HomeMy WebLinkAbout2014-04-21 City Council Minutes Approved City Council Minutes—April 21, 2014
At 7:00 p.m. Mayor Laurie Gere called the regularly scheduled Anacortes City Council meeting of
April 21, 2014 to order. Roll call found present: Eric Johnson, Ryan Walters, Erica Pickett, Brad Adams,
Liz Lovelett, John Archibald and Matt Miller. The assembly joined in the Pledge of Allegiance.
Citizen Hearings
Chuck Bush, 2308 Forest View Lane, expressed his concern about the state's marijuana laws. Mr. Bush
said he opposed the use of marijuana in the City of Anacortes and urged City Council to say no to the
State of Washington and outlaw any use of, or business that dispenses, marijuana in the city limits. He
asked where the City stands on the issue now. Mayor Gere advised that the issue was going through the
legally required Planning Commission process, had not come before Council yet, and that she would
have Interim Planning Director Don Measamer contact Mr. Bush to provide more information.
Sharene Elander, 1406 8th Street, presented information about World Book Night which would take place
on April 23, 2014 to share free books with light readers or those who do not have access to books. Mrs.
Elander described the event and the importance of reading in society and the economy. She reported that
during the 2013 World Book Night over 500,000 books were distributed across the United States. Ms.
Elander thanked Patti Pattee of Watermark Book Company for bringing World Book Night to the city's
attention and invited everyone to participate.
Don Ibsen, 2307 Highland Drive, following up on Mr. Bush's comments earlier in the evening, said he
didn't know where we would be in five or ten years on the marijuana issue but said he considered it
minimally a great social experiment.
Mayor/Council Communication and Committee Reports
Proclamation of World Book Night: Mayor Gere read a statement proclaiming Wednesday, April 23, 2014
to be World Book Night in the City of Anacortes and called on citizens to support the skill,joy and rewards
of reading on that night and throughout the year.
Mayor Gere announced a Shred-a-thon fundraiser on Saturday at Safeway to support the Anacortes
Family Center.
Ms. Lovelett suggested that one study session each month be devoted to delving more deeply into a
specific issue, perhaps in a round table setting to allow for a more lively conversation of complex issues.
Mr. Archibald recalled that this had been discussed at the Council retreat in February and said he would
like to move towards that. Mrs. Pickett cautioned that the logistics of a round table format doesn't work as
well for the home audience watching on television. Mr. Johnson suggested that a round table format
would be possible with different microphones.
Mr. Adams reported from the Public Safety Committee which met earlier in the evening. He said Fire
Chief Richard Curtis reported that the Anacortes Fire Department lent a fire engine to Darrington on
April 6, filled a vacancy in the department, and requested funding for a consultant to prepare a Fire
Protection Master Plan. Mr. Adams said Police Chief Bowers presented the 2014 Anacortes Police
Department annual report which was available on line, said her department was in hiring mode and had
hired two new officers but that the Police Academy is backed up to the fall, was planning the National
Night Out proposed for August 5th to encourage crime prevention, was releasing a strategic plan survey to
the community about how to improve the department, and provided a Skagit County jail status update.
Ms. Lovelett asked staff to address rumors that the jail would be privatized. Mayor Gere said that Project
Manager Marc Estvold had reported that the jail is still very much a public project and process.
Mr. Adams and Mr. Archibald announced an emergency response drill and training at the City Operations
Shop at 1:00 p.m. on Saturday, April 26, 2014 with over 100 volunteers involved.
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Shannon Point Rip Rap Removal Landowners Permission
Parks and Recreation Director Gary Robinson asked Council to authorize Mayor Gere to sign off on a
Master Permit Application and a Joint Aquatic Resources Permit Application (JARPA)Attachment A to
give the Northwest Straits Foundation permission to proceed with permitting the proposed rip rap removal
project at Shannon Point. Mr. Robinson briefly summarized the project proposal that was presented in
detail at the April 14, 2014 study session. He advised that the Foundation's Master Permit Application
would proceed to the Anacortes Planning Commission. Mr. Johnson moved, seconded by Mrs. Pickett, to
authorize Mayor Gere to sign the documents. Vote: Ayes—Walters, Pickett, Adams, Lovelett, Archibald,
Miller and Johnson. Motion carried.
Consent Agenda
Mr. Miller asked to remove Item 6e, Accept as Complete the Q Avenue Utilities Improvements Project
Contract No. 13-006-WTR-001 with Welch Brothers Construction, Inc., from the Consent Agenda.
Mr. Johnson moved, seconded by Mr. Adams, to approve the following Consent Agenda items. Vote:
Ayes— Pickett, Adams, Lovelett, Archibald, Miller, Johnson and Walters. Motion carried.
Approval of Vouchers/Cancellation of Checks
Council voted unanimously that the following vouchers/checks audited and certified by the City's Auditing
Officer(Finance Director) and subsequently reviewed and approved by the Council Finance Committee
on April 9, 2014 and April 16, 2014 are approved for payment as of April 21, 2014.
Claims
Check Numbers 72045 through 72197 in the total amount of$456,856.21
Payroll for April 18, 2014 in the total amount of$595,984.40
Check Numbers 39453 through 39481 in the total amount of$26,337.10
Direct Deposit Numbers from 53536 through 53728 in the total amount of$353,516.56
EFT Numbers from 1660 through 1666 in the total amount of$216,130.74
In the same motion Council:
Approved the minutes of April 7, 2014 and April 14, 2014 as if read;
Approved the Special Event Application for the Anacortes Farmers Market every Saturday from May
10 through October 25, 2014 except July 19 and August 2 from 6:00 a.m. to 4:00 p.m.;
Approved the Special Event Application for the Anacortes Waterfront Festival on June 7, 2014 from
10:00 a.m. to 6:00 p.m. and June 8, 2014 from 10:00 a.m. to 5:00 p.m.; and
Adopted Ordinance 2921 amending the 2014 Budget.
Accept as Complete: Q Avenue Utilities Improvements Project(13-006-WTR-001)
Mr. Miller questioned why the total paid to the contractor was less than the total contract amount. Mr.
Buckenmeyer said he would have staff clarify the figures for Council. He explained that the contractor had
already been paid and that the action item was to accept the project as complete so as to start the 30-day
time period for subcontractors to file liens on the project. Councilmembers said they appreciated the level
of detail in the Council memo but would like to have the corrected figures provided to them. Mr. Walters
moved, seconded by Mrs. Pickett, to accept as complete the Q Avenue Utilities Improvements Project
Contract 13-006-WTR-001 with Welch Brothers Construction, Inc. Vote: Ayes—Adams, Lovelett,
Archibald, Miller, Johnson, Walters and Pickett. Motion carried.
Red Cross Real Heroes Presentation
Mike Stamper, Executive Director of the Islands Chapter of the Red Cross and also Fire Chief of Guemes
Island Fire District#17, first thanked Mayor Gere and Fire Chief Richard Curtis for allowing Guemes
Island to purchase the surplus City of Anacortes fire pumper truck earlier in the year. He said the truck
had improved service on Guemes Island and would allow smooth and efficient mutual aid with the
Anacortes Fire Department. Mr. Stamper then invited the public to the Red Cross Real Heroes Banquet at
6:00 p.m. on Friday, May 2, 2014 at the Port of Anacortes Transit Shed. He said that the annual
fundraiser would recognize and honor volunteers and eleven groups or individuals as Real Heroes. Mr.
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Stamper encouraged everyone to come share the heroics of everyday members of the community. He
also thanked the community for its generosity with assistance following the Oso mudslide.
Contract Award: H Avenue Sanitary Sewer Special District-Welch Brothers Construction
Mr. Buckenmeyer requested Council approval to award a contract to construct the H Avenue Sanitary
Sewer Project—Special Sewer District 2014. Mr. Buckenmeyer said at the bid opening the prior week the
City received nine bids with the low bid from Welch Brothers Construction in the amount of$320,145.37.
He reported that the Engineer's Estimate was $369,660.80. Mr. Buckenmeyer recommended awarding
the contract to Welch Brothers. He noted that the plans, specifications and contract were all available on
the Builders Exchange website. Mr. Walters noted that the budget amendment adopted earlier in the
evening specified $375,000 for the project and asked what would happen with the extra funding since the
low bid was below$375,000. Mr. Buckenmeyer explained that the project would incur other costs
including geotechnical work but that any budgeted amounts not expended on the project would return to
fund balance. Mr. Walters said he would like to receive the large format bid tabulation for contract awards
in the future. Ms. Lovelett inquired whether street closures would be required during construction. Mr.
Buckenmeyer explained a realignment of the project that would possibly allow flagged traffic through the
site but said there would be travel delays. He advised that staff had mailed notice to all residents living on
and south of the project. Ms. Lovelett moved, seconded by Mr. Johnson, to approve awarding the
contract to Welch Brothers Construction, Inc. in the amount of$320,145.37. Vote: Ayes— Lovelett,
Archibald, Miller, Johnson, Walters, Pickett and Adams. Motion carried.
Contract Award: Q& R Paving Project - Phase 1 - Lakeside Industries, Inc.
Mr. Buckenmeyer requested Council approval to award a contract for the first phase of the Q/R Avenue
Paving Project. He said this middle segment of the project, stretching from 11 th Street to 21st Street, was
scheduled first to coordinate with the Port of Anacortes tank farm cleanup project to be performed in the
same area later in the summer. Mr. Buckenmeyer said at the bid opening the prior week the City received
four bids with the low bid from Lakeside Industries, Inc. in the amount of$198,854. He reported that the
Engineer's Estimate was $287,324 and noted the relatively low price of asphalt in the bids. Mr.
Buckenmeyer recommended awarding the contract to Lakeside Industries. Councilmembers inquired
about coordination with the Port project, the Pavement Condition Index for this stretch of road, the
distance to be paved, and the nature of the work and unit pricing for this type of 3-inch grind and overlay.
Mr. Adams moved, seconded by Ms. Lovelett, to approve awarding the contract to Lakeside Industries,
Inc. in the amount of$198,854. Vote: Ayes—Archibald, Miller, Johnson, Walters, Pickett, Adams and
Lovelett. Motion carried.
Public Hearing: Formation of Transportation Benefit District
Mr. Buckenmeyer recognized the efforts of City Engineer Eric Shjarback, Finance Director Steve Hoglund
and Senior Accountant Philip Steffen for assistance developing financial strategies, and City Attorney
Brad Furlong for drafting the enabling ordinance for the proposed Transportation Benefit District. He said
the Council Public Works Committee also helped develop the scenarios. Mr. Buckenmeyer suggested
that he would first present the background of the issue, then Council could conduct the advertised public
hearing, then he would be happy to answer questions while Council deliberated.
He refreshed Council and the audience on the worsening condition of streets nationally and locally,
pavement condition ratings of Anacortes roads, actual funding levels for street maintenance for the past
eight years, and scenarios for improving the conditions of Anacortes streets as reviewed in detail at the
Study Session on March 24, 2014. Mr. Buckenmeyer described how all the proposed funding scenarios
would prioritize maintenance of arterials and would not include SR20, which is a state highway
maintained by WSDOT. He also advised that$4.8M of grant funded street improvements in recent years
were built with state and federal funds that were restricted from use on maintenance and repair.
Mr. Buckenmeyer then reviewed the form and function of Transportation Benefit Districts, enabled by
RCW 36.73 to create independent taxing districts for the sole purpose of funding transportation
improvements. He said that since 2007, 58 cities in Washington have established TBDs including
neighboring Bellingham, Ferndale, Lynden, Stanwood and Arlington, all of which have chosen a .2%
sales tax option as their funding mechanism. As discussed at the March 24, 2014 study session, Mr.
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Buckenmeyer said that staff recommended establishing a TBD to consist of the city limits of Anacortes.
The City Council would be its governing board.
Mr. Buckenmeyer said that in additional to funds raised by the TBD, staff recommended the following
ongoing budget allocations for street maintenance beginning with the 2015 budget:
• Property tax of$100,000 with a 1% per year increase thereafter
• Sales tax of$100,000 with a 2% per year increase thereafter
• REET of$250,000 and half of projected REET revenue each year thereafter
• Sulfur mitigation payments estimated at$150,000 per year
He said this would yield a total of$600,000 dedicated to street overlays each year in addition to TBD
taxing authority and that all the TBD funding scenarios included this allocation base.
Mr. Johnson asked about the annual ongoing cost to maintain the streets of Anacortes if it were able to
bring them all up to an average PCI of 85. Mr. Buckenmeyer said staff estimated it would cost slightly
under$1 M per year to maintain streets at a PCI of 85. He explained that different streets required
maintenance and replacement at different rates depending on traffic and other factors.
Mr. Buckenmeyer then presented four street improvement options with their estimated cost to achieve
over the next ten years:
1) Improve all streets to PCI = 85: $64,000,000
2) Improve all streets to PCI = 76 (state average): $48,000,000
3) Maintain all streets at current PCI = 64: $19,600,000
4) Improve all minor arterials to PCI = 85, no work on local streets: $8,139,824
Mr. Walters observed that bringing streets to a PCI of 85 is important because according to the
consultant's report, at that condition streets can be maintained most cost effectively.
Next Mr. Buckenmeyer presented five funding scenarios, all of which would require presenting a single
type of tax to the voters for approval; all of which would include adding $20 car tab fees which does not
require voter approval to provide funding for ongoing maintenance; and all of which would include the
budget allocations described earlier in the evening.
1) Improve all streets to PCI = 85: $2.38/1000 property tax levy to fund a 10-year bond
2) Improve all streets to PCI = 76: $1.56/1000 property tax levy, no bond, for 10 years
3) Maintain all streets at current PCI = 64:
a) additional .2% sales tax (approximately$800,000/year) OR
b) $75 car tabs rather than $20 car tabs
4) Improve all minor arterials to PCI = 85, no work on local streets: $20 car tabs only
For comparison, Mr. Buckenmeyer displayed a list of property tax rates in surrounding cities and
demonstrated that at 1.98/1000 Anacortes currently has the lowest property taxes.
Mrs. Pickett proposed an additional roadway category for streets that are currently classed as"local" but
are workhorse streets for businesses, not residential streets, such as 30th Street east of R Avenue.
Mr. Johnson observed that the pavement consultant recommended concentrating on keeping good
streets in good condition but staff was focusing on improving all arterials to good condition and he asked
how those two priorities meshed. He also asked which streets would end up in Very Poor condition if they
were not addressed.
Mr. Miller asked what the PCI would be on Q/R Avenue after the overlay discussed earlier in the evening.
He also asked what other cities have done to fund keeping their streets at the state average of 76. Mr.
Miller echoed Mrs. Pickett's comment about important non-arterial streets.
Mr. Walters asked if Scenario 1 could be a 20-year rather than a 10-year bond. Mr. Buckenmeyer said
that significantly increases interest costs and also fails to fund street maintenance as fast as maintenance
is required. Mr. Walters suggested that the budget allocations and $20 tabs would fund that maintenance.
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Mr. Archibald said the citizens need to decide what level of streets they want to fund and if they are willing
to pay for streets with a PCI of 85 or maybe would settle for a PCI of 76. Mr. Buckenmeyer agreed that
the voters should decide. He said August 1 is the deadline to get a proposal on the November ballot.
At approximately 8:37 p.m. Mayor Gere opened the public hearing.
Gary Hagland, 2211 37th Court, observed that government's first impulse is to raise taxes and that it may
be absolutely necessary in this case but said he didn't like that City Council can create a Transportation
Benefit District without a vote of the public. He suggested it should be a referendum to the voters. He
asked who would be on the board. Mr. Hagland asked if the City had considered other options, such as a
hiring moratorium.
Dennis Clark, 3805 M Avenue, said he supported a TBD and said the City should aspire to do better than
the national average and achieve a PCI of 76. He said funding should come from taxing the people who
will benefit the most, who are the property owners, and added that property owners also have the
greatest impact on the roads. Mr. Clark said he favored the scenarios that include property tax and car
tabs. He said the sales tax scenario doesn't help the local retail sector and isn't fair to visiting shoppers
who aren't the ones wearing down the roads.
Warren Tessler, 1417 6th Street, said he was generally supportive of the TBD and agreed that property
taxes and car tabs are the way to go. He said roads are as basic an infrastructure as you can find and
they have to be in good shape to maintain the vitality of the community. Mr. Tessler urged that during
overlay projects the City should take the opportunity to incorporate bike lanes and striping to encourage
non-motorized transportation which offers not only health benefits and pollution reduction but also causes
much less impact on the roads than cars.
Jack Arrington, 5009 Croatian Way, said that over the last 4 years Anacortes received $4.8M in grants
that could only be spent on what the state allowed which he called social engineering while the roads
continue to deteriorate. He said no one is going back to the bureaucrats who are dictating projects
instead of maintaining roads. Mr. Arrington said there is no such thing as free money and asked Council
to rethink the concept of accepting millions of dollars for questionable projects that require the City to
keep staff it could otherwise cut.
Don Black, 5012 Kingsway, called himself a privatist and said it is impossible to reach the funding goals
of the TBD using only budget allocations. He supported fixing the roads and said it is important to look at
all the options. He said the vehicles contributing most to the degradation of the streets aren't being
targeted. Mr. Black urged Council to be imaginative, use a mix of funding options, and spread the burden
among those who have caused the problem. He said the governance of the TBD is extremely important
and must have accountability to the public. Mr. Black cautioned against setting up revenue streams that
don't end when the projects are finished.
David Lervik, 3711 West 11th Street, former City Engineer, said Anacortes used to spend $100K on
overlays each year. He said in 1998 they calculated that$300K per year would keep up the 105 miles of
Anacortes streets and Council had agreed to budget that. The City hired a consultant to calculate a PCI
for the entire city and the average then was 68. Mr. Lervik reported that not all streets deteriorate at the
same rate. Mr. Lervik said he was concerned by the $64M scenario which calls for spending nearly$30M
in the first year. He said you can't spend that much money that fast, that the staff or consultants required
to do that is staggering. Mr. Lervik questioned the suggested recovery plan in the pavement consultant's
report. Mr. Lervik asked what happens after ten years, after the $64M is spent, and it costs$1 M a year to
maintain the roads. He asked if everyone is comfortable with property taxes and car tabs to support roads
perpetually.
Marie Ibsen, 2307 Highland Drive, asked if the $4.8M grant was federal or state money. Mr.
Buckenmeyer said it was a mixture. Mrs. Ibsen said she'd like to see more options, something other than
Anacortes City Council Minutes April 21, 2014 5
fixing all streets or only arterials. She suggested that commercial industries should share the burden. She
added that$75 car tabs would be hard on low income people. She said she understood the need for
improvements but asked for more options.
No one else wishing to speak, at approximately 9:02 the mayor closed the public hearing.
Mr. Adams asked how long it would take for a road to go to total failure. Mr. Buckenmeyer said that at a
PCI of 30 to 40 a road is effectively failed.
Mrs. Pickett said some cities have opted to let residential streets go back to gravel and said that's an
option but she reminded that Council is the board of trustees for the City's assets and has to take action
to maintain the streets cost effectively.
Mr. Walters said the City ought to be shooting for a PCI of 85 for minor arterials and collectors because
those are important for commerce and for lowering the City's maintenance costs, but that's only 25 miles
out of 105. He said some other streets still have to be done, like M Avenue and 34th Street. He said those
need to be brought up to a PCI of 70. He said such a plan would be expensive but less than $64M. He
asked if developers can be made to improve some streets. He also suggested other ways to take care of
residential streets, maybe paving smaller width.
Ms. Lovelett reminded that timing is critical when taking the TBD to the voters because a school bond and
ferry levy for car tabs are also coming up. She asked which streets get the most complaints and said the
City should focus on the streets that people complain about. She stressed that before taking funding
options to the voters, they need to know which streets will be fixed when so they know what they are
voting for. She asked if heavy weight vehicles can be surcharged to help pay for the disproportionate
damage they cause. She asked about putting a fee in the utility bill to account for the damage sanitation
trucks cause to streets. She warned that car tabs will impact low income families. She suggested
prioritizing streets that also need storm drainage improvements.
Mayor Gere asked Mr. Buckenmeyer if the porous pavement used in Mount Vernon is more cost effective
than traditional asphalt. Mr. Buckenmeyer said pervious pavement is not typically used for high traffic
streets, more for parking lots. Responding to Ms. Lovelett's suggestions, Mr. Buckenmeyer said no matter
which scenario is taken to the voters, the street maintenance plan will have to be wrapped into the Capital
Facilities Plan including a list of streets and the sequence for addressing them. Regarding solid waste
fees, he said other cities have done that with their private waste haulers and the City can consider that as
contracts come up for renewal. He discussed leveraging utility funds against overlays, such as was done
along the Q/R Avenue corridor, which may affect the sequencing of street maintenance. Mr. Adams said if
the street maintenance plan is going to involve utility upgrades for each street it will require a much larger
budget.
Mr. Johnson referenced page 8 of the Pavement Management Plan and said that after 10 years of
repairing arterials only, Anacortes would still have a lot of Very Poor streets. He questioned spending a
bunch of cash but still having so much deferred maintenance backed up.
Mr. Walters urged a holistic approach to streets, considering regulations to minimize damage to streets,
adopting different street standards in different neighborhoods to reduce costs, etc.
Mayor Gere recommended continuing the discussion at the next Council meeting and thanked Council
and the public for the good discussion. Mr. Buckenmeyer advised that the topic was on the agenda for the
April 28, 2014 study session. Ms. Lovelett encouraged those present to bring friends and neighbors to
help generate more ideas.
There being no further business, at approximately 9:30 p.m. the regularly scheduled Anacortes City
Council meeting of April 21, 2014 was adjourned.
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