest in ensuring that adequate financial resources are set aside to restore/rehabilitate the Ski Area. In considering the adequacy of rehabilitation/restoration money set aside by the MAA, we suggest that the Council look to the guidelines in the October 3, 1991 letter from Rogue River National Forest Supervisor Jim Gladen to (then owner of the Ski Area) Stevens Pass. The estimate for restoration/rehabilitation at that time was-nearly $1 million. (Attachment D) The requirements include: Stabilize and reduce the size of parking lots, including planting grass/shrubs, building an asphalt berm, stabilizing slopes, rip and remove asphalt except for roadway. Restore roads by providing adequate drainage, minimize erosion and make site more visually acceptable. Some roads to be regraded; some to be ripped. Buildings. If removed - Dismantle and bum, remove foundation to at least one foot below grade. Cover with 3 feet of soil. Haul all non burnables off site. Utilities: All above ground utilities must be removed. Sewage system would also be removed. Lifts. Total removal - towers to be removed by helicopter. Sonnet and Comer 2 (possibly others) also need concrete foundations totally removed. Bare areas. Must be ripped, mulched, fertilized and planted with grasses and shrubs. Reestablish drainage in vicinity of Ariel. Runs. Objective is to improve drainage, minimize erosion and restore scenery of the area. Plants trees in certain areas, stabilize erosion gullies. The question also arises regarding the value of Ski Area assets. The City owns all assets that were in existence prior to the assignment of the Lease to the Mt. Ashland Association. It is difficult, if not impossible to assess the sale value of this equipment - much of which is outdated. Also, in an era of flat Ski Area visitation growth, the question arises as to who would buy Mt. Ashland's old, outdated equipment. The City must estimate the cost of rehabilitationlrestoration- on the high end, as there is no mechanism to collect additional monies from the MAA if the estimate is too low, or if the valuation of equipment is too high. It appears that any liability over and above the amount set aside by the MAA will be the City's; therefore a high end estimate of the cost for rehabilitation/restoration would be prudent and better protect the taxpayers. Recommendations: I) Establish the City's criteria for rehabilitation/restoration of the Mt. Ashland Ski Area as stated in the October 3, 1991 letter from Rogue River National Forest Supervisor Jim Gladen to Stevens Pass. Attachment D. 2) The City Council to establish an independent team of experts to establish an estimated value for the rehabilitation/restoration work as required by the City. as above. This value to include rehabilitation/restoration of the Ski Area, including the expanded area. The City Council shall establish a rehabilitation/restoration cost based on this estimate. 3) The Pennit and Lease be modified to reflect the rehabilitation/restoration criteria and the new rehabilitation/restoration cost. * Business Plan For the City to ensure that adequate resources exist to fund a rehabilitation/restoration plan, the MAA must provide the City with a Business Plan. In 2003, Lee Tuneberg stated that a business plan could be constructed; the City left the responsibility for a plan to the MAA. To date, no business plan has been submitted. The City of Ashland, as lessor of the Ski Area, must take a keen interest in the Mt. Ashland Association's ability to finance the rehabilitation/restoration costs, the proposed Ski Area expansion and future operations. In 2003, Jeff Hanson of the MAA, stated that the alternative 2 3 expansion would cost S6 million (written estimate received from Jeff Hanson - (Attachment E); the 2004 FEIS states S5.2 million (FEIS, Appendix I, page 5); the Mt. Ashland Association has more recently predicted that it will cost up to S10 million (quoted at January 17,2005 MAA Board meeting). Recommendations: I) The Mt. Ashland Association should provide the City with a detailed Business Plan showing capital expenditure and operating projections for the expansion, including: a) Projected construction expenditures for each year of the expansion build out. b) Projected sources of funds for financing the expansion for each year of the build out. c) Projected operating revenues and expenses for at least a 10 year time frame during and after the expansion build out based on historic variability of visitation. d) Sources of funding for the restorationlrehabilitation reserves. 2) City to contract with independent CPA to verify thoroughness of the Business Plan and the accuracy of the projections. 3) Business Plan to be reviewed for adequacy and accepted by the City Council. *Quality Assurance/Quality Control Team Over the past two years, the Council has had numerous discussions regarding the establishment of a Quality Assurance/Quality Control Team (QA/QC Team) to oversee and direct construction so that the City's municipal watershed is protected to the maximum extent possible. In October 2003, the City asked the Forest Service to include a QA/QC team in the Final Environmental [mpact Statement (FEIS). The City made the request very specific. Unfortunately, the Forest Service did not respond affJIJD.atively to this request. Once the recommendations regarding the Restoration Bond and Business Plan have been accomplished and approved by the City Council, the City must establish a Quality Assurance/Quality Control Team (QA/QC Team) to ensure that construction methods are such that the watershed is protected to the maximum extent possible. Following are the comments that the City made to the Forest Service in the DEIS. . - Recommendations: 1) Establish a Quality Assurance/Quality Control team to oversee construction, construction methods and protection of the City's watershed once expansion begins as follows: 4 a) The QAJQC team shall be an independent third party team of 2-4 persons highly specialized in the soils and hydrology. The QAlQC team shall be selected by a community team of 6-9 persons, appointed by the Council. The Team shall be paid for by MAA and shall report directly to the City and Forest Service and give direction to MAA and its contractor. The Team shall be hired prior to construction design completion so that the erosion control, mitigation, restoration/remediation activities can be defined through a specific erosion and sediment control strategy prior to construction bidding. Once a contractor is selected, that contractor must understand the authority of the QAlQC Team and be responsive to its recommendations, b) The QA/QC Team shall monitor: I) Effects of expansion activities on soils. The Team shall analyze each specific area of construction impact to define the mitigation/restoration activities associated with each soils type.' 2) Effects of erosion: The Team shall provide specific BMP (best management practices) to significantly reduce or control the negative impacts due to erosion. This set of BMPs must be specific to the alternative selected and be fully defmed for the soils types. 3) Over-snow timber removal: It is recommended that this be the primary removal method and that if work cannot be completed over snow. then that proposal be submitted to the QAlQC team for advice and approval. 4) Construction methods to control erosion and sedimentation: Just as standard erosion control strategies are in place. specific BMPs to control sedimentation loading should be included in the erosion and sediment control strategy developed by the QAlQC Team. 5) During construction and after construction completioIlt t!te -QNQC Team shall define a monitoring strategy to ensure post-construction BMPs are in place to minimize disruption to restoration activities due to storms and snow melt. 6) To meet state and federal requirements, a Stormwater NPDES permit shall be provided prior to the begin of operations. The permit will necessitate an Erosion Control Plan and a Stormwater Management Plan prior to construction. The QAlQC Team shall develop these plans and have them approved by the City Council prior to approval of construction. ~ 5 7) The QNQC team shall evaluate and require methods to reduce or eliminate petroleum contamination. 8) The QNQC Team shall, prior to the begirming of construction, evaluate whether any work should be allowed in the mapped wetlands area. If there is any impact (direct or otherwise), mitigation measures shall be defmed and directed to fully restore the wetlands. 9) Along with the wetlands area impact, the QNQC Team shall make a recommendation whether work within the riparian reserve area is to be completed as an over snow operation, or during the dry season, to minimize impacts. 10) The Team shall defme and recommend implementation to restore vegetation within riparian areas, if necessary. Ill) Any significant use of blasting is to be discouraged and shall be referred to the QAlQC Team for its analysis and recommendation. L2) Lift clearing width shall be approved by the QNQC Team. 13) Erosion control methods shall include silt fencing and fabric. These are only two of the BMPs available. The QNQC Team shall provide a detailed mitigation plan to the Team for approval, prior to the onset of construction. 14) The QNQC Team shall evaluate and make recommendations regarding areas which require seeding, mulching and re-vegetation. c) The Forest Service and MAA shall monitor creek impacts (erosion and sediment loading primarily) at the 2060 Road at the crossing of the middle fork of the east fork of Ashland Creek. Methods of monitoring shall be submitted to the QNQC Team for approval. Results of monitoring shall also be submitted to theQNQC Team. d) The MAA shall be bound by the recommendations of the QNQC Team. It is prudent for the City Council to seriously consider these important issues. Taxpayer dollars are at risk because the City is the permit holder and ultimately responsible for funding restoration and rehabilitation. The issues around the Ashland Fiber Network (AFN) have acquainted the City with the potential long tenn consequences of anything but the most rigorous financial review. The City has a legitimate interest in protecting the watershed and ensuring the viability of 6 the expansion plan and should therefore adopt the proposed resolution. Thank you. Andy Bayliss Paul Copeland 7 '-I~... ,. ~, ~;' :~;. 61/2e/2865 17:47 5414827282 HEAJ;MATERS PAGE 11 S. !Ond~n&' tn. authori%ed officer may requitt th_ hold~t to furnish a bo~d or ot et security to .ecurt All 91 tny of the oblilationl i~os.d by the tlrms of the Authoti~at1on or any ap~licabll law, re,ulation, or ordl[. }onds, !et!or-ance. Wheo'bondin& is cAlled for the follvwin~ ,hAll be \,Iud: A. a further lV"rantu of the faithful perEonance of the provition, of tum! and cond.itions OF THE ItJ:STOUTION tKVUot<<ENTAL ANALYSIS IDENTIFIED l~ THE OPERATION pLAN of thil permlt, th. holder alreel to dtl1ver and ..intain a surety bon4 or other acceptable ..curity in th. 4mount of TVO HUNDRED THOUS^~D DO~tA1S ($200,OOQl. Should the sureties or the bonds dolivered under thi. pernit btcome ~n.ati.factory to the Forest Sorvice, the bolder Ih~ll, wlthln thirty {30) day&.of demand, furni.h a neV bond with surety. solvent .nd satisfactory to the lor.'t Servic.. In lieu of ,ur.ty bond, the holder may deposit into a Federal de?ository, as directed by the for.at ServicI, and ..lnttin thatein, cash in the anounes provided for ab~', or nc,otiable securlti.s of the Unitld Stat.S havin& a marklt value at time of deposit of not 'llSI than tbe dollar amount, provided above. ,......,.:, .... , I .~ r. The holder's surlty bond ,hall be rell.sed. or depositl in lieu of bond. shall be rtturn.d ~h1rt1 (30) days after certifioation by the Forost Service that priority i~st.llatio~& under the development ~lan are ccmpl~t.. aad u~cn fum1ahinc by the holder of proof aatbfactot:Y to the Fo~est Service that all clatm~ for labor and .aterial on said installation' have been paid or released an~ satisfied. The holder .,re.s thAt all mon~1~ deposited under chi, ~.rmit Ray, ~on failure on ~is oT bet part to fulfill all and sinxu1ar the requlteftlnt' herein ,et forth or Dad. a part hereof. ba retained by thl United Stat.. to bt a~pli.d to satisfy obli&ations alsumed hereunder, without prejudice whatever to any ri,ht. and ren.dies of the Unit~d Stet~c. P(iOT to und.rtakint additional construction or alter~tion work not provided far in th. above term' and conditions or Whe~ tbe 1.pro~emcntl are to be re~ved and thtare. rastored, the holder .hall deliver aod ..Lntaln & lutety bond in an amou~t let by the Fore.t Service, vhich amount shall ~ot be in eXcess of the ecttoared 101. whicb the o~.rn~ent would .uffer upon default in perfo~anc' of this york. r. ~ater ~i~t&. ~.ter by the holder. 1:hh authorization confer. no r1~hts to tne usa of Such r1&htl nulC be acquired under State Lav. C. Current Addres.e.. The holder And the Foratt Servico ,hall Keep .ach info~ed of currant .~11in& addr.,'.' 1nclud101 those ~eoes.ary for billin& and paYDent of fees. ". 141nt1f1cation of Mo16er. Idtntifitttion of the holder ,ball remain .uffioient thAt the Fore.t $.rvlce .hall know the t~. idontity of the anU t:y . ; ( " (S) I' a::.~.. .,' ;H 't C' ~ ! ~ 61/2e/2665 17:47 5414827282 HEADWATERS PAGE 16 IX. HNEWA).. ^. Renew.l. The authorized u.. ~ay b. teneved. ~e~val ~equir.1 the (ollowin& condition': (1) the land u'. allocation i. compatible ~ith the Forest Land aDd ~.sou~ce M.~41.ment Plan: (2~ the .it. is b.in, used for the purpo.e! previously authoT{zed and; (3) the .~t.rpri.. i. bt1n& ~ontinu.lly operated and Daintain'~ in accordanct with all the provisions of the plrait. In m~k1n& a reneyal, t~. authorized officer ..y ~od1ty the term'. conditioo$, and special stipulations. x. RIG~TS AND RtSPONSIIILITIES UPON TtRMINATION OR NONRRNEWAL. A. RINovAl of IMprov.m.nts. Exc'pt.s proyided in Claus. VIII.A, upon terDinat{on or revocation of thic cp.c1.1 ur. p.~it by tha Forest Service, the holder .hall rD~ovt vithin a reasonablt timt al ..tabliched by th. authoriEed officer, the structurt. and 1Dprove..ntl and .h&ll rat core the site to' a condition satisfActory to the .uthorized offic.r, unless oth.~1sc waived in vritint or1~ the author1sarion. It the holder f.il. to remove the structures or iMProvement' within a r,.,onable period. as determined ~y the authorized officer, they shall beoome the property of the United State. without co~p.n.ation to the hold.x. but that shall not relieve the hold~r'. liability for the r.moval &~d .ite reator.tion COltl. .x I . K ISClUANtoUS nOVIS IONS. A. Members of Con~Tt II. .~o Kn'ber of or Dtler;att to Cio1'l&rus or ~esid.nt Commilsiontr shall b. admitted to any .hare or pArt of thic Agreement oT to any benefit that ~LY ari.e h.refto~ unle.s it ia made vith a eorpora~lon for its ~e1'l.ral benefit. a. Inr~.ction, rorest S.~ice. Tht Forest Service .hall monitor the holdar'. operations and reserve. tn. titht to inspect the ~.ra1tt.d facilities .nd improvement. at any t1~a for co~pl1ance with the terDS of this ver~it. Inspections 'by the Forest Service 40 not relieve the bolder of rtspon.ib111tie$ under othar terms of this perait. C. Rexulatinx Servi~es and Ratet. Tho Fot..t Service .hall have tbe author icy to aheck and regulac. the adequacy and type of scrTices provided the public and to re~u1r. that .~~b .ervice. co~tora to I&~i.factory 't~nd~rd.. Th. holder .,y be requir.d to furnilh a schedul. of prices for sal.. and ..rvice. authorit'4 by the pe~i~. Sueh pricI. and service. ~a1 be nt\llate~ by the Fonst Service: rrovided. th.t the bold-at shall DOt M uquited to char~. priCU d(t'if1cantly different than thou cbar&ed by co~arabl. or c~.tin& .nterp~ia... D. Adverti.in&. The bo~dtr. in .dv.rti....nt.. .isns, circular.,. brochure., letterh.ads, and like naterials It v.ll ac orally, .hall not ai.repre.ent in Aft7 .ay. aithar the A~co~odat1.n* ,~ovt4.4. the .~t~ of the ~ rill 1 t . or the Aua CD'Vet.4 b, it of the vidn! ty . 'l'he he t that the pernitted &t.. 11 locattd on the N&tional for..t Iball b. .ad. r.adily apparent ia all of che holder', bro~hur'J and print advtrti.in& recardin& u., and ma1'lag4~t~t of the .re. a~d faei11ti.. under permit. @) _& - ----. ... . '. __...0.. _... ... . .... . . ....... '-'.. '. _.-.... .."..--.- - .. . The Clean Water Act, 1982: My decISion will meet and conlorm to the Clean Water Act as amended In 1982. This act ~s:atJh9)es a non.degradation policy for a\1lederally proposed proJects. My decision meets anti.degradation standards agreed to by the State of Oregon and lhe Forest Service. Region 5. in a Memorandum 01 Understanding (Forest Service Manual) S51S) This will be accomplished through planning. application. and monilOring 01 Mitigation Measures .CluOlnq Best Managemenl Practices (BMPs). ';' ~e C E is Identified and completed an analysIs or eflects to section 303(d) listed water quality limited waler bodies ::ciace"i or down stream of the Special Use PermIt area. My decision is designed to avoid impacts where possible. and \.....e.~ Incacts cannOI be avoided. mitigation is designed \0 minimize the potential for accelerating sedimentation to ~..::2""S ;'see ROD Attachment B) State rarest Work.er Safety Codes: The Oregon Occupational Safely and Health Code for Forest Activities (OAR 437. ~: 'J's' 0'"' 5) regulations will be met when my decision is implemented. Appropnate provisions will be included In all ::-i' acts for addressing State Forest WorKer Safety Codes. IMPLEMENTATION :-D'e:';'1,enlallon 01 my deciSion to authorize expansion at the Mt. Ashland SKi Area may take place 50 days following the :'J::':c.ailon of a legal notice announcing this decision in the Newspaper of Record for the Rogue River.Siskiyou National : :'<;:,; Medford's Mail rflbune. This decision is anticipated to be implemented beginning in the summer of 200S. I I t . I t t ~ . t t . . , . . , .' :. :. ~, i : . :~. .tt :t. ~ Permits, Authorizations, and Bonding . _:? 5 ::,,=cai Use PermIt Includes all managemenl direction and Mitigation Measures identmed in the 1991 Master Plan ::~ ,';e as permit clauses lhat govern the Forest Service/permiHee relationship (i.e.. the extent of commercial operations ?';0W~C food and beverage services. facility maintenance, etc.). The Action Alternatives analyzed in the FE IS and my :2:S(}"'1 are designed to represent a reasonable scenario for authorization of ski area expansion. The enwonmemal :;-;:'.ss process requIres that the FEIS describe the environmental consequences of each alternative relative to ground. :.::~':j';""'g aCtiVities. not to be prescriptIve of what takes place in an operational sense. The Forest ServIce believes thal '.':'::' a,.c (heir consultants are in the best position to determine where. for example. services are located. Exacl :'':iH:ons and function of each building(s) will be determined at implementation. Final and exact facility. IiII. ski run :":3i'i}'S and other design features may be refined to a reasonable and logical extent during implementation (see '.".';2:'0'" Measures, Attachment B). not to exceed environmental consequences predicted in the FEIS. :.. _ :'uer al1ng plan IS required and is updated annually prior to operations. and the operating plan includes authortZatlOn 3-': sc~eduling 01 development activil1es. The annual operating plan includes the Summer WorK Plan. and describes -aw MAA will carry out conslruction and operations in accordance with the terms of the SUP and my decision This :;;)e: c~il;"",g plan will also be 10 accordance with the Mitigation Measures required by my decision. 4c;Jal c.onstruction will not occur umilthe Forest Supervisor or delegated Responsible Official approves the operating :::_ :omoliance with the operating plan will be monitored by (he Ashland Ranger District stall and foresl Service .::~ :.y:e specialists. S:c.:: 3"d local agencies have regulalory responsibilities for many activities and actions being authorized. these will be :.~:, led dUl1ng the design. construction. and operation phases 01 actual expansion. licensed professionals are requued : :'eDare the conSlrUct10n drawings lor lacilities. utilities. structures. parking areas. etc. These proposals will then be . . 'eJ:ewed by (he appropriate state or local agency departmentS 01 environmental quality. planning. building. or heaHh :"'JJro'Jal by these agenCies is a condition of the SUP issued by the Forest Service. :penily the SUP requires a S200.000 bond for ski area resloration in the unlikely event that operations (currently -na'.,aged by MAA) declare bankruptcy and a subsequent decision is made to abandon the ski area. This amount was \)ased on an April 1992 Restoration Environmental Assessment and Decision Notice for the current facility. The City of Ashdand. under their current lease agreement with MAA. requires MAA to have this amount avaitabte in "readily available liquid assets.. thereby meeting lhis requ.iremenl. Record of Decision ROD. 45 I I \ ,. I Mt. Ashland Ski Ar.. Exp.nSi~ I ' ; ~f . ! ~ . --...... .---.....- 11991 Mt. Ashland Ski Area Master Plan ROD/FEIS I The' 991 ROD/F E IS authorized the programmatic Master Plan that currently controls development al MASA. This Master Plan programmatically authorizes MASA to expand (as described in the 1991 ROD, page 13) in accordance with Alternative 7. ThIs Selected Alternative "would expand MASA's capacity to 4.795 PAOT. served by a lotal o( eight lins. Skiable terrain would be increased 10 197 acres. One mile o( cross-country trail would be groomed on Road 20. No permanent facilities would alter the character o( the south side of Mount Ashland. A transport fi(t would connect the eXlsling lodge 10 a new facility althe Knoll. MASA's permit area would be expanded to enclose a total of 1,180 acres (Jee dIscuss iOl1 ill FEIS Chaptu IIfor correC(;Ol1S to this acreage figtJre). primarily including areas north o( the Bowl and the Knoll. Parking capacity would be increased to accommodate just over 1.900 vehicles. Summer uses would be developed." Also see Section D of FEIS Chapter' (or more information on the decisions made in the 1991 ROD. I find my decision to be consistent with this programmatic Master Plan and that my site.specific decision to authorize expansion is in compliance (and does not exceed) the programmatic aspects o( the 1991 Record of Decision. My decision does not foreclose (uture proposals by MAA to implement (urther aspects of the Master Plan pending sile. specmc environmental analysis. Other Legal Requirements and Policies 111 reviewing the FE IS and actions involved in my decision (Modified Alternative 2). I have concluded that my decision is, conSistent with the following laws, requirements and current or proposed policies: The Preservation o( American Antiquities Act, June 1906: AU surveyed and inventoried cultural resource sites associated with Mt. Ashland Ski area expansion will be protected (rom entry and excluded (rom any resource mdnagement activities. New sHes discovered during operations will be protected by required Mitigation Measures (See (EIS IV.IV.197 and Rod Attachment B). j . The National Historic Preservation Act: The Oregon State Historic Preservation Officer (SHPO) has been consuUed concerning activities associated with Mt. Ashland Ski area expansion. The Advisory Council on Historic Preservation (ACHP) will be consulted about measures to protect signifICant archaeological sites from adverse affects. should any be Idenlifled (SHPO letter is included in HIS Appendix N). The National Environmental Policy Act (NEPA), 1969: NEPA establishes the (ormat and content requirements of environmental analysis and documentation, such as Ml. AShland Ski area expansion. The entire process of preparing an enVlfonmental impact statement was undertaken to comply with NEPA. The Endangered Species Act of 1973, as amended: Biological Evaluations and Assessments have been prepared tCI document possible ellects or activities on endangered and threatened species associated with Mt. Ashland -Ski area expansion. Appropriale coordination. con(erencing, and consultation with USFWS and NOM FisherieS"have been compleled. Consultation letters (rom NOAA Fisheries and the USFWS are round in FEIS Appendix M (Biological Assessments are available in the project records). A most recent Biological Opinion 8330.05373 (FWS log 11.15.04. F. 0537 Reinitiation (or 1.7 .98.F -414) is available upon request. An effects analysis was prepared 10 assess potential erfecls to Sensitive Species as identifielj by the Regional Forester. This evaluatIon determined thaI while there may be impacts to individual sensitive species. those errects are not likely to conlflbUle to a trend towards rederallisling or loss or viability o( the population or species, All field surveys for activities listed In (hiS ROD have been competed. Clean Air Act Amendments. 1977; My decision is designed 10 meet the National Ambient Alir Quality standards through aVOidance of practices lhat degrade air quality below health and visibility stand,ards. The Oregon State Jmplementation Plan and lhe Oregon State Smoke Management Plan will be rollowed 10 maintain air quality (See FEIS IV.107.IV.110) Record o( DecisIon ROD. 44 Mt. Ash/and SkI AI'A" t=ynt."~'M' , r t.. t f ! 1'. .'~ , 1. ~-y<J . /~.. :{~) United States Department of P; r .;cul ture Forest Servlce P.oe;ue River Na tions:!. FG)"e~t 333 W. €th StleH P.o. Box 520 Medford, OR 07S01 Mr. Merle Brooks Stevens Pass P.o. Box 98 Levenworth, WA 96826 O'JT (-: '91 : Reply TO:~ bJ~\and Rin!1I .PiS!. : ~ _ D, R. ~ Date: October 3, 81M SllV TBR US _ s"u --"Jt''' OF' . - L REcinRE = _ lot _ _ CO~I'. _ X = t-CTIOH 1991 Dear Merle: The following is in response to your letter of January 1Q, 1991, identifyi~b activities to IIrestore the site" if the Mt Ashland sl<i area closes. We are very hopefUl the area will continue to provide downhiLl. skiing fer t.he local coo.aunities. We would be happy to rr~et with any prcspective biaders to discuss aspect~ of the ski area permit. However, in the event the area does close. we I1\.Ist identify the mea~ul'es necessary to re~tore the site. Hany of tbe items you outlined are acceptable and have been incorporated into our response. tim.lever, there are a number of additional items that ITUst be done in order to restore the site. In AUBust, 199', a team cf Forest Service ~pecialists, which included hydrologists, 05011 scientist, landscape architect and en&ineering'6eolo61~t, revie\oled the ski area on-the-ground. A meeting was held cn September 4, 1991 J to review their recoomendations for r.estor1ng the s:i te. The re~toration objective and preferred met.hod for meeting that object.ive wel'e identified. The Ashland District RanEer would I;>e will ing to d1~cuss with you alternative roethcds for meet1ng some of these objectives. A map (Figure I) is enclosed shcwinl!, the location of ITOst of the requirerr.ents. The requirements are &s fo~lO'rJs: Park:ine. Lots The priffery objective is to stabilize soil moven~nt on fill and cut sio~s. Secondary objectives are to niake the areas rrore visual~y acceptabie cnd to e!iminate unnecessary parkinB area. Kain Lot m1 In the vicinity of the main dra1na!i;e channel. apyt'oximateiy 200 feet of the fiil slope requires planting of gl'ass and shrubs. An asphalt ber'm should be placed on each s1de of the main dra1nage'on the parking lot to ensure water flow is d::..r.ected i.I1to this channel. The cut slope frem t.he I'entalshop to the bottleneck aho needs to be stabiilZ.ed. The existing. sJ.ope is too steep for Caring 'or th. Lal'od .nd S.,vhg P.ople ( ~:::""" "", ...,-........ ," 1 ! ~. t i I : i t r ~ L , t of : ) I . [ I I 1 . lb.:... ~ : ::' , ~.~. . . /~;;;;;:;... i-~' \~) l-Ie r ~ e Brock s 2 ve~et.at.ion t.o become w~ll est.abllshed. The Slope an~ie should be decr'ea~e(j by bui~oing a oor"m of lar~e boulders along U,e toe of the cut bank (~ee Ft~UI"~~ ~I). The aspha~ t from U,e berril t.o the toe of U,e cut would be ripped to il~l'ove wat.er infiltration. The area behind the berm will be f1i~ed with concrete frexn the buildin~s, material at the switchback or fill material hauleci" from t.heRo~ue VaJ..J.ey. Trees, shrubs and grasses should be planted behind the benTo. Back Lot Rip and remove asphalt except for roadway. The asphalt may be used as fiil material behind berrns on front lot. Haul 2 to 3 feet of clean, plantable material and fill behind berm (see Figure III). Place teotextile~ in area of berm to catch fine sediments. Plant ve~et~tion (shrub and grasses) and fertiiize. On fill slope I extend rock and e,eotextne on wet't end about 35 feet from ed..e of existing rock bj,anket. p.jant sh~bs/e.rasses on bare area of fill slope. ~ Prirrary ob.:i~ctive of road restoration is to provide adequat.e drainabe, minJ.ITIlZe ero~ion I and make the 51 te v 1suali y m::>re acce~table. See FiB,ure IV ioentj. fy ~nb road locat.:i.ons. Upper Road Improve drainage with use of hand watet'barf.. Waterbars wiJ.l be :Sp6ced acccrdlng to the di6tanc~s 6hted in the Finai Envlrorvnental Impact St2tenlent, for 1;.he Ht Ashland Ski Area, pa&e II-21. Native matenal such. as rock and lots may be used with silt fencin~. Wher.e ~ul.des are forming on the flU are8f'. arroc,rine. 1.!it.h rock is necessary. Bare areas of fiil slopes wlil be m.Jlched I fertij, ized and pian';.ed t.o ~rassfs and shrubs t.o abate erosion. AI' i el Road Road 1s roostlY at..abiiiud. HOWtVH, .one f.u:a.iy 16 formin6 and flowing down t.he road and int.o the Bowl. Re-direct flow with waterbars to. flow into rock taius. Comer Road Area is very visible from main parKing lot. Gullies have formed in existing road beci. Reshape road to natural contour on up~r section near terminal. Use nat.ive rock for wat~rbara and alternate dhpersal of water on eaoh side clf road. Piant shrubs and grasses after applying rtulch and fertiilzer. The "V" trench where .t.he old T-Bar waoS located requires a cc%blnat.lon of ~eotext.iies, rocks., and shrUb planoU"rie; t.o reC!iJce erof;i.on and ~t.ebiJ.iz.e the site. m . CarlnQ IOf lhe Lind and S.,vlnQ People , 506200-:16 (1., 21 ....-....-.- -....,.. --..-..-. .... I.'. P ~;. , .. , , r I. :r . ! -.i ~~, !; L~j\\ ~/ , I ~ i: I~erie Brooks Lower Maintenance Road (access road to Wind~or and Ariel terminai) The objectlVe is to establ.ish drainage and minimiz.e erosion. Up~r sebIT~r.t - This se~nt extends from parking lotto first sW1tchback, Rip surface. Add additional waterbars with nat~ve rock, logs, then rulch, fert1l..ze and &ra~s seed surface. Lower see.ment - (from switchback to bottcxn of Ariel).. ,Need to.establish draina6e.. Re~r8de road to remove inside ditch and outslope roed. Add walerbars and place rock armor below waterbars. Pull culverts and e~tabiish natur'al drainage COUI"ses. Piant shrubs and grasses on bare cut and fill slopes. Seed, fertilize and nu~ch di~turbed ~round and roadway. Sonnet Road S~ffillar to COD~r Road. Establish dralnaBe and control erosion with waterbars and vee.etation. Lcxige Access Road Ri~ road. Bring in 2 to 3 feet of top soil and place on road ~urf&ce. Muich, fertilize and piant shrubs and grasses. BJi1ding.s The pnmary object:A.ve is to restore the s:a.te to visually acceptable conditions. A~ you are aware, if the ski area 15 not sOid, our prefertnce lS to flna other acceptable uses or ~er.llIittee~ for the jodbe and rentaJ. ~hop that C!re cC'mpatlble with the recreation objective~ of the area. We would like to dlSCU~S with y0U the. possibility of developing a pro~pectus. The prospectus can be used to identify alternate uses and permittees for the facilities (primariiy the lodge and rental shop) that are compatible for the area. Please ~et rue koow if you are intel"ested in pursuing this approach. if the buiidings are to be r'emoved, however, we think your pr-OpOS8J. of disn~ntlinB and burnin& over snow is appropriate. The walls shouid be cavee 10 on the f0undation. The foundation ~houlo be removed at least one foot be~ow brade level for the rental shop, ioO~e, and misce:a.laneous building foundatlons at the top of Anei. The remaining concrete f0undation slabs (for the above ttu.ee building5/~ocations) would be r'elOOved one foot be~ow f.l'ade level and then broken into 3 x 3 foot chunk~ to avoid creation of an artific1~ hardpan and pro\' ide for eventual tree root penetration. The broken concl'ete fr'om the wiLl5 cOUld be hauled to the front lot and us~d as f111 ~~terial behind the berm U5ea for stabilizing t~e cut slop~. Hau~in6.Qff-~~te.in the~e ~ens~tlve areas would avold the possible visuai impact of concrete pieces above the ground surface. The area of the foundation wouid be covered with 3 foot of natural material or s Caring 101 the Land and S.,yk\g People I'S.6200.2I F.121 --.- ...... .........- J. 3 :t (W:-_:-~-;\) ,.~J ~ I-;erle BJook~ ~ ~ullable soil. broue;ht up from off-site and biaded to slopine; conciition~. ThE ~lte \.Iou~d be fertiiized, rwiched and p~ant.eO to shrub~J' f,ras~es, etc. The niCalI\t.enance shop near Windsor should be removed before the access road J.S rehabilitated. As you sugE;e~ted, the buiiding eouid be burned over the snC\oI. Hon-burnabie materiai wl11 be hauied off ~ite. The concret.e foundat;.c,n wOUJ.d be broken into 3x3 foot sections, covered with 3 feet of ~oii 2nd pl ante{) to shrubs and &ra~ses. pji ot.her buiiciinl:,s/structures can be burne<i wit.h the cvncrete broken lnt.o :I x 3 foot p:eces, covered wit.h ~oil or buried, and pionted wit.h ve~etation. If the water sy!-tem is used in the future, it:. can be left as is" If no use is anticipat.ed, the 2bove grc.und structure should be removed. The water storsj;e tank should be welded shut. other Faci1ities Hie ob.:;ective is t.o meet visual concerns a~d ccO!ply with lccal ana Stale requiations. This include", but not limited to, t.he eiedr ic, sewop,e, 'W2ter I r.ibht l:i.ghtin~, aod t.elephone lines/structures. Your propcsal t.o Leave under6round utilities in place ~~ accepta:::>le. AJ.: atoOve e.round man-made features such a~ pc~er supply ~J.nes and boxes, c~ment paQ~, t.elephone '.Ilre, nisht lights, fence posts, boundary s1bns, and Olisce.1ianec.u~ wire wi~i be reIT~ved. You will need t.o coordinate wit.h PP&L on 'Which e~eclrical facilit.ies should be left for the operation of KOSI-iv, ~eatr.er Et:re..u, etc. Any cement pads used to ~upp<:'rt electrica:" boxes, .et.c. :..n the v ic inlly of lodbe and ski rent.al shop wiH be physicoL&.iy renx;ved f,.om t.he 5. te (coUJ.d be useci a~ flii materia:" behind t.he bel'lTlS in the parkin~ ~ots). ~.1 eti",er cer..ent pads wi~~ be br.oken ar,d covered at. their :"ocotion or !'.auied eff s::.te. All disturbed areas wiil be n-AJlche<i, ferti..Li2.ed, planted ,ot.h vebeta.loion. Rest.or.atic.n of the sewage system wiJ.l ccnform to local and State rel!.u:"at.ion~. It wlii require Cin abandonment permit and insj:ection by the County. It n,CaY' also requlre pumpin& and sanitlzin~ of septic tanks, breaking the bottom of the lanY.S end fil.1~ng with pea ~ravel. Lift~ The ob~ective of restoration is to restore visual concHtlCinsand control erosion. m As you suggested, rerroval of the haul ropes and accessing t.he tower IT/2chlrH~')' I Halo I ~ and ladder over sncw wiii prevent dama&e to ground cover. Remova~ ()f U,e towe,'s by he~icopter wi:":" also prevent additional ground disturbance. Host of the t.owers can be removed at bround surface and the tower foundatlCins ccve,.ed wLt:.h soil. Exceptlons to this are t.he bot.tC<1l terminoi of Sonnet ono tr.e tcp t.ermina~s of Comer and Ariel. The~e areas are vi~ucLlJ.Y sensit~ve cino reQuire addltionai work. For Sonnet ind Comer the concret.e foundation of the ter.ITIinaJ. ~hculd be ..hy~icai:"y relt.()ved and the slope l'eshcped to t.he natural Clrlng lor (he Lind InCS Stl'YlnQ Ptople ~S.62I)(I.2. (7.121 .--..--. ... ! i , I I '.' :_1;' , ~ \ : tc.' . '.. . , , i . t- " ~ ;' ,.....:.. '\ - .:. ; , ,F~~ l~l.AJ), ~~ l. ~\e!..e Brooks contour. At the top of Ariel, the ~ar~e cen~nt counter weight shcu~a be hau:eo off site. ~soJ at the t.op of Ahe::', ail concrete foundations wiil be broken one foot below gr.ade :"eyel. The broken Itat-ens! will be hauled off 5i t.e. Natiye SOl:" can be brought in to Coyer the foundations. ee,. areas on the bOttom t.rminal, of Ari.:" and Windsor wiil b. rl,p.d, ",lched, f.rtili,.d and p:"anted with grass.s and shrubs, ~ work wiil be roquired to r.....tabl>sh the dra inag. in the vicini ty of Ari.i, Th>s w iil r.qui r. grad in. .nd rock armoring, Rock/soil wiil,aiso b. piac.4 ov.r the .,posed .pring in the area west of the Arie:" t.rminaL Thi. wiil be necessary if the exi.ting water 5u~~~Y is identified as needed for fu'~ure use. The objective of restoration of the run~ lS to improve draina~e, minimne erosion and sedimentation, and re~tol'e the scenery of the area. .Bun.S On-the-tround visit. by .11vicUlturists id.ntified ar.as where natural seed'n! oft I .. s i. occurr ing, Us In. t hi. a s a be .is, and pro jec ting tree growth in to the rutur e, add it lonal a r. as for tree planting we re ide n ti fled by the' Lor.d ,ca;e Architect (see F;.ur.s V, VI, and VII), An .stlmat.d S acres wiil r.quire flan tm. of heoU ock/ sha s ta red f i I' tre e .e ed:" in.S on ,eve rei rU n sll i ft "n e', A n""be I of e ros ion .0:. i i e s ( those a ppr o>>"a tel Y \ 2 lnche s de e ~ cr gl'e ate,-) w,ll reGuire .rade stabil;,atlon to reduce velocitY of the runoff. Exam)>,e' are found in the ... adow near the I cd ge and the Ar i.i i 1ft line, In SOCT,e or eo s, .,'o,ion control rea ts and rock arlOOrin. w,ll aiso be l'eqU i red, Na U ye ,'cck/wood m. y also be used for check dams and woui d al so be a Pl""o pr.. te in so..e plac e' , The exi,ting run> are void of wood debri., ,WoodY d.bris ,erves as a b.,iS fm cievelo~ing SOlL suitabLe for pLsnt establishment and ~""wth, To estab" i,h woodY o,cster:..&l. on the runs/i :Lft i inesJ trove t.he exisl:.ing woodY ruater'~aJ. cut ana stocked 8ion!!; the runs onto both t.he ~ift. J.ines and ski run~. The RoSue River Nsticnai Forest e~hasi..s the use of native specl.s for ero,icn control work when tt~ objectives can be, met, However, non-nat,ve spec>es may b. neces,ary ;n acme ~:"ac.' of ski .r.. r..teration te assura success, In ,ome .reas, such a. .te.p .lope', &r..... should be pianted ss ,plugs, Shrub' shcu1d b. tran,plants or individual plants grown in nursery., We wili proyide you' iist of desirabie species for planting as well .s acceptabLe mulc~e' ,nd ferti!ization rates. Our .oal i. to s.e the area restored to the obSective leveis we have . s to bl ish.d, We aI' e w l:'ling t.o d iscu 55 wi th you a r.y of the a bov e me.. uras j n m.et'n. thOse obj.cti v.,, I expect the res teration pI'OC.55 W iU be a mul ti -year effort iastin. S to 7 y.ars, Due to the h.gh elevatlon env,,'onment, a or,e year restoration effort ,"oui.d not be adequAte. tOI' many of the above items. to. lT~n~toring pr'otram is neededtoeJ)~ure. the efforte pre::lcribed above are .uccessfUl, I would b. happy to wO'~,with you or your consultsnts on tt" matter. ~/e would also be wiJ.i~ng to consider a partners\'"liP.effort wl.,ere Caril'lljllot \he Land and Slrvlog Plople m1 FS.'200.2& (1,121 - ". --. ......_0" h..'.~'\'.. f.~ ff' :f.'. (~~ 'J:. ~ .1 j... . . ..: r,. t: f:'-' :t- .. -, HerJ.e Brook~ .' depos~t.E would be made in a co-op f\md and the Forest Senlce wou::'d 8(!;ree to cornpiete end rr.onitor agr'eed ur..on work. We est~mate the above erosion control me8$UreS may oost ~125,OOO. to $175,000 dOJ.lars, This f1~ure doe5 not inciude dismant.i1ng buiJ.dingfJ, towers, etc. I understand that has be.en estimated at,ap~roximateiY $750,000. If you have a nx:>re precl~e e$t.ur.ate of the COAt of d1aaent,j,1ng, lnoludlnb the restor'ation 1~ork we have identified, we can review that 1n conaider1n~ Ski Ashland's financi~L capability. . Before any assets are oonsidered for removal, we wiil need.ev1dence of Ski Ashland', financial abi:l.lt.y to a,eet it.s obiigationa under. the existing permit" This. evidence DI8.Y be 1n tpe form of cash, bonding,' securities or other acceptable lJeans of establish:i.n& finanoial abll.ity. Please fee~ free to contact Distriot Rln&er Mary Smelcer, 482-3333, if you have any. questions concerning this restoration plan. Again, it is. our hOpe that a su1t.able new owner can be locat.ed. and that the l'eatoratio>n effort. wul not cane t.o. .pass.We look forward to a prof1~abl.e aki. 8~aaon this, 'win~r. S:i.ncerel y, JAMES .T. GlADEN JAMES. T. GLADEN Forest Supervisor Enclo::;ures CC:L Ski A~hiand, Inc. 02 ro Z720 .F.lie .- ._----_.~............__.._...... .... ~ . .Ciili-,Q.,IOi"u:.t Land and Serving .Ptop\t '$-6200-U (7.121 _ _ ....J....... .~. ..-.-. .........: ....... .__.....~-~-~~ ,',:.. .,. . ....~";h~~...~----....._. . ,. f .. . ~ ",' ". !.:'1 '#.",. ".\ 6 ) UJ: '---' .0: i ~ u! : CD i ~. i i " , l ~ r 0 000 00 0 0 0 0 0.,0\.1') ., ., 0 V) ~ V) V) It) .- \.I') 0(,0 N iii ai :('1") N. O~ en It) V) '" N (,0 0 ~ .- Q) '" ('1')" ('1"1' ('1"1' C/) N ., ~ ~ ro .J:: ., a.. i ! ---1' . . 0"0'0'0' 0"0 ....0.0..0..0- I 8""2 ., ." 0 0 ~ 0 0 N N N! o "," o' ,.... ,.... . Q) I 0 ~ a; 0 ;; c:o . C/) I CX) ~ ~ :~ ., , a..! i I '\" 0..60..6.... 0 0 0"0'6'0'. 0 00 .- 0 0 0 .... 0 .... ;~I \.1')0 1/)0 0 co 0 0 CD CD ~ ",o. ro:. cO NO. ~o. CI"i V; ..; N , Q)! m V) V) 0 ('1')(,0 \.I') CO .- \.I') m ,... ('1"1 'C/) (,0 I/) ('/') .- "('1') ~ ~ ~ N' ro ., ., ., ., ., ~ . ..c., 0..\ ! 0'00'0 "6.0' 0 gg 0 000(,0 00 0 U) V) CD c:o 0 0\.1') oq, OCX) V; cxj ~. ai .... cO ",. ",. ;::: N~ c:o ('1"1 V) ,... VI 0 (,0 '" \.I') c:o CD ('1"1 0 ON\.I')(,ON ., ('I') ..;~~ iii U~.,.,., ., ~ ~ ., < I- Q) .... (U ~ I-c ~ ] 8Cf}(!) ~ ~~CI) \ (!)Z (.) t'.I '-"C..JZ EZ_~:J~G)Co.:J OO~LI."(U~(U~" ()..J,,-I-OO,-O ~-<..JCf}~o.Q) ;: Qj:Jo. < ....Z(f.) . 0 CD e:: ~ (f.) .... I.L. ~ a.. z 0) C :g~.tJ ~~C ~~:21 :.:i. i~ ~ ~ - .S: ~_ ;g ~ ~.~ ~ .E iiH- iN 'v ;.~ ,..... (0 :E !~ !:(( ~ i-1J N CD ::0 .s o 0.. (i) ATTACHMENT B A RESOLUTION PROTECTING THE CITY OF ASHLAND FROM MT. ASHLAND SKI AREA BUSINESS AND ENVIRONMENTAL RISKS Recitals: A. The City of Ashland holds the Special Use Permit (SUP) for the Mt. Ashland Ski Area (Forest Service Special USle Pennit dated May 10, 1991). The City of Ashland as lessor is responsible for compliance: by its lessee with the conditions of the SUP (SUP Section VILA). B. The City of Ashland leases the ski area facilities to Mt. Ashland Association (Lease Agreement dated July 9, 1992). The Lease Agreement gives the City of Ashland the right to conduct inspections and investigations of ski area operations (Section 13.4). C. The City of Ashland places a high priority on the protection of the Ashl@dMunicipal Watershed which originat(~s in the ski area permit area. D. The City of Ashland is obligated to perform restoration and rehabilitation of the Mt. Ashland Ski area upon tenllination of the Special Use Permit or in the event the lessee ceases opc~ration of the ski area before the end of the permit term (SUP section X.A). E. The ultimate maximum liability of the City of Ashland for restoration and rehabilitation of the Mt. Ashland Ski is uncertain and contingent on policy and environm1ental standards that may be in effect at such future time that restoration and rehabilitation are required. F. The Mt. Ashland Ski Area faces variable snow conditions and uncertain long-term winter sports trends that could cause future cessation of ski area operations. G. Mt. Ashland Association is a non profit entity with no significant assets to contribute to the res1toration and rehabilitation other than the facilities of the Mt. Ashland Ski Area. THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTION" 1. The City Council shall appoint an independent team of experts to estimate the cost of rehabilitation and restoration, including the planned expansion area, in accordanlce at a minimum with the restoration standards specified by the Forest Service Environnlental Assessment and Decision Notice of April 1992 (Alternative C). The City Council 'iVill make reasonable efforts to reach a mutual agreement with Mt. Ashland Association regarding the: maintenance of reserves, bonding, or other security to fund the estimated cost of the ski area rehabilitation and restoration. SECTIOJN 2. The City of Ashland requests that Mt. Ashland Association provide a Business Plan showing capital expenditure and operating projections for the planned expansion. The City Council shall retain an independent accounting firm to review the Business Plan. The requ(~sted Business Plan should include these elements: . Projected construction expenditures for each year of the expansion build out. . Projected sources of funds for financing the expansion for each year of the build out. . Projected operating revenues and expenses reflecting historic skier visitation variability for at least a 10 year time frame during and after the expansion build out. . Sources of funding for financing restoration/rehabilitation reserves. . Sources of funding for financing the QAlQC team. SECTION 3. The City Council shall appoint a Quality Assurance/Quality Control team to oversee ski area construction and protection of the municipal '~atershed, substantially as described in the comments submitted by the City of Ashland to the Forest Service on October 7,2003 (DEIS comments). The QAlQC team shall be an independent team of2 to 4 persons specialized in soils and hydrology that reports to th(;~ City and Forest Service. The QAlQC team shall be fonned prior to construction to define strategies for erosion and sediment control, mitigation, and restoration/remediation. The City Council ,~ill make reasonable efforts to reach a mutual agreement with Mt. Ashland Association to provide construction funding for the QAlQC team and to ensure that all future construction activities comply with the authority of the QAlQC team. SECTION 4. The City Council will make reasonable efforts to reach a mutual agreement with Mt. Ashland Association to implement this resolution before future construc;tion activities commence. SECTION 5. This resolution takes effect upon signing by the Mayor. This resolution was read by title only in accordance with Ashland Municipal Code Section 2.04.090 duly PASSED and ADOPTED this _ day of , 2005: Barbara Christensen, City Recorder SIGNED and APPROVED this _ day of John W. Morrison, Mayor , 2005: Reviewed as to form: Michael W. Franell, City Attorney . CITY OF ASHLAND Council Communication Mt. Ashland Restoration Resolution - Addendum Meeting Date: September E>, 2005 Department: Legal Contributing Departments: Approval: Primary Staff Contact: Michael W. Franell E-mail: franellm@ashland.or.us Secondary Staff Contact: E-mail: Estimated Time: 45 minutes Statement: Paul Copeland has continued to work with the City to arrive at a resolution that would be acceptable to his group and would address the concerns expressed by the' City legal staff. As such, he is withdrawing the resolution included in the Council packet for consideration and has instead agreed to support the resolution drafted by the legal department with two additional provisions: 1) A statement in Section 1 that the City will seek a restoration estimate from the US Forest Service before any efforts would be expended to develop and independent estimate of restoration costs; and 2) A request in Section 2 that MAA provide annual updates to their business plan until completion of the expansion buildout. Attached is the Ilegal department's redraft of the resolution with the two requested amendments. Council Options: Since Mr. Copelland has agreed to support the proposed resolution drafted by the legal department, his resolution is no longer on the table for consideration. The Council could adopt the proposed amended resolution from legal. The Council could decide not to pass a resolution at this time, but to rather continue negotiations and cooperation with MAA tc'wards an end that hopefully will accomplish the majority of the Council policy desires, without substantial expenditure of City resources. The Council could not take any strong policy stances in this area at this time. Attachments: A Resolution Of The City Of Ashland Identifying City Policy Relating To The City's Obligations As The Permit Holder For The Mt.Ashland Ski Area - Amended ~~, A RES()LUTION OF THE CITY OF ASHLAND IDENTIFYING CITY POLICY RELATING TO THE CITY'S OBLIGATIONS AS THE PERMIT HOLDER FOR THE MT. ASHLAND SKI AREA - AMENDED Recitals: A. The City of Ashland holds the Special Use Permit (SUP) for the Mt. Ashland Ski Area (Forest S~~rvice Special Use Permit dated May 10,1991). B. The City of Ashland as the permit holder is ultimately responsible for compliance with the terms and conditions of the SUP (SUP Section VILA). C. The City of Ashland leases the ski area facilities to Mt. Ashland Association (Lease Agreement dated July 9, 1992). The Lease Agreement gives the City of Ashland the right to conduct inspections and investigations of ski area operations (Section 13.4). D. Pursuant to the Lease Agreement, Mt. Ashland Association has agreed to assume responsibility for compliance with the Permit terms and conditions. E. The City of Ashland places a high priority on the protection of the Ashland Municipal Watershe:d which originates in the ski area pern1it area. F. The Special Use Permit, upon termination of the permit, requires removal of equipment and restoration of the Mt. Ashland Ski area (SUP section X.A). G. The responsibility to restore the ski area and the ultimate maximum liability for restoration of the Mt. Ashland Ski is uncertain and contingent on policy and enviromnental standards that may be in effect at such future time that restoration is required. H. The City of Ashland desires to prudently plan for and address responsibility for this contingent liability. THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTIO-N 1. The City Council shall take reasonable steps to estimate the cost of removal and restoration, including the planned expansion area, in accordance, at a minimun1, with the restoration standards specified by the Forest Service Environmental Assessment and Decision 'Notice of April 1992 (Alternative C). Reasonable steps shall include an initial inquiry of the US Forest Service for an estimate. If the US Forest Service is unable to or refuses to provide such estimate, the City will take such other reasonable steps as it deteImines prudent to estimate the costs of restoration. The City Council 'will make reasonable efforts to reach a mutual agreement with Mt. Ashland Association regarding thE~ maintenance of reserves, bonding, or other security to fund the estimated cost of the ski area restoration. Resolution C :\Documents and Settings\l ucasa\Desktop\M tAshlandResAugust - 3 .doc Page - 1 SECTI01-~ 2. The City of A.shland requests that Mt. Ashland Association provide a Business Plan showing capital expenditure and operating projections for the planned expansion. The City Council may retain an independent accounting firm to review the Business Plan. The requested Business Plan should include these elements: · Project(~d construction expenditures for each year of the expansion build out. · Projected sources of funds for financing the expansion for each year of the build out. · Project(~d operating reve:nues and expenses reflecting historic skier visitation variability for at le:ast a 10- year tirrH~ frame during and after the expansion build out. · Sources of funding for financing restoration/rehabilitation reserves. · Sources of funding for financing the QA/QC team. The City will request MAA to provide an annual update to the business plan until build out of the: expansion has bt~en completed. SECTI01'-J 3. The City Council shall cooperate with Mt. Ashland Association to appoint a Quality Assurance/Quality Control team to oversee ski area construction and protection of the municipal watershed, substantially as described in the comments submitted by the City of Ashland to the Forest Service on October 7,2003 (DEIS comments). Ideally, the QA/QC tleam should be an independent team of2 to 4 persons specialized in soils and hydrology that coordinates with the City, MAA, and the Forest Service. The QAlQC team should be formed prior to construction to define strategies for erosion and sediment control, unitigation, and restoration/remediation. The City Council will make reasonable efforts to reach a mutual agreement with Mt. Ashland Association to provide construction funding for the QAlQC team and to ensure that all future construction activities comply with the coordinated reco]mmendations of the QAlQC team and the Forest Service. SECTION' 4. The City Council will make reasonable efforts to reach a mutual agreement with Mt. Ashland Association to implement this resolution before future construction activities commence. SECTIOJ\J 5. This resolution takes effect upon signing by the Mayor. This resolution was read by title only in accordance with Ashland Municipal Code Section 2.04.090 and duly PASSED and ADOPTED this ~ day of 2005. Barbara Christensen, City Recorder Resolution C :\Documents and Settings\lucasa\Desktop\MtAshlandResAugust - 3 .doc Page - 2 SIGNED and APPROVED this day of ,2005. John W. Morrison, Mayor Reviewed as to form: MichaelW. Franell, City Attorney Resolution C :\Documents and Settings\lucasa\Desktop\MtAshlandResAugust- 3 .doc Page - 3 ATTACHMENT C A RESOLUTION OF THE CITY OF ASHLAND IDENTIFYING CITY POLICY RELATING TO THE CITY'S OBLIGATIONS AS THE PERMIT HOLDER FOR THE MT. ASHLAND SKI AREA. Recitals: A. The City of Ashland holds the Special Use Pennit (SUP) for the Mt. Ashland Ski Area (Forest Service Special Us'~ Pennit dated May 10, 1991). It The City of Ashland as the pennit holder is ultimately responsible for compliance with the t~~nns and conditions of the SUP (SUP Section VILA). C. The City of Ashland leases the ski area facilities to Mt. Ashland Association (Lease Agreement dated July 9, 1992). The Lease Agreement gives the City of Ashland the right to conduct inspections and investigations of ski area operations (Section 13.4). D. Pursu~mt to the Lease Agreement, Mt. Ashland Association has agreed to assume responsibility for compliance with the Pennit tenns and conditions. E. The City of Ashland places a high priority on the protection of the Ashland Municipal Watershed which originat(~s in the ski area pennit area. F. The Special Use Pennit, upon tennination of the pennit, requires removal of equipment and restoration of the Mt. Ashland Ski area (SUP section X.A). G. The n~sponsibility to restore the ski area and the ultimate maximum liability for restoration of the Mt. Ashland Ski is uncertain and contingent on policy and environmental standards that may be in effect at such future time that restoration is required. H. The City of Ashland desires to prudently plan for and address responsibility,JQrthis contingent liability. THE CITY OF ASHLAND RESOLVES AS FOLLOWS: SECTIO]~ 1. The City Council shall take reasonable steps to estimate the cost of removal and restoration, including the planned expansion area, in accordance, at a minimunl, with the restoration standards specified by the Forest Service Environmental Assessm~~nt and Decision Notice of April 1992 (Alternative C). The City Council will make reasonable efforts tc::>teach a mutual agreement with Mt. Ashland Association regarding the maintenanc,e of reserves, bonding, or other security to fund the estimated cost of the ski area restoration. SECTIO.N 2. The City of Ashland requests t~at Mt. Ashland Association provide a Business Plan showing capital expenditure and operating projections for the planned Resolution G: \legal\Mike\Resolutions\MtAshlandResAugust-2.doc Page - 1 expansion. The City Council may retain an independent accounting finn to review the Business Plan. The requested Business Plan should include these elements: · Projected construction expenditures for each year of the expansion build out. . Projected sources of funds for financing the expansion for each year of the build out. . Projected operating revenues and expenses reflecting historic skier visitation variability for at least a 10-year time frame during and after the expansion build out. . Sources of funding for financing restoration/rehabilitation reserves. . Sources of funding for financing the QAlQC team. SECTION 3. The City Council shall cooperate with Mt. Ashland Association to appoint a Quality Assurance/Quality Control team to oversee ski area construction and protection of the municipal watershed, substantially as described in the conunents submitted by the City of Ashland to the Forest Service on October 7, 2003(DEIS.oomments). Ideally, the QAlQC team should be an independent team of 2 to 4 persons specialized in soils and hydrology that coordinates with the City, MAA, and the Forest Service. The QA/QC team should be fonned prior to construction to define strategies for erosion and sediment control, mitigation, and restoration/remediation. The City Counc:il will make reasonable efforts to reach a mutual agreement with Mt. Ashland Association to provide construction funding for the QAlQC team and to ensure that all future constnlction activities (;omply with the coordinated recommendations of the QAlQC team and the Forest Servic:e. SECTION 4. The City Council will make reasonable efforts to reach a mutual agreement with Mt. Ashland Association to implement this resolution before future construction activities commence. SECTION 5. This resolution takes effect upon signing by the Mayor. TP.is resolution was read by title only in accordance with Ashland Municipal Code Section 2.04.090 and duly PASSED and ADOPTED this ______ day of 2005. Barbara Christensen, City Recorder SIGNED and APPROVED this day of ,2005. John W. Morrison, Mayor Reviewed as to form: Michael W. Franell, City Attorney Resolution G: \legal\M ike\Resol utions\M tAshlandResAugust - 2.doc Page - 2 ...... - - - ASHLAND Council Communication Water Demand Report Meeting Date: sePtembe~" 6 05 Department: Public Works Contributing Department Approval: Gino Grimaldi < Primary Staff Contact: Ed Olson, Interim PW Director E-mail: olsone@ashland.or.us Secondary Staff Contact: Daryl McVey, Plant Supervisor E-mail: mcveyd@ashland.or.us Estimated Time: 5-10 minutes Statement: For the past several weeks, the City has been carefully monitoring water use as August temperatures have averaged B40. As expected, water use is high and the runoff into the reservoir is dropping. Attached is a summary offindin~ls and comparisons as well as an analysis of the impact of the City~s conservation efforts. Background: Reeder Reservoir is relatively small as the maximum storage behind the dam is 860 acre-feet or 280. million gallons of raw water with the overflow weirs in place. Reeder Reservoir is fed from snow melt and watershed rain runoff from Mount Ashland. Typically, the reservoir fills to the top and reaches capacity in April, stays full and spills over the overflow weirs at the dam through the end of May, and then the water level behind the dam slowly starts to fall until the rains begin again usually sometime in October. Theoretical drawdown of the reservoir begins the first of June and goes to "empty" in March. The reservoir never reaches "empty" because of rains that usually start in October. The predicted 500/0 reservoir level is October 15th. Anytime after October 15th without rains and with the reservoir at or below 500/0 would" cause concern for water supply. Water use in the summer months is highly dependant upon weather conditions; the warmer the weather, the higher the use. When the late spring I early summer temperatures are in the 70s, the average use is 4-4.5 million gallons a day (mgd). With temperatures in the 80s, water use reaches 5- 5.5 mgd, and.wiith temperatures in the 90s, average water use if 6-6.5 mgd. Peak temperatures result in peak water use of about 7.5 mgd. We have had days in prior years with useasJ)ign as 8 mgd. The 2001 drought year showed that our community was willing to monitor their use. During the voluntary conservation periods, the avera!~e use in August dropped to 5.3 mgd. During September, the month of mandatory curtailment, the average use dropped to 4.1 mgd. As soon as temperatures cooled off in mid October, the average use dropped to 2.0-2.4 and stayed in that range. After reviewing the existing Water Consumption Comparison Graph and doing additional analysis of Ashland's water demands, attached is the comparison graph of water demands for the month of July for the period from 2000 to 2005" The graph clearly indicates that water demands decreased or remained steady during this period even though population growth for the same period have increased the number of active accounts by 12 0/0. In order to provide a better comparison, a table of the maximum average month and maximum day demands for the period from 1998 - 2005 was developed then normalized for temperature, rainfall, and growth. This analysis he1ps show the impact Ashland's conservation efforts have had on water G:\pub-wrks\eng\dept-admin\Ed's memo\CC Water Demand 9 6 05.doc ~j.' demands. This table together with the analysis is also attached. The conclusion from this analysis is as follows: - Ashland appears to have experienced a 70/0 - 10 % net reductiion in average maximum month demands from 1998 - 2005. This is likely due to the City's conservation efforts; however, specific customer account information which may have some minor impact on this estimate was not analyzed. - The net maximum day demands also have reduced by approximately 10 % during this same period. - The most dramatic demand reductions occurred immediately after the 2001 - drought/curtailment efforts. - Some of the effectiveness of our drought/conservation message since that period may be lost. As an example, if the 2005 adjusted demands in the comparison was considered, the net reduction due to conservation decreases to 5 0,10. - ~o detailed analysis on which elements of the conservation program were most effective (water rates, public information, direct contact, etc.) was performed. Related City Policies: AMC 14.06.020 (A) Determination of water shortage. The City Administrator is authoriized to prohibit waste as defined in section 14.060.010 Of "implement water curtailment stages upon determination that a water shortage emergency conditions exists. Such determination shall be based on an analysis of the demand for water in the City, the volume of water in Reeder Reservoir, the standard drawdown curve for Reeder Reservoir the projected curtailment date for Talent Irrigation District water and flows in the east and west forks of Ashland Creek. The determination of the City Administrator under this section shall be effective until the next council meeting following such determination at which time the council shall either ratify or invalidate the determination. Council Options: This report was requested by Council for informational purposes only. Staff Recommendation: The City of Ashland has been monitoring water use and temperatures over the past several .weeks. The average temperature in July was 910 and for the first 17 days in August the average is 940. As is typical with high temperatures, water use spikes. Water use in July was 6.25 million gallons per day (mgd) and in August the community has been consuming close to 7 mgd. By comparison, last year in July the average water use was 6 mgd and in August the average use was 5.4 mgd. More water has been used per day over the past two weeks than ever before in Ashland. The goal of water conservation is to reduce water use and maintain average water consumption below 6 mgd. This will ensure there is adequate water in our reservoirs not only for consumer use but also for fire safety and basic needs. Currently approximately 4 mgd of water is still flowing into Reeder Reservoir. Based on the fact that Reeder Reservoir is currently below 70% of capacity, we have begun passive voluntary curtailment. Ashland's current voluntary conservation efforts are not close to achieving the 20 % peak day summer time reductions identified as a goal in the 2003 Comprehensive Water Master Plan. As the community continues to grow mandatory curtailment, expanded conservation effoFts,or accelerated expansion of water facilities will be needed to insure the critical water needs of the community can be meet. It will likely take a combination of all three of these elements to be successful. Staff will continue to monitor water demands and will notify Council if more aggressive curtailment is needed. G:\pub-wrks\eng\dept-admin\Ed's memo\CC Water Demand 9 6 05.doc ~~., Potential Motions: None. Attachments: Impact of Conservation on Demands Table Water Use Comparison Graph G:\pub-wrks\eng\dept-admin\Ed's memo\CC Water Demand 9 6 OS.doc ~~, IMPACT OF CONSERVATION ON DEMANDS Ashland Peak Month & Maximun Day Demands -- Normalization Temperature Growth # of Services Avg Day Rainfall Max Adj Adj Adj Adj Max Adj Max Max Day Month Demand Avg Demand Demand Day Month Year (MGD) (MGD) (MGD) Temp (MGD) # Account (MGD) (MGD) (MGD) 1998 6.5 5.37 91.2 6724 6.5 5.37 1999 15.7 6.02 86.3 0.2 7006 -0.24 6.66 5.98 2000 '7.4 6.4 0.06 84.5 0.3 7235 -0.44 7.32 6.32 * 2001 16.2 5.58 86.6 0.2 7487 -0.63 5.77 5.15 2002 16.6 5.86 0.04 90.6 7638 -0.74 5.9 5.16 2003 '7.1 6.28 91.7 -0.2 7806 -0.87 6.03 5.21 2004 16.8 6.05 0.04 90.6 7966 -0.99 5.85 5.1 2005 7.1 6.24 91 8128 -1.11 5.99 5.13 **2005 adj 7.1 6.52 91 8128 -1.11 5.99 5.41 (MGD) Millions Gallons a Day * Mandatory Curtailment Program Impacted Demands in 2001 **Wet June Impacted Demands - Adjusted Demands are for 31 day period July 15 - Aug 15 Estimated Impacts Due to Conservation Proaram Averaae Dav Max Month ( MGD) WlO 2005 Adj Demands WI 2005 Adj Demands 2 Year Average 5.675 5.675 (1998 - 1999) Max Dav (MGD) 6.58 2 Year Average 5.115 5.255 (2004-2005) Difference 0.56 0.42 Percentage Reduction 9.87% 7.40% 5.92 0.66 10.03% G:\pub-wrks\eng\dept-admin\Ed's memo\Water Demand Analysis 8 05.xls CD tr U) ~ Or Q) tn 0 <:) M -.::t- ~ c: 0 6l <:) ~ 0 0 <:) CD ....... ~ E N al N co I Q) "'C a- c: Ll ~ co NI 0 <:) an "'C (.) <:) c.c. 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