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Council Study Session Minutes—April 12, 2010
At 7:30 p.m. Mayor Maxwell called the regularly scheduled study session of April 12, 2010 to order.
Kevin McKeown, Nick Petrish, Erica Pickett, Brad Adams, Bill Turner, Cynthia Richardson and Brian Geer
were present.
Proclamation: Kiwanis Thrift Shop Day
Mayor Maxwell read a proclamation declaring April 17, 2010 to be Kiwanis Thrift Shop Day to celebrate
the success of the Thrift Shop that has operated since 1986 and has raised two million dollars in that time
to support individuals of all ages and projects throughout the community. Mrs. Richardson noted that
everyone is invited to a block party from 11:00-2:00 in front of the shop on April 17 to celebrate.
Well City Award
Human Resources Director Emily Schuh announced that the City will receive the Well City Award from
the Association of Washington Cities for the 7th consecutive year. If this pattern continues through 2012,
the AWC Benefit Trust will give the City a 2%discount on the Regence health insurance plan premiums
for employees and their spouses. Ms. Schuh credited the City's Human Resources Generalist Lynn
Barber with creating a strong and active Wellness Committee that includes members from every City
department and has helped the City to achieve this award year after year. According to Ms. Schuh
studies have shown that every dollar spent on wellness saves four dollars on health care costs. She
thanked Mayor Maxwell and City Council for their support of the employee Wellness Program.
First Quarter 2010 Finance Update
Finance Director Steve Hoglund presented a series of slides summarizing the financial condition of the
City at the end of the first quarter. The investment Compliance Report summarized the diversification and
maturity period of the approximately$32M currently invested and demonstrated that all the City's
investments are compliant with all aspects of its investment policy. Mr. Hoglund reviewed General Fund
Revenues by line item, reporting that licenses and permits, intergovernmental revenues and fines are up
slightly over projections and charges for goods and services and miscellaneous revenue are right on
target. He said tax revenue is down slightly only because the City doesn't receive its first half property
taxes until May. The report on General Fund Expenditures showed YTD expenditures just under
projected overall including some front loaded expenditures that have already been incurred for the year.
Turning to Sales Tax Revenue, Mr. Hoglund noted an increase over prior year for three months in a row
which hasn't happed since January 2008 and is a very positive trend. He added that Streamlined Sales
Tax has provided 2.6% of the City's total retail sales tax and is helping the bottom line. Mr. Geer asked
which way SST is trending. Mr. Hoglund replied that if anything he would expect it to go up. Mr. Hoglund
then reported that Real Estate Excise Tax (REET) revenue has increased for two months in a row over
prior year which hasn't happened since December 2006 and will provide revenue for public works
projects. He added that impact fees are at a healthy rate for the year so far which reflects the increase in
building permits and will help fund streets, parks, and fire equipment. Finally Mr. Hoglund reviewed
revenues and expenditures by fund. Funds that are primarily dependent on property taxes are still
pending the first half property tax payment which will be received in May; except for that most funds are
right on target after accounting for front loading He explained that the notable exception, Fund 105
(Arterial Street), reflects expenditures for the 6 h Street improvements which will be reimbursed by Federal
grant money but reimbursements always lag behind expenses. He concluded that the enterprise funds
are meeting projections. Overall the revenue to expenditure ratio is favorable, said Mr. Hoglund. He
advised that he would be bringing back a first quarter budget amendment to the April 19, 2010 regular
City Council meeting.
North Bend Firefighter Training Process
Fire Chief Richard Curtis presented an overview of the City's firefighter training process. He reported that
the newest firefighter, Jacob Jones, is currently in week 10 of 12 at the academy and is doing very well
there. Chief Curtis explained that the City sends all new professional firefighters who have not already
been trained to the North Bend Firefighter Recruit Academy for 480 hours (12 weeks) of accredited hands
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on and classroom training. The City prefers to hire paramedics, ideally with a year of field experience, and
then have them trained as firefighters because it is more economical. Volunteer firefighters receive about
one quarter of the training achieved by the professionals and do so at the local County recruit academy.
Chief Curtis said the state used to provide firefighter training in the field but that was cut nearly 20 years
ago so now cities have to sponsor training programs. He said the North Bend Academy graduates three
classes each year; Mr. Jones will graduate on April 23. Academy costs have increased recently due to
state funding cuts. Currently tuition is about$4000. Firefighters live and take meals on site during the
week then travel home for weekends so the total costs is about$6,000 plus payroll costs. He noted this
was less than half of what it would cost to send a new hire for paramedic training. Chief Curtis then
reviewed the extensive list of firefighting and hazardous materials awareness and operations skills that
recruits must master at North Bend and the many specialized props available there to simulate a wide
range of emergency scenarios. After firefighters graduate from the Academy they are on probation for
one year while they learn many City-specific procedures and receive additional certifications on City
equipment.
Chief Curtis said that even veteran firefighters must have annual live fire training. If no suitable local site
is available the North Bend Academy provides facilities for that and crews travel to North Bend in a fire
engine for the day of training. Chief Curtis said this is very expensive and invited the community to
contact him if anyone is considering demolishing a building that might be suitable for local live fire
training.
Mrs. Richardson asked about retention of firefighters. Chief Curtis said recruits come to Anacortes
because this is a wonderful community to live in and the department provides good training so retention is
very high. In response to a question from Mr. Adams, Chief Curtis said the Anacortes Fire Department
has a higher percentage of firefighter/paramedics on the force than other cities and operates a two-
paramedic system for the most part. Mr. Petrish asked which firefighters are trained to drive the
firefighting equipment. Chief Curtis said each crew has an officer and a driver assigned but that the
department is highly cross trained and staff do rotate.
There being no further business, at approximately 8:20 p.m. Mayor Maxwell adjourned the regularly
scheduled study session of April 12, 2010.
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