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HomeMy WebLinkAbout2003 City Council Minutes1723 January 6, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, January 6, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. Minutes of Previous Meetings Mr. Brown moved, seconded by Mr. Sizemore to approve the minutes of December 16, 2002 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Mayor Maxwell announced that Mr. Christiansen's tree plaque has been located. Citizen Hearinqs Long-time Anacortes resident and home owner Mr. John Hammonds, 615 Hillcrest, addressed the Council. He requested that the Council review parking regulations with the thought of limiting on -street parking in front of residences to the occupants. The Mayor invited Mr. Hammonds to meet with him to address a chronic parking problem in Mr. Hammond's neighborhood. Mayor/Council Communication6 naisivivieioioioiaivioivroioirivivuuisiiiruuiririsui� The Mayor introduced a press release announcing that the Anacortes Water Treatment Plant has achieved an outstanding record of 20 years of service without any time lost to accidents. On Thursday, January 9th at 10:00 a.m. the Mayor, Safety Committee, and Council will honor the Plant Manager, Mr. Willie LaRue and his crew at the water treatment .plant. The plant, located on Riverbend Road in Mt. Vernon on the east bank of the Skagit River produces an average of 17,000,000 gallons of drinking water per day. The Mayor then turned to the ongoing Emergency Medical Services contract negotiations. Skagit County Commissioners are working to resolve the outstanding issues and a 2003 contract is being developed. Mrs. Richardson thanked the Mayor, Councilmen Sizemore and Brown, and Mr. Ian Munce, City Attorney, for their dedication to protecting the EMS services for our area. The Mayor also highlighted the contributions of Fire Chief Richard Curtis and Assistant Chief Dan Harju for their technical assistance and support. Representing the third Ward, Mr. Carlisle recommended the reappointment of Mr. David Staton to the City Improvement Board. Mrs. Richardson so moved, seconded by Mr. Rock. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Mr. Carlisle then gave a favorable report on the new recycling program. Mrs. Richardson asked for Council volunteers to sit in on the Finance Committee during her absence in February. Consider Acceptance of Segments 1 and 2. 36 -inch Waterline Mr. Bob Hyde, Director of Public Works, presented a request to Council for acceptance of Segments 1 and 2 of the 36 -inch waterline project. Both projects were awarded to RCI Construction Group and both projects are complete and in full service. The final cost for Segment 1 is $3,666,622.70 with tax, and the final cost for Segment 2 is $1,039.584.36 with tax. After discussion, Mr. Christiansen moved, seconded by Mr. Rock, to accept Segments 1 and 2 of the 36 -inch Waterline project as complete thereby initiating the mandatory 30 -day lien period. If no valid liens are filed any retainage now held will be released to the contractor. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Consent Agenda Mrs. Richardson moved, seconded by Mr. Sizemore to approve the following Consent Agenda item. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on December 19, 2002, December 26, 2002, and January 2, 2003 for payment as of this date, January 6, 2003. Council vote was unanimous. Claims Warrants Jan, 2002: Warrant Numbers 20501 through 20698 in the total amount of $539,231.11 Prewritten Claims Dec/Jan: Warrant Numbers 20495 through 20499, and 20500 in the total amount of $115,304.71 Pavroll # 1 for December in the total amount of $373,774.62 Warrant Numbers 22414 through 22486 in the total amount of $77,551.10 Direct Deposit Numbers 5530 through 5670 in the total amount of $190,018.08 EFT Numbers 126 through 129 in the total amount of $106,205.44 1726 January 6, 2002 -- continued Pavroll # 1 for December in the total amount of $512,244.77 Warrant Numbers 22487 through 22567 in the total amount of $192,274.69 Direct Deposit Numbers 5671 through 5829 in the total amount of $204,626.60 EFT Numbers 130 through 134 in the total amount of $115,343.58 Public Hearing: Vacation of Portion of "O" Avenue — Port of Anacortes Mayor Maxwell opened the Public Hearing to review and make a decision on a Petition to Vacate a portion of "O" Avenue submitted by the Port of Anacortes. Mr. Ian Munce, Planning Director, reviewed the standard practice to first refer Vacation Petitions to the Board of Adjustment for Public Hearing and recommendation to Council. As part of that process the petitioner, neighbors, and concerned citizens offer testimony on the merits of the proposal. The Board recommended approval subject to a revised legal description and the Port revised its proposal to address issues raised during the BOA pubkc hearing. Mr. Bob Elsner, Port of Anacortes, used an overhead display highlighting the area to be vacated. By way of background he explained that a tideland survey was required as part of the Port's Management Agreement with the Department of Natural Resources. The survey revealed that the Port did not own a portion of the "O" Avenue right-of—way; ownership of the right-of-way would allow for Port management of the area from the inner to outer harbor line. Port dolphins and piers have been constructed in that area; the DNR instructed the Port to resolve this ownership issue adjacent to the inner harbor line. The Port's initial proposal to the Board of Adjustment was for the entire portion of "O" Avenue north of 2nd Street. The Board recommended approval of a vacation of just that portion of 'O" Avenue that would meet the requirements of the DNR Management Agreement. On a question from Mr. Petrish, Mr. Elsner explained that the vacation will not block pubtic access from Commercial Avenue to "0" Avenue and to the beach area. Mr. Munce clarified that should Council approve the title transfer of this right-of-way, the City would retain easements for maintenance of the stormsewer outfall and for public access. An Ordinance reflecting this action and all easement documents would be brought back to Council for final review and approval. Mrs. Richardson stressed the need to safeguard public access. Mr. Tom Stowe, P.O. Box 847, Anacortes, said that he didn't oppose the vacation as proposed originally or as amended but requested a public forum to discuss potential public access issues. There were no further comments and the Mayor declared the Public Hearing closed. After discussion, Mrs. Richardson moved, seconded by Mr. Brown, to direct staff to prepare an ordinance approving the vacation of a portion of "O" Avenue as described in "Exhibit A", December 10, 2002 revision to petition for street vacation submitted by the Port of Anacortes. Further, Ordinance and stormsewer and public access easement language will be brought back for Council and public review. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Hazard Mitigation Planning: Resolution Mr. Ian Munce, Planning Director, presented a Resolution to Council for review and adoption. The Resolution recites that a mitigation plan is required for the City and city residents to qualify for federal disaster relief monies. Further, the Resolution authorizes the preparation of a plan, in-kind assistance from City staff, and final action from the City Council. Mr. Munce was unaware of any direct cash contribution requested for this work. Mr. Ed Frank, Building Official, explained that communities are required to function in a manner that will reduce risk due to any natural hazard including wind or winter storms, tsunamis, earthquakes, and the like. After discussion, Mr. Sizemore moved, seconded by Mr. Brown, to adopt Resolution No. 1621 authorizing the City's participation in the development of a multi -jurisdictional all hazard mitigation plan consistent with the Federal Emergency Management Agency's (FEMA's) National Flood Insurance Program community rating system. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. At approximately 8:45 p.m. Mayor Maxwell continued the regularly scheduled meeting of January 6, 2003 to Monday, January 13, 2003 at 7:30 p.m. for the purpose of conducting a public hearing on a petition to vacate a portion of the alley in Block 24, Anacortes Original (Majestic Hotel proposal) and to consider the 2003 EMS Contract. Cl - 4," 101X� ge Kh ian, City Clerk -Treasurer H. Dean Maxwell, Maygf ember 4Im1 r 1727 January 13, 2003 (January 6 continued meeting) Mayor Maxwell called the continued meeting to order at 7:30 p.m. Roll call found present: Ray Sizemore, Cynthia Richardson, Terry Christiansen, Nick Petrish, Bill Carlisle, Bud Rock, and Ken Brown. Public Hearing — Petition to Vacate a Portion of the Allev in Block 24, Anacortes Oriqinal — O'Brock The Mayor opened a public hearing on a petition to vacate a portion of the alley in Block 24, Anacortes Original. He then explained that additional information was necessary and the City was encouraging the applicant to work with the adjacent property owners. Under these circumstances the hearing was continued to February 3, 2003. EMS Contract Proposal for 2003 Richard Curtis, Fire Chief, presented a draft EMS Contract Proposal for 2003. He explained the basic terms of the County's proposal and the counterproposal that had been developed by the Mayor and the Public Safety Committee. After discussion, Mr. Sizemore moved that City Council recommend the EMS Contract Proposal currently before the City Council to the County Commissioners for approval. The motion was seconded by Mr. Brown and passed unanimously. There being no further business, the meeting adjourned at 7:40 p.m. Geo a Khtaan, Cit X, %��, A, 7A,,L44� H. Dean Maxwell, Mayo 0 _borti m ber 1728 January 21, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Tuesday, January 21, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, and Cynthia Richardson. Absent: Bud Rock. Roll Call was followed by the Pledge of Allegiance. Minutes of Previous Meetinqs Mr. Christiansen asked to amend the minutes of January 6, 2003 as follows: page 2, last paragraph: "After discussion, Mrs. Richardson moved, seconded by Mr. Brown, to appFeue direct staff to prepare an Ordinance approving the vacation of a portion of "O" Avenue"... With that correction, Mr. Petrish moved, seconded by Mr. Sizemore to approve the minutes of January 6, 2003 and January 13, 2003. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, and Carlisle. Motion carried. Citizen Hearinqs No citizens present wished to testify on matters not on the agenda. �jJr/%r h%r�9rPlrL7l ww71p71714 //m.'7/YVle7/M"iY1E7rr1rW R7147147W71AM717rG p/ Wayor/Council Communication ovivoi�oivivioivvvivividvrvioiviviviviviviviviviai i Mayor Maxwell asked Council to confirm Mrs. Emily Schuh as the City of Anacortes Human Resource (HR) Director. The Mayor commended the HR Department for its contributions to the City. With that, Mr. Brown moved, seconded by Mr. Sizemore to confirm Mrs. Emily Schuh as the Human Resource Director for the City of Anacortes. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Carlisle, and Petrish. Motion carried. The vote was followed by enthusiastic applause. The Mayor then turned to a Proclamation proclaiming January 30, 2003 to April 4, 2003 as the City's celebration of the season for non-violence. Councilmembers suggested that promotion of peace be a year-long activity with automatic annual renewal. The Samish Tribe arranged a dinner meeting with the City Council for February 10, 2003, 6:00 p.m. at the Fidalgo Bay Resort/RV Park clubhouse. There will be an open meeting/work session following dinner. The Mayor announced the City of Anacortes received a commendation from the Anacortes/San Juan Island Chapter of the Red Cross for having made a significant contribution in the workplace and community as a provider of American Red Cross health and safety programs. City of Anacortes employees have been trained in several areas including first aid, CPR, and bloodborne pathogens. The Mayor concluded with a report on a parking issue brought to the Council on January 6, 2003. At that meeting a concerned citizen asked the Council to limit parking in front of residences to the occupants. The Mayor researched the issues raised, made site visits, and concluded that the suggested prohibition would not be enforceable. Resolution: Newspaper Notice Bid Award Mr. George Khtaian, Finance Director, presented Council with a Resolution naming the Anacortes American as the official City newspaper for the year 2003. Mr. Christiansen moved, seconded by Mr. Brown, to adopt Resolution No. 1622 entitled "A Resolution Naming Official City Newspaper for Year 2003". Vote: Ayes — Brown, Christiansen, Richardson, Carlisle, Petrish, and Sizemore. Motion carried. Software Purchase Contract: Utilitv Billina and Licensinq Mr. George Khtaian, Finance Director, asked for Council approval of the contract with Eden Systems for acquisition of Utility Billing and Licensing modules. After discussion, Mr. Carlisle moved, seconded by Mr. Petrish, to authorize the Mayor to enter into a software licensing agreement with Eden Systems, Inc. in the total amount of $90,020. Vote: Ayes — Christiansen, Richardson, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Consent Agenda Mrs. Richardson moved, seconded by Mr. Sizemore to approve the following Consent Agenda item. Vote: Ayes — Richardson, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on January 9, 2003 and January 16, 2003 for payment as of this date, January 21, 2003. 1729 January 21, 2003 - continued Claims Warrants Jan, 2003: Warrant Numbers 20700 through 20879 in the total amount of $743,713.94 Prewritten Claims Jan, 2003: Warrant Number 20699 in the total amount of $6,629.68 Payroll # 1 for January in the total amount of $390,427.33 Warrant Numbers 22568 through 22643 in the total amount of $78,868.73 Direct Deposit Numbers 5830 through 5971 in the total amount of $199,857.08 EFT Numbers 135 through 138 in the total amount of $111,701.52 Resolution: Deception Shores Intertie Agreement Mr. Bob Hyde, Director of Public Works, presented Council with a Resolution authorizing an agreement between the City of Anacortes and Deception Shores to provide water to the 33 -unit Deception Shores subdivision located across from Pass Lake and south of Highway 20. Mr. Hyde explained that the City will not supply infrastructure to the subdivision but will provide an intertie and meter. The agreement before Council has been structured around that premise. Further, the agreement calls for provision of water in perpetuity. A fee structure was developed specific to this project. The Finance Director, Mr. George Khtaian, then introduced a new financial analysis and proposed language changes prepared by the City's consultants, EES. The new information addressed residential rates and capacity charges based on a 10,000,000 - gallon annual commitment. Mrs. Kathleen Brown, representing Deception Shores, asked for an opportunity to review the new information. The matter will be brought back to the Council on January 27, 2003. Award Bid: Carpetinq — Municipal Buildinq Main Floor Mr. Russ Pittis, Facilities Manager, asked for authorization to replace the carpet on the main floor of the Municipal Building. Of the three quotes received Abbey Carpet submitted the lowest bid in the amount of $10,390.55. The existing carpeting is in 3 x 3 squares with sever adhesive problems. With that, Mrs. Richardson moved, seconded by Mr. Petrish, to award the main floor carpet replacement project to Abbey Carpet of Mt. Vernon in the amount of $10,390.55. Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. Closed Record Meetinq — Anacortes District Portable Classrooms — Conditional Use Mayor Maxwell continued this matter to Tuesday, February 18, 2003. Closed Record Meetinq — Margaret Jones Estate — Conditional Use — 6,000 sq ft Lots in the R 2 Zone Mayor Maxwell initiated the Closed Record meeting for a Conditional Use application submitted by the Margaret Jones Estate to use four 30' x 100' lots for two single family residences at West 7th Street and Kansas, Lots 5 through 8, Block 1113, Northern Pacific Addition. Mr. Ian Munce, Planning Director, explained that the minimum lot size in the R 2 Zone is 7,500 square feet. This minimum was established in 1978 as part of a revision to the City's Zoning Ordinance; prior to 1978 the minimum lot size was 6,000 square feet. To address this potential loss for some property owners, the Council later added a Conditional Use to the R 2 zone that in certain clearly defined circumstances, property owners prior to 1978 could apply to use a 12,000 square foot parcel for two building sites. The Conditional Use process establishes that a use will not have a detrimental effect on the neighborhood. This process also allows for Council discretion to add conditions specific to each circumstance. Mr. Munce then recapped the 3 to 4 previous applications utilizing this Conditional Use method. The Planning Commission reviewed this matter in Open Record Public hearings. The neighbors testified that this use would not be an addition to the neighborhood. The applicants offered that two stick -built single family homes would contribute positively to the neighborhood. The Planning Commission recommended approval with conditions and two appeals were filed. Mr. Per Lea, appellant, 3614 West 8`h Street, asked Council to limit the height of any structure constructed on these two sites. Mr. Dennis Cole, appellant, 3702 West 8`h Street, asked for a height restriction, conventional lot orientation, and stick built homes. Mr. Marvin Sterner, 24412 SE 17th Place, Sammamish, applicant, pointed out that the height restriction in this zone is 35' and other construction in the area will affect the view of both properties. Mr. Carlisle reviewed two of the Conditional Use applications previously reviewed by the Council. After a short break Council discussion followed regarding: future development in this area; appropriate setbacks; standards for undeveloped streets and utilities; potential for other such applications in the future; 6,000 square foot lots as adequate building sites; and need for affordable housing. After discussion, Mrs. Richardson moved, seconded by Mr. Brown, to approve the Conditional Use subject to the conditions recommended by the Planning Commission to allow for two 6,000 square foot building sites in the R 2 zone. Mr. Carlisle discussed the neighborhood concerns and spoke against the motion. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, and Richardson. No — Carlisle. Motion carried. 1730 January 21, 2003 -- continued Spinnaker Cove: Proposed Desitin Mod-ffi"tion Mr. Ian Munce, Planning Director, subrnitted W. Nets Strandberg's proposal to modify the Council -approved Spinnaker Cove PreliminaryPlat. Located at Anaco Beach Road and Sunset Avenue, the project includes a substantial detention pond to be constructed in the southwest corner of the development. The Plat calls for the detention pond to drain into the existing storm water system on Sterling Drive through an easement. A number of neighbors testified against this system during the Preliminary Plat public hearings. Subsequently, City Engineering staff and Mr. Strandberg met to discuss design alternatives. As a result of these negotiations staff proposes: eliminating the proposed Spinnaker detention pond; using, instead, the adjacent Meridian Court detention pond; and accepting a $30,000 contribution from the developer toward the Skyline area detention system. In exchange, Mr. Strandberg requests that the area designated "detention pond" be converted to two additional building sites. Neighbors within 300' of the project site were notified oT #his. proposal. The Planning Commission unanimously recommended approval to City Council. -Mr. Strandberg, 4504 Sea Otter Lane, answered questions from Council. Mrs. Richardson complimented Mr. Strandberg on his willingness to creatively solve development challenges. After discussion, Mr. Sizemore moved, seconded by Mr. Christiansen, to approve the modification to the Spinnaker Cove Preliminary Plat as follows: add Spinnaker Cove to the Meridian Court detention system; accept a $30,000 contribution to the City for water quality control improvements, and to allow the creation of two building lots where the detention pond used to be. Vote: Ayes - Sizemore, Brown, Christiansen, Richardson, Carlisle, and Petrish. Motion carried. . Forest Ridqe Phase II Final Plat Mr. Ian Munce, Planning Director, presented the Forest Ridge Phase II Planned Unit Development Final Plot to Council for review* and approval. Phase 11 of Forest Ridge consists of 6 duplex buildings. Phase I is complete and has final plat approval. The site is west of "D" Avenue with 23� Street as the main access. The Public Works Department reviewed the Final Plat and recommends bonding as follows: (1) Two-year Maintenance Bond at 10% of total construction costs, and (2) Performance Bond at 150% of estimated cost of remaining work ($16,800). The Planning Commission voted unanimously to recommend approval of the Final Plat subject to the bonds. After discussion, Mr. Christiansen moved, seconded by Mr. Sizemore, to approve the Forest Ridge Phase II Planned Unit Development Final Plat subject to the Performance Bonds recommended by Public Works. Vote: Ayes - Brown, Christiansen, Richardson, Carlisle, Petrish, and Sizemore. Motion carried. Cedar Glen II Development: Street Name Chanqe - W. 33`d to Jasper Wav Mr. Bob Hyde, Director of Public Works, presented an Ordinance to Council for review and approval. The Ordinance directs "that certain street situated off the Southwest corner of Tuttle & Buckley's Addition to Anacortes, extending west to the north end of Kingsway in Skyline Division # 12 be changed in name from 33rd Street to Jasper Way." The Fire, Police, and other City departments reviewed the name change and recommended approval. With that, Mr. Carlisle moved, seconded by Mrs. Richardson, to adopt Ordinance No. 2611 entitled "An Ordinance Changing the Name of a Certain Street". Vote: Ayes - Christiansen, Richardson, Carlisle, Petrish, Sizemore, and Brown. Motion carried. "H" Avenue Wideninq Proiect - Right-of-Wav Acquisition Mr. Bob Hyde, Director of Public Works, presented a request for the procurement of right-of-way at "H" Avenue between 32nd and 41St Streets. The proposal is to move the Ace of Hearts of Creek and embellish the Creek near 41St and to widen the road. Questions followed on the proposed street construction design. With That, Mr. Sizemore moved, seconded by Mr. Brown, to approve the offers for the Bowen, Littlefield, and Haines properties, in the amount of $25,907.00 as outlined in a January 21, 2003 Memorandum from Mr. Bob Hyde, to the City Council and Mayor. Vote: Ayes - Richardson, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. At approximately 9:45 p.m. Mayor Maxwell continued this meeting to Monday, January 27, 2003 at 7:30 p.m. in order to conduct a public hearing on the City of Anacortes Comprehensive Plan/Zoning Amendments and to review the Deception Shores Intertie Agreement. /,�/ Ce�_ Ge Khta' n, City Clerk -Treasurer --/� A.,Q-W"L� H. Dean Maxwell, Mayor/ ber 1731 Continued Meeting of January 21, 2003 -- January 27, 2003 The Mayor called the continued meeting to order at 7:30 p.m. Roll call found present: Nick Petrish, Bill Carlisle, Bud Rock, Ken Brown, and Terry Christiansen. Absent: Ray Sizemore and Cynthia Richardson. The Mayor opened the meeting by announcing that the City had received a $5,000 check from the Shell Oil Company for the ACFL Conservation Easement Program. He expressed the City's appreciation for this gift towards what had become an extremely successful program. Appointment to Emeraencv Medical Services Commission After discussion, the Council agreed to appoint Councilman Ken Brown to the newly formed Emergency Medical Services Commission. This action was taken on a motion by Mr. Rock, seconded by Mr. Petrish, and passed unanimously. Volunteer Park Fast Pitch/Little Leaaue Field Presentation Mr. Gary Robinson, City Parks and Recreation Director, announced that the City was to be the recipient of a gift from the Marguerite H. Daniels endowment fund in the form of a matching grant for up to $250,000 to provide an all-weather surface, lights, and other improvements for the fast pitch/little league field at Volunteer Park. Mr. Don Daniels explained to those present the details of the project. The Mayor and Councilmembers expressed their sincere gratitude to Marguerite and Don Daniels for this most generous gift, highlighting how much increased use of the existing field would be possible with these improvements. Presentation of 36 Inch Waterline Route Studv. Seqments 5 & 6. East End/Montgomery Watson Harza Mr. Bob Hyde, City Public Works Director, and Ms. Wendy Gibble, from City Consultants Montgomery Watson, described the options for the 36" waterline adjacent to the water treatment plant. They described the pluses and minuses of four different alternatives in some detail. No action was taken. Resolution: Deception Shores Intertie Agreement Mr. Bob Hyde, City Public Works Director, presented a resolution establishing the terms for the Deception Shores Project, a project located adjacent to Deception Pass. After considerable discussion of the details involved, Mr. Brown moved that Resolution #1623 be adopted. The motion was seconded by Mr. Petrish and passed unanimously. Public Hearing: 2002 Comprehensive Plan and Development Reaulations Amendments The Mayor then opened a public hearing on the 2002 Comprehensive Plan and Development Regulations Amendments. The Planning Director, Mr. Ian Munce, described the background to each of the 15 proposals together with the Planning Commission's recommendation. During the public testimony portion of the hearing, Mr. Ross Barnes argued that the current language regarding standard gauge rail be retained in the City planning documents. The Mayor continued the public hearing until February 18 for further public testimony and possible City Council action. The meeting adjourned at approximately 9:00 p.m. Zl-< - orge taian, City Clerk -Treasurer l4. A . 7&&4�4, H. Dean Maxwell, Mayor ember laAk� /73� d 1734 February 3, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, February 3, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, and Bud Rock. Absent: Cynthia Richardson. Roll Call was followed by the Pledge of Allegiance. The Mayor then asked everyone to reflect for a moment to honor the 7 crewmembers of the Columbia space shuttle. Minutes of Previous Meetinqs Mr. Brown moved, seconded by Mr. Sizemore, to approve the minutes of January 21, 2003 and January 27, 2003 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Rock, and Carlisle. Mr. Rock abstained from voting on the minutes of January 21, 2003. Motion carried. Citizen Hearings No citizens present wished to testify on matters not on the agenda. r- ---- ----i sr—u-isiiiii iiu ir�a.iru�o Mayor/Council Communication; :ri>.7r�>issiiirsyr.�rvner,.rrwrvirrra:rsrirru-rsrrvrrsx.Krwi�Nr The Mayor introduced Kari Newmeyer from the Skagit Valley Herald, Nancy Walbeck from the Anacortes American, and Beverly Ann Benedict from What's Really Happening. The Mayor then turned to two Proclamations: (1) Proclaiming Tuesday, February 11, 2003 as the City's celebration of the Arts Day, 2003; and (2) Proclaiming February 1 through February 7, 2003 as Toastmasters Week in the City of Anacortes. The Mayor announced that representatives of the Tall Ships event will address the Council on February 18, 2003. Plvwood Mill Cleanup: Additional Fundinq Mr. Ian Munce, Director of Planning and Community Development, requested Council acceptance of a new grant award from the Department of Community, Trade and Economic Development to cover administrative costs through to completion of the Plywood Mill cleanup project. Mr. Munce outlined some of the remaining cleanup tasks including DOE review and finalization of a Draft Cleanup Action Plan, and signing a Purchase and Sale Agreement with Anacortes Joint Ventures. The initial grant of $68,000 has been spent; the State recognizes the complexities of this project and has offered art additional $60,000 grant. With that, Mr. Rock moved, seconded by Mr. Brown, to accept the Department of Community, Trade and Economic Development $60,000 grant award. Vote: Ayes — Sizemore, Brown, Christiansen, Rock, Carlisle, and Petrish. Motion carried. Acceptance of South March Point Road Utilitv Extension Project Mr. Bob Hyde, Public Works Director, announced the completion of the South March Point Road Utility Improvement Project. The project was initiated to provide drainage culverts, potable water, and sanitary sewer to the T. Bailey site on South March Point Road. The contractor, Trico Contracting, Inc. installed 830 feet of sewer main extension, 500 feet of 12 -inch potable water main and appurtenances, and replaced inadequate culvert pipe under South March Point Road. After discussion, Mr. Christiansen moved, seconded by Mr. Rock, to accept the project as complete thereby initiating the mandatory 30 -day lien period. If no valid liens are filed retainage now held by the City will be returned to the contractor. Vote: Ayes — Brown, Christiansen, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Consent Agenda Mr. Rock moved, seconded by Mr. Sizemore moved, seconded by Mr. Sizemore to approve the following Consent Agenda item. Vote: Ayes — Christiansen, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on January 23, 2003 and January 30, 2003 for payment as of this date, February 3, 2003. Claims Warrants Jan, 2003: Warrant Numbers 20883 through 21043 in the total amount of $602,258.98 Resolution: Library Bond Reduction (Taxoaver Rebate) Mr. George Khtaian, Finance Director, presented a Resolution to Council for review and adoption. If approved the Resolution would authorize an annual rebate to the taxpayers through property tax levy reduction on scheduled Library bond debt service payments. This action incorporates a $500,000 cost savings on the library building construction and will reduce the 1735 February 3, 2003 -- continued annual debt service requirement to be paid from property taxes over the remaining 17 -year life of the bonds. With that, Mr. Brown moved, seconded by Mr. Sizemore, to adopt Resolution No. 1624. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Public Hearina: Vacation of Portion of the Allev in Block 24. Anacortes Oriqinal — O'Brock (Continue to February 18. 2003) Mayor Maxwell continued the Public Hearing on a Petition to vacate a portion of the alley in Block 24, Anacortes Original, to Tuesday, February 18, 2003. Resolution: Emeraencv Communications: Ballot Measure Mayor Maxwell introduced a Resolution for Council review and adoption. The Resolution expresses the City's support for the adoption by the voters of Skagit County of an additional sales and use tax in the amount of 1/10 of one percent, to support emergency communications for fire and police. Mr. Sizemore, Chair, Public Safety Committee, reviewed the Resolution and recommended approval. The Mayor emphasized that this tax support would be used towards police and fire personnel, equipment, and facilities. With that, Mr. Sizemore moved, seconded by Mr. Brown, to adopt Resolution No. 1625. Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Christiansen, and Rock. Motion carried. At approximately 8:00 p.m. the Mayor continued the meeting to Monday, February 10, 2003 at 6:00 p.m. to meet with the Samis Indian Nation Council at the Weaverling Spit RV Park. Geor Khtaia6, City Clerk -Treasurer H. Dean Maxwell, Mayq Councilmember February 10, 2003 — continued meeting of February 3, 2003 At 600 p.m. Mayor Maxwell called the continued meeting of February 3, 2003 to order. The meeting site was the Fidalgo Bay Resort RV Park at Weaverling Spit. Roll call found present: Bill Carlisle, Nick Petrish, Ken Brown, Terry Christiansen, and Bud Rock. Absent: Cynthia Richardson and Ray Sizemore. The Council held an informal discussion with the Samish Indian Nation Council. No action was taken. At approximately 8:00 p.m. Mayor Maxwell adjourned the continued meeting of February 3, 2003. 0 G e Kht ' n, City CI k -Treasurer H. Dean Maxwell, May �0 -1� Councilmember 1736 February 18, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Tuesday, February 18, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, and Bud Rock. Absent: Cynthia Richardson. Roll Call was followed by the Pledge of Allegiance. Minutes of Previous Meetinqs Mr. Petrish moved, seconded by Mr. Rock, to approve the minutes of February 3, 2003 and February 10, 2003 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Rock, and Carlisle. Mr. Sizemore abstained from voting on the minutes of February 10, 2003. Motion carried. Mayor Maxwell reported that the Continued Public Hearing on a Petition to Vacate the alley in Block 24, Anacortes Original, previously scheduled for further deliberation at this meeting, has been pulled from the agenda. If and when the petitioner provides additional essential information the matter will be rescheduled and property owners notified of the new hearing date. Citizen Hearings Mr. Bill Mitchell, 807 27th Street, muralist, asked to discuss the upcoming demolition of the Apex Warehouse. Located on property owned by Skagit County, the Warehouse will be removed for the installation of a parking lot for the Guemes Island Ferry. Using an overhead display, Mr. Mitchell showed his depiction of a cannery museum using 10 feet to the south of the south wall of the warehouse. Mr. Mitchell proposed Council form an ad hoc committee to further investigate the preservation of a portion of this building. The cannery museum would be a part of Mr. Mitchell's community mural project. trisriesiri.Priv;ui-triirsri�nisicrieriui�sitr„a;:cricriarinii✓,trinvi.Erimiw M2 r/Council Communication°'a, O!1!J/JplJ.O'COlJlI /J!J----lJlJd Mayor Maxwell read a Proclamation proclaiming February 20th to May 1, 2003 as the time to promote community health awareness and the "fight the fat" program. Mr. Rock explained that the team community program is available to help people make lifestyle changes with a positive approach to health care. The Mayor then discussed changes to recent legislation that raised INS rates by $3.00. Federal elected officials intervened and the increase will not apply to passenger ferry rates. Historic Preservation Board/Bvlaws Mayor Maxwell presented the Anacortes Historic Preservation Board (AHPB) Procedure Manual for Council review and approval. Previously reviewed in Study Sessions, the document now before Council reflects Council recommended changes. Mr. Christiansen asked that the Bylaws stipulate that Preservation Board members reside in Anacortes. He also recommended adding a 5th requirement to page 11 — Application Standards: 5. Submit written narrative detailing the historically significant occupants or owners, historic events which occurred at the premises, or other criteria listed on page 12. Ms. Rhonda Gothberg, President of the AHPB, will incorporate the language changes. With that, Mr. Brown moved, seconded by Mr. Rock, to adopt the Historic Preservation Board Bylaws with the two proposed amendments. Vote: Ayes — Sizemore, Brown, Christiansen, Rock, Carlisle, and Petrish. Motion carried. Consent Aaenda Mr. Sizemore moved, seconded by Mr. Christiansen to approve the following Consent Agenda items. Vote: Ayes — Brown, Christiansen, Rock, Carlisle, Petrish, and Sizemore. Motion carried. ' Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on February 6, 2003 and February 13, 2003 for payment as of this date, February 18, 2003. Claims Warrants for the month of February Warrant Numbers 21045 through 21247 in the total amount of $515,299.44 Prewritten Claims for the month of February Warrant Number 21044 in the total amount of $7,355.92 Pavroll # 1 for January 31, 2003 Warrant Numbers 22645 through 22730 in the total amount of $209,799.84 Direct Deposit Numbers 5972 through 6077 in the total amount of $200,549.43 EFT numbers 139 to 143 in the total amount of $113,989.32 1737 February 18, 2003 -- continued In the same motion Council authorized staff to write-off $8,756.64 in uncollectable accounts. The account numbers, names, and amounts are itemized in a February 12, 2003 memorandum from George Khtaian, Finance Director to Mayor Maxwell and the City Council. ASTA Tall Ships Discussion Mr. Gary Cline, Museum Director, presented Council with a request to consider Anacortes as a host port for a tall ships event in 2005. In that regard, the American Sail Training Association (ASTA) is asking for a $27,500 fee to be paid by each host port sponsoring the event. Mr. Cline outlined the financial commitment and activity level associated with this event. If this 3 -day event is approved the Anacortes Museum Foundation will administer and coordinate the necessary fund raising. Mr. Christiansen emphasized that this activity could bring tremendous economical, recreational, and cultural benefits to the City. Both he and Mr. Brown shared stories about the tall ship "U.S.S. Constitution" that visited Anacortes in 1933 on its final voyage. At that time over 30,000 people came to Anacortes to see this beautiful and historical vessel. With that, Mr. Christiansen moved, seconded by Mr. Sizemore, to commit $10,000 from the 2% Hotel/Motel Tax Tourism Fund for the ASTA 2005 Tall Ship activity. Vote: Ayes — Christiansen, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Mayor Maxwell pointed out that during the event ASTA will set up a booth to sell tall ship memorabilia. A percentage of those sales would be given to the host port; Mr. Cline suggested the Boys and Girls Club or a similar institution as a recipient of these funds. Award 2003 CBD Sidewalk — Larry Brown Construction Mr. Gary Barnett, City Engineer, presented bid results for the Commercial Business District Sidewalk Replacement project. This year's project is located between 5th and 6th Streets on Commercial Avenue. The low bid was received from Larry Brown Construction, Bellingham. After discussion, Mr. Christiansen moved, seconded by Mr. Brown, to award the Commercial Business District Sidewalk Replacement project to Larry Brown Construction, Bellingham, in the amount of $139,717.40. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. County Aqreement: Guemes Ferry Parkinq Lot Mayor Maxwell introduced a "Draft Memorandum of Agreement (MOA) submitted to the Advisory Council on Historic Preservation Pursuant to 36 CFR 800.6(a) Regarding the Guemes Ferry/Anacortes Parking Lot" for Council review and adoption. According to the US Department of Transportation this parking lot project will have an "adverse effect" on the Apex Fish Company Warehouse, a building eligible for inclusion in the national Register of Historic Places. The Mayor pointed out that Stipulation # 3 of the MOA states that, "A monetary amount equal to one percent (1%) of the Guemes Ferry/Anacortes Parking Lot total project cost shall be dedicated to a local historic preservation project." With regard to Stipulation # 3 the Mayor asked to include the Anacortes City Council with the Anacortes Historic Preservation Commission (AHPC) and the Washington State Historic Preservation Officer (SHPO) in the project identification process. Ms. Rhonda Gothberg, President of the AHPB assured the Mayor and Council that all proposed historic preservation projects will be brought to Council for review and approval. Mr. Petrish asked if Bill Mitchell's mural project could be considered a "local historic preservation project". Mr. Ian Munce, City Attorney, pointed out the time frame for investigating the design and plans for the Apex Fish Co. shall be within three (3) weeks after execution of the MOA. After discussion Mr. Sizemore moved, seconded by Mr. Christiansen, to authorize the Anacortes Museum Director, Mr. Garry Cline, and the Anacortes Historic Preservation Board President, Ms. Rhonda Gothberg, to enter into the Memorandum of Agreement regarding the Guemes Ferry/Anacortes Parking Lot. Councilmen Rock, Brown, and Petrish volunteered to join Ms. Gothberg in working with the County to investigate the Apex site as a potential "local historic preservation project". Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Christiansen, and Rock. Motion carried. Public Hearinq: Marine Heiqhts Plat Modification Mayor Maxwell opened the Public Hearing to take comments on a petition submitted by the Marine Heights Homeowners' Association to delete # 44 of the Findings of Fact and Conclusions of Law for the Marine Heights Plat. Mr. Ian Munce, Planning Director, introduced condition # 44: "The 60' right of way to property on the north shall not be used as primary access to a development to the north, but may be a secondary access to that property when it is served by another access meeting City street standards for grade and width." Mr. Munce further explained that the property owner to the north, Mr. Richard Sands, previously submitted a limited development proposal for his property. That proposal was denied by City staff based on condition # 44. Mr. Sands successfully appealed that decision to the City Council. Subsequently, the Planning Commission held a Public Hearing on this matter and unanimously recommended to Council to strike Condition # 44. Mr. Ben Shortt, 4112 Marine Heights Way, discussed the terms of the agreement with Mr. Sands including limited development and a public access to the forestlands. Mr. Richard Sands, 4817 Yorkshire Drive, spoke in favor of removing Condition # 44. Mr. Ken Klepsch, J 1738 February 18, 2003 -- continued 4313 Tyler Way, spoke against the proposal citing steep slopes and drainage issues. Mr. Richard Hubbard, 4411 Queen Anne Way, cautioned against removal of trees in regard to stormwater issues. Mr. Sands pointed out where development will be located on his property with a maximum of 9 lots on the top plateau; the steep westerly face will stay wooded except when trees are topped for view purposes. There were no further comments and the Mayor declared the Public Hearing closed. The Council then discussed development issues. Mr. Carlisle moved, seconded by Mr. Petrish, to strike condition # 44 from the Findings of Fact and Conclusions of Law for the Plat of Marine Heights. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Rock, and Carlisle. Motion carried. Closed Record Meeting — Anacortes School District — Conditional Use Application — Placement of Portable Classroom Facilities Mayor Maxwell initiated the Closed Record Meeting on a Conditional Use application submitted by Anacortes School District # 103 to expand existing school facilities at Mt. Erie Elementary, Anacortes High School, Island View Elementary, and the Anacortes Middle School. The School District proposes to place portable buildings for classroom use at these sites. Mr. Ian Munce, Planning Director, explained that the Planning Commission held Public Hearings over three separate evenings with considerable testimony from one neighbor, Mr. Merlin Kipp. All schools are located in the Public Use zone. Any significant school expansion requires conditional use permit approval by City Council. Mr. Munce explained that enrollment fluctuations created the need for classroom overflow flexibility. As part of this conditional use process the School District was asked to provide a long-range plan for modular locations. The Planning Commission recommended approval of the Conditional Use application based on the following conditions: "short term" use of modular classrooms shall not exceed three years; "long term" use shall not exceed ten years without a new Conditional Use Permit being issued. Mr. Munce explained that the temporary buildings located at 22nd and "J" were initially installed for a short term basis only during Middle School remodeling. The School District now would like to keep the 3 existing buildings long term and add two more. A third project condition calls for the installation of a 3 -foot high berm below the proposed landscaping at 22nd and "J" Avenue. This proposed 22nd street mitigation was unacceptable to the neighbors. Council discussion followed. Mr. Petrish asked for statistics on the home school program and more detailed analysis of the School District's facility needs and location selection. Mr. Rock moved to approve the Anacortes School District conditional use permit to locate portable classrooms as described and conditioned at all locations except for 22nd Street and "J" Avenue. Mr. Petrish seconded the motion. Vote: Ayes — Sizemore, Brown, Christiansen, Rock, Carlisle, and Petrish. Motion carried. The Mayor also asked Public Works to review the dumpster issues at the portable sites. Resolution: Flood Control Fundinq Mayor Maxwell presented a Resolution submitted by the Skagit County Commissioners to Council for review and adoption. If approved the Resolution, entitled "A Resolution in the Matter of the City of Anacortes Support for a TEA -21 Reauthorization Bill High Priority Transportation Project to Extend Skagit River Bridges for Flood Protection" requests that this high priority project be included as a line item authorization in the next Federal Transportation Act. Mr. Rock moved, seconded by Mr. Carlisle to adopt Resolution No. 1626. Vote: Ayes — Brown, Christiansen, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Continued public Hearing: Comprehensive Plan and Development Reaulation Changes. Mayor Maxwell reconvened the Public Hearing on the 2002 Comprehensive Plan and Development Regulation Changes. Mr. Ian Munce, Planning Director, distributed copies of the Planning Commission recommendation and asked that after final public comments are submitted Council direct staff on the disposition of these proposed changes. There were no comments from the audience and the Mayor declared the Public Hearing closed. Councilmembers asked to discuss these items on March 3, 2003. There being no further business at approximately 9:00 p.m. the Mayor adjourned the meeting of February 03. Ge Khtaiarf, City Clerk -Treasurer H. Dean Maxwell, May/eIr Councilmember 1739 March 3, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, March 3, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. Roll Call was followed by the Pledge of Allegiance. Minutes of Previous Meetinqs Mayor Maxwell asked to amend the minutes as follows: page 4, first paragraph: "Mr. Rock moved to approve the Anacortes School District conditional use permit to locate portable classrooms as described and conditioned at all locations except for 22nd Street and "J"Avenue." Mr. Brown moved, seconded by Mr. Rock, to approve the minutes of February 18, 2003 as amended. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Rock, and Carlisle. Mrs. Richardson abstained. Motion carried. Citizen Hearinqs No citizens present wished to testify on matters not on the agenda. ,Mayor/Council Communication; Mrs. Richardson recently returned from a European trip. She took a number of waterfront walks during her stay and was reminded of what an important feature this is for our community. Mr. Christiansen and Mr. Sizemore reported on the positive outcome of a recent meeting with Skagit County and others on the In -stream Flow Memorandum of Agreement (MOA) regarding water rights/exempt wells. Planning Director Ian Munce added that a proposed MOA should be available for Council review by the March 10th Study Session. Conservation Easement Program Mr. Jonn Lunsford, Parks and Forestlands Manager, presented a request for Council approval to protect an additional 60 acres through the Conservation Easement program. This would bring the total acres conserved through the program to 530. Responding to a question from Mr. Petrish, Mr. Lunsford explained that this donation program was initiated for funding to maintain the forestlands in lieu of logging or mining revenue. With that, Mrs. Richardson moved, seconded by Mr. Sizemore, to permanently place a conservation easement on the 60 acres described in a February 26, 2003 memorandum from Jonn Lunsford to Mayor Maxwell and Council. Vote: Ayes — Sizemore, Brown, Christianson, Richardson, Rock, Carlisle, and Petrish. Motion carried. 2002 Comprehensive Plan and Development Reaulation Chanaes 2002 Mr. Ian Munce, Planning Director, presented the proposed changes to the City Comprehensve Plan and Development Regulations (2002). The Planning Commission completed its review of the 15 items referred to them by Council for public review, hearing, and recommendation. Additionallly, Council held a Public Hearing. The Council will direct staff on what language to include in an Ordinance that would finalize the annual update process. Reducing Height in the LM Zone from 50 feet to 35 feet (items 1 and 2) The Planning Commission proposed that the test articulated by the State Shoreline Hearings board to address shoreline structures over 35 feet will allow for adequate discussion on a case- by-case basis. The test is basically that the water -dependent benefits of a new shoreline use over 35 feet in height have to outweight the view impacts to adjacent residences. Mr. Christiansen recommended a 35 -foot height limit with a conditional use permit required above 35' with a maximum of 50'. Mrs. Richardson agreed with that approach. Mr. Christiansen moved to add this new language to the LM zone. Mr. Sizemore seconded the motion. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Conditional Use Permits/Authority to Denv (item 3) Based on recent judicial interpretation of the City Zoning Code, the Planning Commission recommends that conditional use authority extends to denial as well as to approval with conditions. Mrs. Richardson moved, seconded by Mr. Christiansen, to include this language in the Ordinance. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Allowinq Roof Overhangs of 18 inches into the Setbacks (item 4) The Commission recommends that this additional design flexibility be permitted. Mr. Christiansen recommended and moved that the Ordinance provision allow for roof overhangs of 24 inches into the setback. Mrs. Richardson seconded the motion. Vote: Ayes — Richardson, Sizemore, Brown, and Christiansen. Motion carried. No — Rock, Carlisle, and Petrish. Motion carried. I March 3, 2003 -- continued 1740 Changinq Side Yard Setbacks (item 5) Mr. Christiansen moved, seconded by Mrs. Richardson, that side yard setbacks in residential „-�► zones may be set by the proponent provided that there shall be a minimum setback of 5 feet on one side and that the total of both side yard setbacks shall never be less than 15 feet. Further, <: a side yard setback shall always be a minimum of 10 feet when abutting a street. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. Accessory Structures, Fences, and Lot Coveraaes (items 6. 7, 9 and 10) The Planning Commission reviewed a request to allow accessory structure height to match the zone height restrictions (no structural link would be required). The same request also called for additional flexibility in fence regulations and lot coverage. The Planning Commission pointed out that this desired design flexibility could be accomplished through the Planned Unit Development process. Council concurred. Droppinq the Minimum Lot Width (item 8) The Planning Commission recommends that this issue be discussed more during the 2003 review. The item concerns conflict between irregular lot configuration and the minimum building width ruling. Council concurred. Deletinq Heavv Rail Standards from the Tommv Thompson Parkway Desian Parameters (item 11 Considerable testimony was offered to deleting the word "standard" gauge rail versus "narrow" gauge. The Planning Commission recommended no changes in existing language. Discussion followed regarding Burlington Northern easement rights. Council concurred with the Planning Commission recommendation. a' Height Limitations, View Corridors, and Parking Requirements in the Commercial Marine Zone in Skyline (item 12) This item centered around the approved Fidalgo Resort project in Skyline. The facility will have 2 and 3 story buildings, limited view corridors, and parking issues. While recognizing that this project is vested, neighbors asked that new view corridor, height limitation, and parking requirements be identified. The Planning Commission recommended that any new proposal be reviewed on a case-by-case basis. Council concurred. Siqns, Landscapinq, and Parking Requirements (items 13, 14, and 15) These technical changes requested by City staff were recommended for approval; there was no testimony in opposition to these changes. Mrs. Richardson moved, seconded by Mr. Rock, to include these technical changes in the amendment Ordinance. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Richardson, and Rock. No — Christiansen. Motion carried. Acceptance: 2002 Street Overlav and Storm Drainaqe Mr. Robert Hyde, Public Works Director presented a request to Council for the acceptance of the 2002 Street Overlay and Storm Drainage Project. The project provided overlay and storm drainage improvements in the Island View Addition. Next year the City will be working in the Skyline area on Sterling, Bryce, and Rosario. (Mr. Hyde also reported that the center striping on 22nd Street to "H" Avenue will be replaced in the spring.) The contract was awarded to Island Construction Site and Utilities Inc; the final contract amount is $364,074.30, including sales tax. After discussion, Mrs. Richardson moved, seconded by Mr. Rock to accept the 2002 Street Overlay and Storm Drainage project as complete thereby initiating the mandatory 30 -day lien period. If no valid liens are filed any retainage now held by the City will be released to the contractor. Vote: Ayes - Carlisle, Petrish, Sizemore, Brown, Christiansen, Richardson, and Rock. Motion carried. Acceptance: 12th Street Traffic Signalization Mr. Hyde then recommended that Council accept the 12th Street Signalization Project as complete. The contract was awarded to Larry Brown Construction for the construction of traffic signals at the intersections of 12th Street and "M" and "D" Avenues. Project delays were due, in part, to delay in Mast Arm orders. Additionally, the Washington State Department of Transportation will reimburse the City in the amount of $32,721.34 for Mast Army delay claims. Mr. Carlisle reported a decline in Oakes Avenue traffic complaints since signal installation. Mr. Petrish asked for Public Works to investigate the light delay issue at the 17th and "Q" Avenue signal. With that, Mr. Sizemore moved, seconded by Mr. Carlisle, to accept the 12th Street traffic signalization project as completed and to publish a Notice of Completion in the City of Anacortes legal newspaper. Vote: Ayes - Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Consent Agenda Mr. Carlisle moved, seconded by Mr. Sizemore to approve the following Consent Agenda items. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. 17 `t' Larch 3, 2003 -- continued Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on February 20, 2003 and February 27, 2002 for payment as of this date, March 3, 2003. Claims Warrants for the month of February Warrant Numbers 21248 through 21385 in the total amount of $474,901.53 Pavroll # 1 for February 14, 2003 Warrant Numbers 22731 through 2812 in the total amount of $77,075.49 Direct Deposit Numbers 6131 through 6271 in the total amount of $192,397.86 EFT numbers 144 through 147 in the total amount of $107,598.46 Cancelled Claims Warrant No. 56006 in the amount of $80.00 and Warrant No. 20969 in the amount of $180.00 In the same motion Council adopted Resolution No. 1627 updating petty cash fund and repealing Resolution No. 1607. Council also accepted the Shell grant for the purchase of an energy efficient hybrid vehicle and authorized the purchase of the vehicle from the state vehicle contract. Approval: Siemens Bid for Buildina Controls and Fire Monitorina Svstem Mr. Russ Pittis, Facilities Manager, presented a request to Council to review and approve a bid of $52,972.92 from Siemens Technologies for building controls at the Municipal Building. The work includes the installation of a new hot-water copper fin boiler; and for retrofitting the steam boiler to hot water. This work is in response to a recommendation from the Garrison Engineering HVAC Study and Report Audit prepared for the City. Mr. Pittis explained that Siemens controls are used in the Public Safety Building and Library. After discussion, Mr. Carlisle moved, seconded by Mr. Christiansen, to accept the Siemens Technologies bid in the amount of $52,972.92 for the Municipal Building controls. Vote: Ayes - Brown, Christiansen, Richardson, Rock, Carlisle Petrish, and Sizemore. Motion carried. The second request is for an upgrade to the Municipal Building fire alarm system. The project would be for the installation of 4 smoke detectors in the basement, courtroom, main level corridor, and upper level corridor. The detectors would be monitored 24 hours a day. At the request of Mayor and Council Mr. Pittis will solicit additional quotes for the fire alarm system project. Closed Record Meetina: Conditional Use Application — New Hope Fellowship Church — 35t" Street Mayor Maxwell initiated the Closed Record proceedings for a Conditional Use Permit for the New Hope Christian Fellowship Church at 35th and "L" Avenue. Mr. Christiansen disclosed his working relationship with NHCF parishioners. Mr. Ian Munce, Planning Director, used an overhead display to highlight the residential development surrounding the one -acre proposed church site. Churches are a Conditional Use in residential zones; the applicant worked closely with City staff and neighbors to design a facility in keeping with the neighborhood. The church will be located at the southeast corner of the property with parking along the exterior of the site. The applicant has agreed to the use of low intensity lighting with low-level landscaping. The Planning Commission held public hearings on this matter and forwarded a recommended to Council for approval subject to conditions. There were no appeals to the Planning Commission recommendation. Mrs. Richardson remarked that, as shown, the classroom section sits close to the setback and suggested a 10' "buffer" between the higher intensity church use and potential residential development. Discussion followed. Mr. Carlisle moved, seconded by Mr. Sizemore to approve the Conditional Use Permit application subject to the conditions outlined in the Findings of Fact and Conclusions of Law recommended by the Planning Commission. Vote: Ayes - Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Closed Record Meetina: Conditional Use Application — Private Street as Access — 24th and "J" This item is on tape and filed at City Hall. Mayor Maxwell initiated the Closed Record Meeting on a Conditional Use Permit application submitted by Wilmoor Development for the use of a private street as access at 24th Street and "J" Avenue. The private street would access six proposed single-family residential building sites (one existing home). Mr. Ian Munce, Planning Director, used an overhead to highlight the parcel in the vicinity of Island View School and Fidalgo Pool. The drawing also shows that a through street would not be an option. The proponent plans to submit a six -lot short plat application should the private street approval be granted. The private driveway, without cul-de- March 3, 2003 -- continued 1742 sac, meets fire and building department regulations. In preliminary meetings with staff, the applicant agreed to put sidewalks on "J" Avenue and to have homeowners bring garbage and recycling to the street. The applicant proposes 6,000 square foot lots (allowed in this zone). The Planning Commission held public hearings on this matter and recommended to Council that the Conditional Use be denied. One appeal of the Planning Commission recommendation was received. Mr. Greg Wilson, Wilmoor Development, appellant, first clarified that two of the six lots have access off of "J" Avenue. He then characterized a series of meetings held with City staff and the Design Review Committee. Pre -application meetings were also conducted with Fire, Planning, and Public Works departments. Mr. Wilson responded to staff -recommended modifications including a request for a layout showing public right-of-way access. Full standards were impossible to incorporate while maintaining a 6 -lot configuration. He then used a series of overheads to illustrate the design changes and development options available for this property including a 4 flag -lot proposal. Mr. Wilson stated that his original proposal is in keeping with the Comprehensive Plan goals with the predominately single-family character of the neighborhood, and with past planning/land use decisions. Council discussion followed. Some concern was expressed regarding utility easements and off- street parking requirements. In response to Planning Commission testimony to maintain public streets and garbage service, Mrs. Richardson submitted a drawing proposing a hammerhead turnaround alternative; she also encouraged the applicant to submit a revised proposal. Mr. Wilson offered that sidewalks would require a reduction in setbacks. After discussion, Mrs. Richardson moved to deny the appeal. Mr. Petrish seconded the motion. Discussion followed regarding the benefit of cluster housing. Mr. Wilson emphasized that he has met the minimum development requirements with this project as proposed. Mr. Carlisle suggested upholding the appeal as affordable housing is a priority. Mr. Petrish withdrew his second. Mr. Carlisle then moved, seconded by Mr. Brown, to uphold the appeal. After further discussion Council asked the applicant to again work with City staff to provide a design for a public street concept. Mr. Christiansen moved, seconded by Mrs. Richardson, to table this matter for two weeks. Vote: Ayes — Richardson, Rock, Petrish, Sizemore, and Christiansen. No — Carlisle, and Brown. Motion carried. Resolution: Interlocal Aqreement with Skaqit Countv (Sewer Extension) Mr. Ian Munce, Planning Director, presented a Resolution and Interlocal Agreement (Clearsnap/Jerry Smith Industrial Park project) with Skagit County to Council for review and approval. Mr. Munce reported that grant funding is available to provide improvements for this project including public streets that meet full city standards, (curbs, gutters, sidewalks) and full drainage for the entire project with an additional 4 available lots. After discussion, Mr. Sizemore moved, seconded by Mr. Brown, to adopt Resolution NO. 1628 entitled "A Resolution Authorizing Jerry Smith Industrial Park', to accept the Skagit County public funding for this project in the amount of $77,500, and to authorize the Mayor to contract with Mr. Jerry Smith, or designee, for the design and construction of the improvements. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. At approximately 10:00 p.m. the Mayor announced that the Council would convene in Executive Session to discuss land acquisition. At approximately 10:20 p.m. the Council reconvened and without taking any further action adjourned the meeting of March 3, 2003. lv • 1;��.c., G ge Kht an, City Clerk -Treasurer H. Dean Maxwell, May Councilmember 1743 1744 March 17, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, March 17, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. Roll Call was followed by the Pledge of Allegiance. Minutes of Previous Meetinqs Mr. Christiansen asked to amend the minutes as follows: page 2: Changing Side Yard Setbacks (item 5) should read: "Side yard setbacks in residential zones may be set by the proponent provided that there shall be a minimum setback of 5 feet on one side and that the total of both side yard setbacks shall never be less than 15 feet. Further, a side yard setback shall always be a minimum of 10 feet when abutting a street." With that correction, Mrs. Richardson moved, seconded by Mr. Brown, to approve the minutes of March 3, 2003. Vote: Ayes - Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearinqs No citizens present wished to testify on matters not on the agenda. Mayor/Council Communication; [r LaGv/6v/Li/<rlMAr/Lr-,".."."-"..,,_u..J[r/Lr1MZf/Lr/v/Lr/<r/[i9<r/L6Lr/LX Mr. Petrish received a letter and photographs from Pat and Beverly Babarovich highlighting a hazardous situation at their home. Apparently wires attached to a PSE pole and to their house are dangerously low and present a code violation. Mr. Petrish reported that PSE was notified and will make the appropriate repairs in the next two weeks. Conditional Use: Private Street as Access - 24th Street and "J" Avenue[Wilmoor Mayor Maxwell reintroduced Council deliberation on an appeal of the Planning Commission decision to deny a Conditional Use Application for the use of a private street to access 6 lots at 24th Street and "J" Avenue. The matter was postponed from the previous Council meeting so that City staff and the proponent, Mr. Greg Wilson, could discuss the use of a hammerhead turnaround. Mr. Ian Munce, Planning Director, referencing a March 5, 2003 Memorandum from Don Measamer, Building Department, reported that Mr. Wilson "...commented that the public right of way and turnaround would not work for this site, due to the remaining yard sizes and probable building sizes for this site." Mr. Munce clarified that without Conditional Use approval Mr. Wilson could develop 4 duplex or 4 single-family flag lots; with Conditional Use approval 6 single-family homes on a private driveway could be developed. On a question from Mr. Petrish, Mr. Wilson explained that he reviewed the feasibility of a hammerhead turnaround. As part of the negotiations he asked if staff could reduce the street improvement requirements as the hammerhead would decrease the building envelopes. Some setback reduction was discussed but Mr. Wilson explained that from his perspective the lots would still be unacceptable. After discussion, Mr. Sizemore moved, seconded by Mrs. Richardson to deny the appeal. Mr. Carlisle recommended that Council recognize the private property rights of Mr. Wilson and potential purchasers. Mr. Rock spoke against multi family development in this area. Vote: Ayes — Sizemore, Brown, Christianson, Richardson, Rock, and Petrish. No — Carlisle. Motion carried. ALS/Ambulance Orqanization: Ordinance - Action Mayor Maxwell first thanked Mr. Vince Oliver, Island Health Northwest, for his contribution to the Basic Life Support component of the ALS/Ambulance Ordinance. Mr. Ian Munce, City Attorney, then presented an Ordinance to Council reflecting technical changes previously reviewed by Council during Study Session. Essentially, the basic structure of the Ordinance provides that the Anacortes Fire Department will provide the Advanced Life Support paramedic service for the City of Anacortes. The Ordinance further reinforces the City's Interlocal Agreement with Island Hospital. He then specified that the City will license all BLS ambulance services in Anacortes. Mr. Munce explained that, if adopted, this basic structure should become a part of the Management Plan to be developed by the new EMS Commission. Mr. Sizemore, representing the Public Safety Committee, said that all future service level discussions will be made by the City Council. After discussion, Mr. Sizemore moved, seconded by Mr. Brown, to adopt Ordinance No. 2612 entitled "An Ordinance of the City of Anacortes, Washington, relating to ambulance services; ratifying, confirming and reestablishing a system of ambulance service operated as a public utility of the City; confirming a system of advanced and basic life support ambulance service; providing for the regulation of basic life support ambulance service and authorizing contracts for the provision of such .services; establishing penalties for violation of Anacortes Municipal Code relating to the ambulance service; adding new chapters 13.53D and 13.54 to the Anacortes Municipal Code; and providing for all other matters property related thereto." Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. 17 4 4arch 17, 2003 -- continued Water Riqhts Aqreement — Next Steps Mayor Maxwell reported on a March 12`h meeting with County Commissioners and others regarding a challenge to the City's 1996 Memorandum of Agreement (MOA) for water. The issue at hand involves exempt wells. The Mayor emphasized that this issue can and should be addressed without litigation. New Meter Read Svstem Proposal/AMR Contract Update/Continuation Mr. Robert Hyde, Public Works Director, presented a proposal to Council to move forward with an automated meter reading system. Mr. Hyde explained that P.S.E. will not provide meter reading services after July 31't of this year. In light of this the Public Works Department initiated a Request for Proposal (RFP) and technical review process. Both the financial and technical committees reviewed the proposals submitted in response to the RFP and unanimously recommend Invensys. Mr. George Khtaian, Finance Director, reviewed three meter read cost scenarios (monthly cost per meter) for: book -read, hand-held, and drive by. Mr. Khtaian emphasized that this contract can be managed without a water rate increase. Council discussed the system reliability and proposed labor saving equipment. With that, Mr. Petrish moved, seconded by Mr. Brown, to move forward with an automated meter reading system. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Mayor Maxwell announced that this meeting will be continued to March 24, 2003 so that Council can review the Invensys Contract and award the bid. ConsentAaenda Mr. Rock moved, seconded by Mrs. Richardson to approve the following Consent Agenda item. Vote: Ayes — Richardson, .Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on March 6, 2003 and March 13, 2003 for payment as of this date, March 17, 2003. Claims Warrants for the month of March Warrant Numbers 21386 through 21571 in the total amount of $267,380.73 Pavroll # 2 for February 28. 2003 in the total amount of $524.992.25 Warrant Numbers 22813 through 22903 in the total amount of $210,524.09 Direct Deposit Numbers 6272 through 6377 in the total amount of $200,562.70 EFT numbers 148 through 152 in the total amount of $113,905.46 Council also cancelled Claims Warrant No. 21427 in the total amount of $66.52 Final Plat Approval: Spinnaker Cove Mr. Bob Hyde, Director of Public Works, presented the final plat application for the 29 -lot residential development Spinnaker Cove located off of Anaco Beach Road and Sunset Avenue. All requirements of the Preliminary Plat have been met and the project is substantially complete subject to a maintenance bond and punch list items. Remaining tasks include installation of the stormwater quality vault, an asphalt overlay, and some minor landscaping. Staff recommends approval. With that, Mr. Carlisle moved, seconded by Mr. Rock, to approve the Spinnaker Cove Final Plat subject to Maintenance and Performance Bonds. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, and Richardson. Abstain — Christiansen. Motion carried. Ship Harbor Pump Station Desian Award Mr. Ian Munce, Planning Director, outlined the development history for the Ship Harbor area including a resort, convention center, condominium, and marina concept. This early planning process highlighted the need to locate a sewer pump station in this area. As part of this overall development review, staff also studied the means to abandon the Clearidge pump station. In the meantime, the ferry terminal installed its own pump station and the property in question is now is up for sale. Mr. Bob Hyde, Director of Public Works, then presented the next step - to consolidate sewer flows from the Portalis, Ship Harbor, Clearidge and other potential development sites with a regional sewage pump station. The station would be located in the Ship Harbor area and would be installed by the City with a Latecomer Agreement attached. The Clearidge Pump Station would then be eliminated and the need for other smaller pump stations would be eliminated as well. Mr. Hyde explained that Leonard, Boudinot and Skodje contracted with the City for On - Call Civil Engineering Services. The Task Order for the design and construction inspection to the Ship Harbor Pump Station will be completed at a cost not to exceed $45,000. After discussion, Mr. Sizemore moved, seconded by Mr. Christiansen, to issue a Task Order at a cost March 17, 2003 -- continued 1746 not to exceed $45,000 to Leonard, Boudinot, and Skodje for design and construction inspection services for the Ship Harbor Regional Pump Station. Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Christiansen, Richardson, and Rock. Motion carried. Reappraisal/Setting New Monthly Rental Rate for Cap Sante Marine Mr. Ian Munce, Planning Director, reported to Council that Fidalgo Boat Yard/Cap Sante Marine has come to the end of their 15 -year lease period. The original lease called for a number of 5 - year extensions at the request of the lessee. An appraisal is required as part of the lease renewal process. In that regard Bruce C. Allen & Associates submitted a proposal in the amount of $5,000 to a maximum of $7,000. In answer to questions from Council Mr. Munce explained that appraising the value of the City -owned upland, together with the right to use the dock and associated travel lift and tie-up slips is a complicated task. After discussion, Mr. Petrish moved, seconded by Mr. Sizemore to authorize the City to enter into an agreement with Bruce C. Allen & Associates in an amount not to exceed $7,000 for the Consulting Assignment — Rent Study of the Cap Sante Haulout Facility located in Anacortes. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Surplus of Vehicles Mr. Bob Hyde, Director of Public Works, presented Council with a surplus list of 18 vehicles replaced, transferred or eliminated from the City's fleet. An auction is scheduled for May 3, 2003. The fleet has been reduced by 2 vehicles. Discussion followed regarding the condition of item # 021, 1992 Taurus and Item # 612, 1972 LH 800 Dump Truck. With that, Mr. Sizemore moved, seconded by Mr. Brown, to approve the surplus list of 18 vehicles outlined in a March 17, 2003 Memorandum from Mr. Bob Hyde to the Mayor and City Council. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Community Fastpitch/Little Leaque Field: Resolution Mr. Gary Robinson, Director of Parks and Recreation, presented a Resolution to Council reflecting discussion and dialogue previously held by the Council regarding a $250,000 donation of matching funds from Don and Marguerite Daniels for the construction of a community fastpitch/little league field. The Anacortes Parks Foundation has also offered to provide assistance with the proposed projects. The Resolution, if adopted, would authorize staff to take necessary steps to complete the construction of this field. On a question from Mrs. Richardson, Mr. Robinson explained that appropriate bid awards will be brought to Council for approval. After discussion, Mrs. Richardson moved, seconded by Mr. to adopt Resolution No. 1629. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. At approximately 9:30 p.m. the Mayor announced that the meeting would be continued to Monday, March 24, 2003 at 7:30 p.m. for the following items: automated meter reading system contract award; water rights: next steps/possible action; and an Executive Session (20 minutes) regarding land acquisition. G rge Kh aian, City Clerk -Treasurer ,--xl e� W" H. Dean Maxwell, Mayor ,4k,�s AZ4- Councilmember 1747 March 24, 2003 — continued from March 17, 2003 Mayor Maxwell called the continued City Council meeting to order at approximately 7:30 p.m. Roll call found present: Nick Petrish, Bill Carlisle, Bud Rock, Ken Brown, Terry Christiansen, Ray Sizemore and Cynthia Richardson. Wilmoor Conditional Use Permit Application — J Avenue Ms. Richardson moved that the City Council reconsider its March 17th vote on the Wilmoor Conditional Use Permit Application for a private street on J Avenue and schedule this reconsideration for the April 7, 2003 City Council meeting. The motion was seconded by Mr. Rock. After discussion, the motion carried. Vote: Ayes — Petrish, Richardson, Brown, Christiansen, Rock, and Carlisle. Mr. Sizemore vote nay. Automated Water Meter Svstem Mr. Bob Hyde, City Public Works Director, and Mr. George Khtaian, City Finance Director, presented a proposed contract between the City of Anacortes and IMSERVE North America for installation of an automated water meter system. They pointed out that the concept had been approved by the City Council at the March 17 meeting and they had brought forward to the Council a Resolution authorizing a contract with IMSERVE North America. During discussion, it was noted that the proposed contract amount was $1,441,000 including sales tax, but the Mayor should have authority to expend up to 1.5 million on this project. With this understanding, Ms. Richardson moved adoption of Resolution No. 1630. The motion was seconded by Mr. Brown and passed unanimously. Water Rights Ian Munce, City Attorney, provided a brief status report on the City's Water Rights with Skagit County, the Skagit PUD, and the local tribes. No action was taken. At approximately 8:15, the Mayor announced that the City Council would convene in Executive Session to discuss a possible land acquisition. At approximately 8:35 p.m., the Council reconvened and without taking any further action adjourned the meeting of March 24, 2003. Geoff&Khtaia, Clerk -Treasurer H. Dean Maxwell, Mayor Council ember 1748 April 7, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, April 7, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Terry Christiansen, and Cynthia Richardson. Absent: Ray Sizemore, and Bud Rock. Mr. Brown entered the Council Chambers after the vote on "Minutes of Previous Meetings". Roll Call was followed by the Pledge of Allegiance. Minutes of Previous Meetinqs Mrs. Richardson moved, seconded by Mr. Petrish, to approve the minutes of March 17, 2003 and March 24, 2003 as if read. Vote: Ayes - Petrish, Christiansen, Richardson, and Carlisle. Motion carried. Citizen Hearinqs Mr. Bill Mitchell, 807 27th Street, reported on his mural project. He's looking for mural sites and researching a list of boats tied to Anacortes history. All this is in preparation for the 2005 Tall Ships activity in Anacortes. Mayor/Council Communication^2 ?.,'/.',%;i:%J/.'J/.'l/:%'7/LJ/U/.J/U/!J/.'J/U/'✓/.%;%U/.'7/.�%:/.7/.�/U% Mayor Maxwell then turned attention to three Proclamations: (1) Proclaiming Friday, April 11, 2003 as Arbor Day in the City of Anacortes as well was designating the Western Red Cedar as the City Tree of Anacortes (seedlings will be sent to Sister City, Kisakata, Japan for a tree planting ceremony); (2) Proclaiming May 2, 3, and 4 as White Cane Awareness Days in Anacortes to recognize the dedication and commitment of the Lions Club to sight conservation; and (3) Proclaiming the month of April 2003 as Disaster Preparedness Month and urging all citizens and others to increase their knowledge and awareness of proper safety measures to follow before, during, and after a natural or human -caused disaster. The Mayor reported he's received several requests from citizens for permission to place yellow ribbons on downtown trees. Mr. Christiansen moved, seconded by Mr. Brown, to allow the placement of yellow ribbons on downtown trees. Vote: Ayes — Brown, Christiansen, Richardson, Carlisle, and Petrish. Motion carried. Also, Mr. Petrish reported on a request from Mr. Tom Krowl, to display flags in the City. The Lions Club has been responsible for the placement of flags during civic functions and Mr. Krowl was referred to that organization for information. The Mayor then turned to a letter from Anacortes Realty addressed to the Mayor and Council. The letter gave high marks to the City Public Works/Engineering crews for the recent downtown tree/sidewalk replacement project. Mr. Ian Munce, City Attorney, updated those present on the City's water rights issues with the County. He talked about the April 14th deadline for the County to file a procedural challenge to the In -stream Flow Rule on the Skagit River. The pivotal issue is exempt wells in the Upper Skagit water shed. While the City of Anacortes was inclined to settle with the County on this issue by making water available to the upriver communities, and by making money available for mitigation and watershed control planning, that proposal is now off the table. Language issues and the basic settlement structure were stumbling blocks for the Tribes and for the Department of Ecology. Mr. Munce suggested that if the County appeals the rule exclusively on the basis that the exempt wells have not been properly addressed and without any other issues or challenges to the rule, then under those circumstances the City could agree that legal proceedings not go forward and that dialogues can resume with the County and others on language relative to allowing exempt wells subject to mitigation. After discussion Council concurred with this approach. Mr. Carlisle shared a newspaper article on the resolution of an airport issue in Chicago, Illinois. Wilmoor Conditional Use Private Street: Reconsideration Mr. Ian Munce, Planning Director, provided the background for a Conditional Use Permit application submitted by Wilmoor Construction to use a private street as access for a 6 -lot short plat for a one -acre site at 26th Street and "J" Avenue. As proposed the lot configuration did not allow for full city street development. After Public Hearing the Planning Commission recommended denial; the applicant appealed. The City Council then heard the appeal and suggested to both City staff and the applicant to seek a creative solution to the road design. No conclusion was reached and the Council voted to deny the Conditional Use application. Subsequently the applicant submitted a site plan designed to address staff concerns. A motion was made to reconsider and the proposal now before Council includes a short right of way 44 feet wide, 28 feet paved, sidewalks and parking on one side, and with hammerhead turnaround. Questions followed from the Council on sanitation vehicle pickup. After discussion, Mr. Carlisle moved, seconded by Mrs. Richardson, to approve the Conditional Use application subject to the modified hammerhead turnaround approach. Vote: Ayes — Christiansen, Richardson, Carlisle, Petrish, and Brown. Motion carried. School District Proposal: Portables at 22nd Street and "J" Avenue (Next Stepsl Mr. Ian Munce, Planning Director presented the issue at hand regarding the use of portable classrooms. The School District wants to use portable facilities on a long-term basis and presented a conditional use application for the use of these classrooms at existing school facilities. Permission was granted except for the 22nd Street and "J" Avenue site. The Council determined that they would need more detailed information before a decision could be reached for that location. Through its attorney, Mr. Mark Hood, the School District has now asked for a definitive position from Council on the long-term use at 22nd Street and "J" Avenue. No appeals were filed from concerned neighbors, specifically Mr. Merlin Kipp, in effect blocking the opportunity for Council to hear additional testimony. In order to place the necessary 17 4 �pril 7, 2003 -- continued information on record Mr. Munce recommended that the matter be remanded back to the Planning Commission for new hearings. Council could forward specific questions to the Commission and School District. In that way new and complete information can be reviewed by all concerned. Mr. Munce cautioned against allowing for new limited information or oral argument at the Council level in the absence of an appeal. Further, Mr. Munce emphasized that any action taken by Council will set a precedent. Mr. Munce pointed out that the Council's packet contained a letter from Mr. Kipp's attorney, Mr. Paul W. Taylor. Questions followed regarding the definition of "semi-permanent" (up to 20 years) as the neighbors were told initially that the portables were "temporary". Also concerns were raised that the portables do not have the visual appearance of other educational facilities and over time can become eyesores. Increased traffic and safety issues were also highlighted. Clearly, the Council required more information to support a final decision. Mr. Carlisle suggested that, as the Growth Management Act allows for only one public hearing on land use issues, that the hearing for this issue be scheduled before the Council. After discussion Mrs. Richardson moved, seconded by Mr. Brown, to remand the conditional use permit request for portable classrooms at 22nd Street and "J" Avenue to the Planning Commission for Public Hearing. Council concerns/questions would be forwarded to the Planning Commission to be included in the record. Mr. Petrish and Mr. Carlisle spoke against the motion. Vote: Ayes - Richardson, Petrish, Brown, and Christiansen. No — Carlisle. Motion carried. "2002" Development Regulation Amendments: Ordinance Mr. Ian Munce, Planning Director, presented an Ordinance to Council for review and adoption. The Ordinance reflects the 2002 amendments to the City's development regulations that follow on from the Public process. Mr. Munce recommended the following changes: page 3, B3. "The Planning Go i i of Council may impose..." ; and page 4, item 7, "...the decision to appeal the decision recommendation of the Planning Commission...". Mrs. Richardson suggested adding: page 3, 3B, "...general welfare of the public and/or to provide for ... "; and changing page 5, 17.34.060 and 17.36.060, in the following manner: "...shall a setback adjacent to tl4e a street...". Mr. Christiansen recommended that the R 4 zones be added to both of those Sections as well. With those changes Mrs. Richardson moved, seconded by Mr. Carlisle to adopt Ordinance # 2614 entitled "Ordinance Amending the Development Regulations for the City of Anacortes (Zoning Ordinance)". Vote: Ayes — Carlisle, Petrish, Brown, Christiansen, and Richardson. Motion carried. Consent Agenda Mr. Christiansen moved, seconded by Mrs. Richardson to approve the following Consent Agenda items. Vote: Ayes — Petrish, Brown, Christiansen, Richardson, and Carlisle. Motion carried. Aporoval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on March 20, 2003, March 27, 2003, and April 3, 2003 for payment as of this date, April 7, 2003. Claims Warrants for the month of March Warrant Numbers 21581 through 21873 in the total amount of $487,020.63 Prewritten Claims for the month of March Warrant Numbers 21573, through 21580 in the total amount of $153,341.29 Pavroll # 1 for March 14. 2003 in the total amount of $389,084.89 Warrant Numbers 22905 through 22984 in the total amount of $78,506.11 Direct Deposit Numbers 6432 through 6579 in the total amount of $199,781.42 EFT Numbers 153 through 156 in the total amount of $110,797.36 Pavroll # 2 for March 31, 2003 in the total amount of $525,320.83 Warrant Numbers 22985 through 23076 in the total amount of $214,327.51 Direct Deposit Numbers 6580 through 6745 in the total amount of $198,625.67 EFT Numbers 157 through 161 in the total amount of $112,367.65 Council also cancelled Claims Warrant No. 53304 in the amount of $16.83; Claims Warrant Number 7728 in the amount of $3.00; Claims Warrant Number 9136 in the amount of $150.00; Claims Warrant Number 55689 in the amount of $10.00; Claims Warrant Number 1955 in the amount of $5.00; Claims Warrant Number 3723 in the amount of $6.00; Claims Warrant Number 5158 in the amount of $2.99; and Claims Warrant Number 8516 in the amount of $20.88. Ordinance: Sewer Refundinq Bonds Mr. George Khtaian, Finance Director reported to Council that outstanding sewer revenue bonds of $6.3 million were refinanced at lower interest rates saving the City approximately $300,000 in interest over the remaining 10 years left of the bonds. Mr. Khtaian then introduced Mr. Lee Voorhees, Bond Counsel, Foster, Pepper & Shefelman and Ms. Jane Towery, Underwriter, Banc of America Securities. They provided the legal and financial perspectives for the development of the Bond Ordinance and Purchase Agreement. After discussion, Mr. Christiansen moved, seconded by Mr. Brown, to adopt Ordinance No. 2613 relating to contracting indebtedness and providing for the issuance of Sewer Revenue Refunding Bonds, 2003. Vote: Ayes - Brown, Christiansen, Richardson, Carlisle, and Petrish. Mrs. Richardson then moved, seconded by Mr. Brown, to accept the Purchase Agreement with Banc of America Securities for the Sewer Revenue Refunding Bonds, 2003. Vote: Ayes — Christiansen, Richardson, Carlisle, Petrish, and Brown. Motion carried. 1750 April 7, 2003 -- continued Roostertail Racinq Dates: 2003 Request Mr. Jonn Lunsford, Forestlands Manager, presented the annual Whidbey Roostertails event schedule for 2003 Heart Lake racing. The requested weekend dates are September 6th and 7th and September 27th and 28th. The Forest Advisory Board reviewed the request for impact to the lake and recommended approval. With that, Mr. Carlisle moved, seconded by Mr. Petrish, to approve the Roostertail 2003 Event Schedule. Vote: Ayes — Richardson, Carlisle, Petrish, Brown, and Christiansen. Motion carried. CEP: Next 100 Acres for Non -Grove Donations Mr. Jonn Lunsford, Forestlands Manager, presented the next 100 acres for non -grove donations to the Conservation Easement program. Mr. Lunsford explained that the easement program specifies that Council approve each 100 acres as they become available for non -grove donations of less than $5,000. 530 acres have been conserved during the four years of the program. Mrs. Richardson moved, seconded by Mr. Carlisle, to approve the next 100 acres for non -grove donations in the Whistle Lake area. Vote: Ayes — Carlisle, Petrish, Brown, Christiansen, and Richardson. Motion carried. Resolution: Authorizinq Mavor Maxwell as Contact for FEMA Grant Mr. Ian Munce, City Attorney, reviewed with the Council and audience that the City submitted a letter of intent to apply for a FEMA planning grant for assistance in planning mitigation strategies for potential losses due from natural hazards such as earthquake, winter storm, flooding, landslide and the like. The letter on intent has been accepted and the City can now move forward with the grant application. One administrative task for the Council, as part of the grant application process, is to formally designate an official contact between FEMA and the City. The Resolution now before Council authorizes Mayor Maxwell, and Ed Frank, Building Official as alternate. With that, Mrs. Richardson moved, seconded by Mr. Brown, to adopt Resolution No. 1631 entitled "Pre -disaster Mitigation Grant Program". Vote: Ayes — Petrish, Brown, Richardson, and Carlisle. No — Christiansen. Motion carried. Resolution: Kiwanis Waterfront Park Mr. Gary Robinson, Director of Parks and Recreation, presented a Resolution to Council for review and adoption. The Resolution will authorize staff to take the necessary steps to complete the construction of Kiwanis Waterfront Park. Mr. Robinson reported that the Planning Commission issued a Shoreline Permit for this project and also reviewed the landscaping plans. Discussion followed regarding benches and natural beach environment. With that, Mrs. Richardson moved, seconded by Mr. Christiansen, to adopt Resolution # 1632 entitled "A Resolution Authorizing Staff to Take the Necessary Steps to Complete the Construction of Kiwanis Waterfront Park". Vote: Ayes — Brown, Christiansen, Richardson, Carlisle, and Petrish. Motion carried. Approval: Cemetery Master Plan Mr. Gary Robinson, Director of Parks and Recreation, presented a Consulting Agreement to Council for review and approval. The Scope of Work includes the preparation of a Cemetery Master Plan. The Consultant, Mr. Steve Colby, will receive an amount not to exceed $9,350 for this work. Mr. Robinson emphasized that expansion of the cemetery is necessary if the City intends to continue to provide burial services. Part of the Master Plan will include a schematic plan for future expansion with a cost estimate for improvements together with a focus on future additions of cemetery amenities. After discussion, Mr. Brown moved, seconded by Mrs. Richardson, to authorize the Mayor to enter into the Consulting Agreement between the City of Anacortes and Steve Colby in an amount not to exceed $9,350 to develop a Cemetery Master Plan for the City of Anacortes. Vote: Ayes - Christiansen, Richardson, Carlisle, Petrish, and Brown. Motion carried. At approximately 9:30 p.m. the Mayor announced that the meeting would be continued to Monday, April 14, 2003 at 7:30 p.m. for th following items: bid award/wildland fire fighting equipment. dl, a Ge a Khta' n, City Clerk -Treasurer H. Dean Maxwell, Mayo Co nu cilmembe-r 1751 April 14, 2003 -- continued from April 7, 2003 Mayor Maxwell called the continued meeting to order at 7:30 p.m. Roll call found present: Councilmembers Ray Sizemore, Terry Christiansen, Bill Carlisle, Cynthia Richardson, Nick Petrish, Ken Brown, and Bud Rock. Fire Chief Richard Curtis presented the bid proposals for wildfire firefighting equipment. Chief Curtis explained that his department had secured a $38,000 grant for Wildland Firefighting and Equipment. Eight bids reviewed this evening were for the equipment part of this program. Chief Curtis pointed out that the two lowest bids did not meet the bid requirements and that the next lowest bid from Forestry Suppliers in the amount of $14,425.88 was the lowest bid that met all requirements. After discussion, Mr. Carlisle moved that the City award the Wildland Firefighting Equipment bid to Forestry Suppliers in the amount of $14,425.88. The motion was seconded by Mr. Sizemore and passed unanimously. Mayor and Council then discussed with the City Attorney, Ian Munce, ratification of an Interim Memorandum of Agreement regarding instream flow rules and water rights on the Skagit River. After discussion, Mr. Carlisle moved that the City Council ratify the Interim Memorandum of Agreement as presented. The motion was seconded by Mr. Rock and passed unanimously. It was noted that the appeal that the County had filed was limited to just one issue, namely exempt wells upriver of the pipeline crossing in Sedro-Woolley, and that all parties were optimistic that this issue could be resolved by negotiation over the course of the next year. There being no further business to conduct, the continued meeting adjourned at approximately 8:00 p.m. Geo " Khtaig(n, City Cerk-Treasurer H. Dean Maxwell, Mayor A - ) Cou /�/� cilmember 1752 April 21, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, April 21, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. Roll Call was followed by the Pledge of Allegiance. Minutes of Previous Meetings Mr. Christiansen moved, seconded by Mr. Brown, to approve the minutes of April 7, 2003 and April 14, 2003 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Mr. Rock abstained from voting on the April 7th minutes. Citizen Hearinqs No citizens present wished to testify on matters not on the agenda. ;Mayor/Council Communication Mayor Maxwell referenced a letter from the Depot Arts Center regarding the Farmers Market. Due to the growth and development of this popular community activity, the Depot has asked for permission to remove a portion of the track adjacent to the market in order to expand to the north of the Depot. The matter will be placed on the 28th Study Session agenda for further review. The Mayor then turned to a Proclamation proclaiming the month of May as conservation Easement Month in the City of Anacortes. The Mayor pointed out that approximately 2,000 acres within the City limits are protected in perpetuity through a range of highly successful habitat conservation programs. Mr. Sizemore called for a Council Public Works Committee meeting on Tuesday, May 6, 2003 at 8:30 a.m. Mr. Sizemore, Mr. Christiansen, and Mr. Petrish are Committee members. Sewer rate studies are underway and Mr. Sizemore suggested that the Committee meet to initiate Council participation in the process. Mr. Petrish referenced a letter from the FAA regarding the operation at the Anacortes Airport. Mr. Petrish asked Mr. Ian Munce, City Attorney for clarification. He explained that a firm applied to the Port of Anacortes to build hangars at the Airport. The Port of Anacortes, intending to develop its own hangar project, denied the request. The applicant appealed the decision to the FAA. The FAA clarified that the Port of Anacortes, as a recipient of FAA grant monies, must comply with all grant conditions and restrictions and as a recipient cannot deny the application to build the hangars. The FAA decision underscored that the Port shall comply with local zoning. In that regard, the Council's Airport Advisory Committee will meet soon to continue the development of airport zoning language with Planning Commission hearings to follow in the summer. Mr. Munce further explained that all airport operations, airport safety, and noise emission issues are the province of the Port. However, with regard to the impacts from Port action in these three areas, the City has full police powers to mitigate for any effects. West 7th Street: Update Mr. Ian Munce, Planning Director, introduced a development request from Mr. Phil Rhodes. The subject property, on undeveloped West 7th Street, includes the two 6,000 square -foot building sites recently approved by Council through the Conditional Use process. Mr. Munce explained that the two sites are grand fathered; the underlying zoning is R 2 with a minimum lot size of 7,500 square feet. Due to the public input surrounding this Permit Mr. Munce brought Mr. Rhode's lot line modification request to Council's attention. Mr. Rhodes has asked for administrative approval for a 10' line shift allowing for full 7,500 square foot building sites on either side of the grand fathered lots. Mr. Phil Rhodes also submitted a proposal to the Planning Department to develop West 7th Street and no other variances or conditional use permits are proposed. Councilmembers agreed that this was a reasonable accommodation. Consent Aqenda Mr. Rock moved, seconded by Mr. Sizemore to approve the following Consent Agenda items. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on April 10, 2003 and April 17, 2003 for payment as of this date, April 21, 2003. 1753 April 21, 2003 -- continued Claims Warrants for the month of April Warrant Numbers 21877 through 22070 in the total amount of $1,011,201.87 Prewritten Claims for the month of April Warrant Numbers 21874, 21875, 21876 in the total amount of $11,021.58 Pavroll # 1 for April 15, 2003 in the total amount of $390,964.02 Warrant Numbers 23078 through 23158 in the total amount of $77,170.28 Direct Deposit Numbers 6746 through 6893 in the total amount of $202,326.29 EFT Numbers 162 through 165 in the total amount of $111,467.45 Council also approved a street fair application for the Anacortes Waterfront Festival on May 17, 2003 and May 18, 2003 at the Cap Sante Boat Haven. The event includes street closures and parking restrictions as outlined in an April 16, 2003 memorandum from Bob Hyde, Director of Public Works, to the Council and Mayor. Staff recommended approval. In the same motion Council declared items listed in an April 17, 2003 memorandum from Jesse Hofheimer, Physical Assets Account, as surplus, and further authorized sale of the items by auction or proper disposal immediately following the auction. There being no further business, as approximately 7: 50 p.m. the Mayor adjourned the meeting. Ge��rj Kht 'an, City Cl rk-Treasurer V -7i A,�� H. Dean Maxwell, Mayor Councilmember 1754 May 5, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, May 5, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. Roll Call was followed by the Pledge of Allegiance to the Flag. Minutes of Previous Meetinas Mr. Sizemore moved, seconded by Mr. Rock, to approve the minutes of April 21, 2003 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearings No citizens present wished to testify on matters not on the agenda. Mayor/Council Communication %'J/✓/✓/i%L%/!_%'%7/l'r•'r/>r'^r�'r��ri://�,%G%G/'l/O/l//.:%J/!7/Gr/G% Mayor Maxwell then read a Proclamation proclaiming May 5-12, 2003 as the City's celebration of National Historic Preservation Week. The Proclamation emphasizes that historic preservation is an effective tool for managing growth, revitalizing neighborhoods, fostering local pride, and maintaining community character while enhancing livability. Mrs. Richardson reminded the Council and audience that the wildflowers at Washington Park are at their peak and she encouraged everyone to enjoy the Park's natural beauty. Mr. Sizemore announced a Public Works Committee meeting for May 6, 2003 at 8:30 a.m. in the Council Chambers meeting room to discuss the upcoming sewer rate study. Depot Arts Center Expansion Mayor Maxwell introduced a request to expand the Depot Arts Center area to accommodate both a growing Farmers Market and to set aside area for the Anacortes rail and train project. The Council previously reviewed this request in Study Session. The Mayor pointed out that while other cities are working hard to establish this type of activity Anacortes has had a successful Farmer's Market since 1989. Mrs. Maria Petrish, Chairman of the Depot Art Center Board, explained that the Board is the umbrella organization for several arts associations including the Farmers Market. Mrs. Gloria Shelton, Market Manager, 1803 Piper Circle, explained that the market offers excellent produce as well as an outlet for Anacortes artists and a cultural meeting place for the community. With that, Mr. Sizemore moved, seconded by Brown, to approve the removal and reconfiguration of a section of the narrow -gage railway track to allow for expansion purposes. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Mr. Sizemore asked the Depot Arts Board to coordinate track removal with the Public Works Department. Letter to Countv Re: Ambulance Service Contract Mr. Ian Munce, City Attorney, provided an update on the Ambulance Service Contract negotiations with Skagit County. Mr. Munce explained that the Anacortes Fire Department billed Skagit County for the first contract quarter. The County paid indicating a willingness to honor holdover contract reimbursement commitments. Additionally, positive discussions have been held between the Mayor, County Administrator and County Commissioners. In the meantime City staff, and the Public Safety Committee will continue to develop a definitive position paper for Council consideration. At Councilman Brown's invitation the County Emergency Medical Director will be involved in negotiations to further resolved technical issues. Mayor Maxwell thanked Mr. Brown for his support in this endeavor. Consent Agenda Mrs. Richardson moved, seconded by Mr. Brown to approve the following Consent Agenda items. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on April 24, 2003 and May 1, 2003 for payment as of this date, May 5, 2003. Claims Warrants for the month of April Warrant Numbers 22074 through 22215 in the total amount of $257,593.21 Prewritten Claims for the month of Mav Warrant Numbers 22071 through 22073 in the total amount of $116,939.04 1755 May 5, 2003 -- continued Pavroll # 2 for April 30, 2003 in the total amount of $515,816.09 Warrant Numbers 23159 through 23248 in the total amount of $209,775.42 Direct Deposit Numbers 6894 through 7004 in the total amount of $194,738.12 EFT Numbers 166 through 170 in the total amount of $111,302.55 Council also adopted Ordinance # 2615 amending the 2003 Budget in the General Fund (001). Sharps Corner 36" Waterline: Condemnation Ordinance Mr. Bob Hyde, Director of Public Works, reported that the City is in the design phase of the next waterline extension program project — the 24" waterline across Highway 20 through the Similk Beach Golf Course to a Sharps Corner tie-in. One challenge faced by the project will be to obtain easements through three properties: Fidalgo RV Park, Fidalgo Country Inn, and Similk Beach Golf Course. The draft Ordinance now before Council would guarantee that the City obtain both construction and permanent easements through the RV property. Mr. Ian Munce, City Attorney, underscored the City's imperative to locate and install waterlines in order to meet public health and safety mandates. To date, cooperative negotiations have been held with both the Golf Course and the Fidalgo Inn. In contrast, the working relationship with the RV Park has been problematic. Absent a viable alternative the Condemnation Ordinance now before Council will ensure that property is available for the waterline installation. Questions followed regarding line location and construction schedule, and abandoned vehicle disposition. Mr. Rock offered to lend assistance in reaching an agreement. After discussion, Mrs. Richardson moved, seconded by Mr. Carlisle to adopt Ordinance No. 2616 relating to property acquisition, providing for the acquisition of certain properties for the improvement of the water utility. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Award of Chemical Supplv Contract Mr. Bob Hyde, Public Works Director, explained to the Council and audience that every two years the City solicits bids for chemicals used at the water and wastewater plants. This bid process allows for the City to take advantage of new, innovative, and more efficient chemicals as well as for gaining the best price for treatment chemicals. Some 12 companies responded to the call for bids. An April 11, 2003 Memorandum from Bob Hyde to the Mayor and City Council charts the bid results by chemical name, company, and bid price. After discussion, Mr. Carlisle moved, seconded by Mr. Christiansen, to accept the chemical bids for 2003-2005 as outlined in an April 11, 2003 memorandum from Mr. Bob Hyde to the Mayor and City Council. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Bid Award: Storz Adapter Mr. Bob Hyde, Director of Public Works, presented bid results for the City's yearly purchase of Storz adapters. The low bid was received from National Water Works, Bellingham, in the amount of $21,903.88. After discussion, Mr. Christiansen moved, seconded by Mr. Rock, to award the Storz Adapter purchase for 2003 to National Water Works, Bellingham in the amount of $21,903.88 including sales tax. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, Richardson. Motion carried. FEMA Ordinance Mayor Maxwell introduced a "Flood Damage Prevention Ordinance" to Council for review and approval. Adoption of this Ordinance would allow homes in those low-lying areas next to the shoreline to apply for and obtain flood insurance with the National Flood Insurance Program. The Ordinance was reviewed by Council in previous Study Session. Mr. Munce reported the Ordinance text was modified to replace the word "man" with the word "human". With that, Mr. Carlisle moved, seconded by Mr. Brown, to adopt Ordinance No. 2617 entitled "Adopting a Flood Damage Prevention Ordinance and Repeal of Ordinance No. 2451 Adopted the Second Day of February 1998". Votes: Ayes — Carlisle, Petrish, Sizemore, Brown, Christiansen, Richardson, and Rock. Motion carried. Teamster Local 231 Contract Mayor Maxwell presented the Local 231 Teamster Contract. The Mayor then outlined the benefits of this contract. Mr. Carlisle moved, seconded by Mr. Rock, to adopt the Contract. Mr. Christiansen and others asked that decision be held over for more time to review the contract. The Mayor said the meeting of May 5th will be continued to May 12th to allow for time to review the contract. Mr. Carlisle clarified that the motion and second to approve the contract would still be before the Council on May 12th. Mrs. Richardson moved, seconded by Mr. Christiansen, to table this matter until the continued meeting of May 12th. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Vacant Residence Reduced Utilitv Rates Ordinance Mr. Bob Hyde, Director of Public Works, presented an Ordinance to Council providing for reduced garbage and recycling rates for residents who vacate their homes temporarily. The Ordinance also clarifies this service's eligibility requirements, process, and rate reduction. This 1756 May 5, 2003 -- continued policy expands the availability of the reduced rates to anyone who qualifies, regardless of the reason, making the policy accessible to all customers. Mr. Ian Munce, City Attorney, recommended the following changes: Section 1 (E). delete the word "any"; and add to Section 2 - "This ordinance amends Appendix A of the previous ordinance where all the charges are set forth." Discussion followed regarding time restraints. After discussion, Mr. Carlisle moved, seconded by Mr. Petrish, to adopt Ordinance No. 2618 as amended and entitled "An Ordinance of the City of Anacortes, Washington, Providing for Reduced Garbage and Recycling Rates for Residents who Vacate their Homes Temporarily; Adding a New Section 8.04.400 to the City's Official Code." Vote: Ayes — Sizemore, Brown, Richardson, Rock, Carlisle, and Petrish. No — Christiansen. Motion carried. Final Acceptance of New Library Construction Contract Mr. Bob Hyde, Director of Public Works, presented a recommendation to Council to accept the Public Library Construction project as complete. The contractor, ANDA Construction, completed,the project punch list as of April 16, 2003 according to the terms of the contract. The successful library project is complete at a cost significantly under budget. With that, Mr. Carlisle moved, seconded by Mr. Christiansen, to accept the Library Construction project as complete thereby initiating the mandatory 30 -day lien period. If no liens are filed any retainage monies now held by the City will be paid to the contractor. Vote: Ayes - Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Approve Award of "A" Avenue Dump Site Environmental Testing Contract Mr. Bob Hyde, Director of Public Works, presented a proposal from Geomatrix Consultants, Incorporated of Bellevue for the evaluation and testing of the "A" Avenue site. The City is in the process of evaluating the "A" Avenue site for future uses. In that regard soils, surface water, and groundwater should be tested to determine the appropriate course of action and to determine if there is any current impact from previously solid waste disposal operations. After discussion, Mr. Sizemore moved, seconded by Mr. Brown, to award a contract for evaluation and testing of the "A" Avenue site to Geomatrix Consultants, Inc. for a fee not to exceed $23,679. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. There being no further business, as approximately 8:50 p.m. the Mayor continued the meeting to Monday, May 12th to discuss the Teamsters Local 231 Contract. 7V/ Z-4,9', zet�, G e Kh ian, City Clerk -Treasurer H. Dean Maxwell, z 1757 May 12, 2003 -- Continued from May 5, 2003 Mayor Maxwell called the continued meeting to order at 7:30 p.m. Roll call found present: Councilmembers Ray Sizemore, Terry Christiansen, Cynthia Richardson, Ken Brown, Bud Rock, Bill Carlisle, and Nick Petrish. The Mayor explained that the purpose of this continued meeting was to consider one item, namely a resolution entitled "Authorizing Acceptance of the Bargaining Agreement By and Between the City of Anacortes and the International Brotherhood of Teamsters Local #231" for the period of January 1, 2003 through December 31, 2005. The Mayor noted that there was already a motion on the floor, a motion by Mr. Carlisle, seconded by Mr. Rock. This motion was introduced at the May 5, 2003 meeting but no action was taken in order to allow more time for councilmembers to review the detailed provisions of the contract. After discussion, the question was called and Resolution No. 1633 authorizing the above referenced agreement passed unanimously. The continued meeting of May 5, 2003 adjourned at approximately 7:45 p.m. Geo Khtaia , City Clerl�-Treasurer H. Dean Maxwell, May6r Ilea. Councilor tuber 10.3 1760 May 19, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, May 19, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. Absent: Ray Sizemore. Roll Call was followed by the Pledge of Allegiance to the Flag. Minutes of Previous Meetinqs Mrs, Richardson asked to amend the minutes of May 12, 2003 as follow: "The Mayor noted that there was already a motion on the floor, a motion by Mr. Carlisle, seconded by A Mr. Rock." With that correction Mr. Petrish moved, seconded by Mr. Carlisle, to approve the minutes of May 5, 2003 and May 12, 2003. Vote: Ayes - Petrish, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearinqs No Citizens present wished to testify on matters not on the agenda. %.Mayor/Council Communication Mayor Maxwell presented the Mayor's Award of Merit to Officer Janet Wilson of the Anacortes Police Department. As Dare Instructor and Crime Prevention Officer, Ms. Wilson has exhibited an outstanding work ethic and can -do spirit. Also instrumental in coordinating the citizen's academy, Officer Wilson continues to serve the community with positive energy and professionalism. As part of the Merit Award she will receive a gift certificate to a local restaurant and her name will be placed on a plaque in the Council Chambers with the names of other Award recipients. Officer Wilson accepted this honor to heartfelt applause from the Council and audience. The Mayor then turned to a Proclamation proclaiming the week of May 5, 2003 as Youth Week by the Benevolent and Protective Order of Elks Lodge No. 1204. The Proclamation further urges all government, civic, fraternal and patriotic groups, and citizens generally, to participate in this observance. The Mayor read a second Proclamation proclaiming June, 2003 as Hire -a -Veteran Month in the City of Anacortes. The proclamation urges all citizens to participate in this special observance of the lifelong contributions that veterans and family members have made in the State of Washington. The Mayor asked Ms. Sonja Downs to step forward. Using an overhead photo display, the Mayor called attention to the beautiful landscaping area in front of the Harbor House, 7th Street and "Q" Avenue. Through her own efforts Ms. Downs has created and maintained this garden for all to enjoy. In recognition of her valuable contribution to the beautification of Anacortes the Mayor presented Ms. Downs with a Certificate of Appreciation. Mr. Brown asked Council to consider the appointment of Mr. William J. Mihelich as the Ward Two representative to the City Improvement Board. Mr. Rock moved, seconded by Mr. Petrish to confirm the appointment. Councilmembers asked to first review Mr. Mihelich's resume before voting. The matter will be back before the Council in two weeks. Emphasizing safety issues Mr. Carlisle reported on a recent incident at the Anacortes Airport runway. Ordinance: AMR Bond Issue Mr. George Khtaian, Finance Director, presented an Ordinance to Council for review and approval. The Ordinance authorizes water revenue bond issue for implementation of the new automated meter reading system for the City. Mr. Lee Voorhees, Foster Pepper Shefelman, Financial Bond Counsel and Suzanne Eide of Bank of America Securities provided background information on interest rates and sale of bonds. Ms. Eide pointed out that 1/3 of the bonds have already been sold; BOA purchased the remainder based on their confidence in the high credit rating for the City of Anacortes. With that, Mr. Christiansen moved, seconded by Mrs. Richardson, to adopt Ordinance No. 2619 providing for the issuance of Water Revenue Bonds, 2003 relating to the water supply and distribution system of the City. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Memorandum of Understandinq with Samish Indian Nation: Public Hearinq/Action Mayor Maxwell opened the Public Hearing to take comments on a proposed Memorandum of Understanding (MOU) between the City of Anacortes and the Samish Indian Nation. Mr. Ian Munce, City Attorney, explained that this MOU not only provides the framework for a cooperative long-term relationship between both parties, but also includes a mechanism to address new areas of concern. Representatives from the City and Tribe have met to craft the language and guiding principles of this relationship and the draft document now before Council was reviewed in Study Session. Mr. Munce also said that as a sovereign nation the tribe has the right to take property off the tax rolls and to be self- governing. However, in the Memorandum the Tribe agrees to make payments in -lieu of taxes for its properties. Additionally, the Tribe agrees to pay full fees for City services including water, sewer, and other utilities. Again, the significant feature of the agreement is the framework for activity on cooperative ventures. As an example, the Tommy Thompson Parkway contains a significant archeological site and both parties are committed to safeguard this area and to work cooperatively on shoreline stabilization. Mr. Ken Hansen, Samish Chairman, spoke on behalf of the Samish Nation. He emphasized the Tribe's cooperative posture on issues of jurisdiction and building codes. Mr. Hansen expressed appreciation for the City's intent to safeguard the archeological site. Mrs. Richardson asked to add "environmental resources" to paragraph 4, page 1 of the MOU. Mr. Hansen concurred with that language change. Mr. Petrish asked for clarification on Item # 7, Compliance with Laws. Standards and Reouirements for Tribal Properties. Mr. Munce answered that the even though the Tribe has the power to self -regulate and self - govern they have committed to meet or exceed City standards in regard to Tribal properties. The Chairman then introduced Tribal Council and staff members in the audience. There were no further comments and the Mayor declared the Public Hearing closed. With that, Mrs. Richardson moved, seconded by Mr. Rock, to authorize the Mayor to enter into a Memorandum of Understanding with the 1761. May 19, 2003 -- continued Samish Indian Nation (as amended). Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, and Brown. Motion carried. Letter to County re: EMS Reimbursement Mr. Ian Munce, City Attorney introduced the next step in an on-going effort to follow through with an EMS Reimbursement Contract for 2003, including the purchase of a replacement ambulance. There is an existing contract between the City of Anacortes and Skagit County for the ambulance replacement; that purchase has been postponed by the County until the Emergency Medical Services Management Plan is in place. Completion of that document would require the clarification of emergency services standards for the central valley as well as for western Skagit County including agreement on response time goals. This administrative process may take some time for all parties to reach agreement; in the meantime the City cannot follow through on an approved purchase to replace an older vehicle. The draft letter to the Skagit County Administrator offers a compromise. The City would agree not to purchase the vehicle until September 30th to allow for completion of the EMS Management Plan; if the deadline is not met the City will follow through with the replacement order. Mr. Brown and Mr. Christiansen spoke in favor of the letter and underscored the need for the City to have fully functioning safety equipment. After discussion, Mr. Rock moved, seconded by Mr. Brown, to approve the letter from Mayor Maxwell to Mr. Gary Rowe, Skagit County Administrator, regarding the Ambulance Service Contract. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Brown, and Christiansen. Motion carried. ConsentAgenda Mrs. Richardson moved, seconded by Mr. Brown to approve the following Consent Agenda items. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on May 8, 2003 and May 15, 2003 for payment as of this date, May 19, 2003. Claims Warrants for the month of Mav Warrant Numbers 22218 through 22418 in the total amount of $290,756.14 Prewritten Claims for the month of Mav Warrant Numbers 22216, 22217 in the total amount of $8,685.27 Council also adopted Resolution No. 1634 amending the water contract by and between the City of Anacortes and Tesoro Northwest Co.; Resolution No. 1635 amending the water contract by and between the City of Anacortes and Shell Puget Sound Refinery; Resolution No. 1636 amending the water contract by and between the City of Anacortes and the City of Oak Harbor; Resolution No. 1637 amending the water contract by and between the City of Anacortes and the Town of LaConner; Resolution No. 1638 amending the water contract by and between the City of Anacortes and P.U.D. # 1 of Skagit County; and Resolution No. 1639 by and between the City of Anacortes and the Swinomish Tribal Community. St. Mary's Festival — Fireworks Mr. Petrish stepped down from deliberation on this matter. Fire Chief Richard Curtis introduced a request from the St. Mary's Church to allow a 10 -minute fireworks display on Friday June 20, 2003 to kickoff the annual St. Merryfest activities to be held at the church campus. Chief Curtis reported that the proposal meets the requirements of RCW 70.77 and includes a $1,000,000 bond for personal injury and property damage. Staff recommends approval. Prior to this meeting Council received correspondence from the neighborhood expressing concern over some aspects of the annual carnival. Mr. Rock asked to open up the meeting to take comments from the audience. Mr. Don Schmude (11306 Mainsail Lane); Mr. Jerry Osborne (4307 St. Mary's Drive), on behalf of the Knights of Columbus; Mr. Quinn Roskelly (15526 Yokeko Drive); and Mr. Bill Putnam (Georgia Avenue), all spoke in favor of the event. Mr. Rob Hoxie, 619 Fidalgo, asked that the Merryfest committee respond to the concerns of the neighborhood specifically with regard to noise from the generators. Councilman Brown noted that he had received comments from constituents, committee members, and neighbors. Mr. Brown suggested that prior to next year's activity that all parties meet to discuss matters of mutual concern. Mr. Brown offered to participate in these discussions. With that, Mr. Christiansen moved, seconded by Mr. Carlisle, to authorize the Fire Department to issue a permit to St. Mary's Church for a public fireworks display on June 21, 2003 after all necessary permit requirements have been met. Vote: Ayes — Carlisle, Brown, Christiansen, Richardson, and Rock. Motion carried. Mr. Petrish returned to the Council Chambers. Closed Record Meetinq; Pleasant Slope Preliminary Plat: Planninq Commission Recommendation and Appeals 151 Mr. Petrish and Mr. Christiansen stepped down from deliberation on this matter. Mayor Maxwell initiated the Closed Record Meeting on the Pleasant Slope Addition, a 34 -lot subdivision (replat) on 9.91 acres at "H" Avenue and 28th Street. Mr. Ian Munce, Planning Director, explained that a number of issues with this proposal may well need more work at the staff level, under Council's direction, before any action is taken. The Planning Commission held an Open Record Public Hearing on this matter over a number of evenings together with a site visit; transcripts of those meetings were forwarded to Council prior to this meeting together with all correspondence, related paperwork, and appeals. Mr. Munce then outlined the issues. Using an overhead display, Mr. Munce pointed out that this project is the re -subdivision of a long-established plat. The Creekside Subdivision is north of the project site with the Mehler Conservation easement located to the south; both neighbors expressed concern about 1762 May 19, 2003 -- continued buffers. Next, the Comprehensive plan requires that during project development review staff recommend street connections where reasonable and practical. This brought about a requirement to connect this project with "H" Avenue. This right-of-way link generated the appeals and comments from the neighbors. Additionally, the Mehlers have asked that a 10-15' area abutting their property be kept free any activity during construction. The applicant also supports a proposal to construct a split rail fence along the northerly and southerly boundaries (amendment to Condition # 16). The landscaping plan will go to Planning Commission for approval. An agreement has been reached between Creekside Homeowners Association and the applicant, Vintage Investments. Mr. Munce also pointed out that the north 40' of the 27th street right-of-way is not directly affected by this proposal. Creekside does not want to purchase that right of way and the Planning Director recommended to the Planning Commission and now to Council that the City remove that north 40' of 27th Street from right-of-way status to prohibit any future development. The applicant has also raised concerns over the potential costs of purchasing vacated right-of-way. A proposal was offered to offset these fees with credit for certain infrastructure improvements. Considerable testimony highlighted the use of platted 28th street as a project entrance providing for 3 access points. While there is some interest in this proposal no meetings have been held with the 28th street property owners, and 28th Street development is not applicant's responsibility to pursue. The Mayor then opened the meeting to appeal presentations. Ms. Gail Cusworth 1113 18th Street, preferred access to "D" Avenue with 28th street as a 2"d option. "H" Avenue is already experiencing heavy traffic. Ms. Lucy Smith, 1719 25th "H" Court, Mrs. Lucy Smith, 1719 25th H Court, and Mr. Raymond Smith, 1719 25th H Court did not appear. Ms. Claudia Hartman, 1711, Bakerview Court, spoke in favor of adding access from 28th Street to "J" Avenue in addition to "D" and "H" Avenues. Ms. Aleta McKinley, 2718 "H" Avenue, recommended sole project access to "D" Avenue with 28th street as an option. Mr. Dale Herrigstad, representing Vintage Investments, clarified that the suggested improvements discussed during the appeal presentations are off-site. Mr. Rock spoke in support of using the north half of 27th Street as a "greenbelt" area and based on costs estimates to add 28th Street as an access point. Mr. Brown suggested that 28th Street and "D" Avenue would be the preferred access points. Mr. Munce asked for Council direction before approaching the 28th street homeowners about potential development of their street. Mrs. Richardson spoke in favor of vacating all of 27th Street, 3 project entrance points, with a hearing for 28th street properties. She thought that these issues need not stop project approval. Mr. Carlisle spoke against development of "H" Avenue. After discussion Council recommended: staff set up a meeting with the applicant to talk about cost and development issues; prepare a construction cost analysis, and arrange a meeting with 28th street property owners to discuss road improvements. Public Hearinq: Amendment to Skaqit Countv Comprehensive Plan/Zoning Map: Add 28 Acres to UGA Mayor Maxwell opened the Public Hearing to take comment an application submitted by Mr. Andy Culbertson to add 28 acres south of Stevenson Road to the City of Anacortes' Urban Growth Area (UGA). Mr. Ian Munce, Planning Director, provided the following background information: The Growth Management Act gives the County the authority to establish Urban Growth Areas. Cities cannot annex outside UGA's but are both allowed and encouraged to annex within UGA's. The Cities can only recommend UGA Boundary amendments to the County. Applications must be submitted to the City of Anacortes by March 31St of any year. The City Council will make a recommendation on the application to the County; all formal application and comments will be submitted for the County public hearing process. The Culbertson application is the first proposed addition to the urban growth area since 1997. Mr. Munce Wetland discussed the litigation concerning the County's Rural Marine zone designations. As a result of a Settlement Agreement the City can focus on adding existing light manufacturing properties to the UGA that would benefit from the sewer extension on Stevenson Road — the 28 acres proposed fits that description. Neighbors have been notified of this application to help clarify zoning characterization. The property to the west may apply next year. Mr. Andy Culbertson, 1004 7th Street, applicant, described the current and historical uses in this area. Ms. Melody McCutcheon, attorney, explained why this application is coming to the City and County at this time. A portion of the Culbertson property is too environmentally sensitive to add to the UGA; however, the County has modified its RM1 zone restrictions for this portion of the Culbertson property. The remaining 28 acres proposed for inclusion in the UGA are different in character and are well suited to a light manufacturing environment. Ms. Margaret Studer, 1114 20th St., representing A Thousand Friends of Washington, suggested that the City does not need the 28 acres to meet projected demands and called for planning to determine how much industrial land is needed and at what locations. Ms. Studer also presented a letter from Evergreen Islands for Council review. Mr. Bill Wooding, 1601 Georgia Place, spoke in favor of the addition of the 28 acres for light manufacturing use. Mr. Dave Bass, 12813 Similk Bay Road, owns abutting property and expressed concern that an auto wrecking facility would be an eyesore and would devalue his property. Mr. Bob Evans, 11348 March Point Road, spoke in favor of incorporating the property into the UGA. Mr. Gary Sawyer, 1603 34th St., spoke in favor of taking this action and welcomed the opportunity for additional light manufacturing uses. There were no further comments and the Mayor declared the Public Hearing closed. Mr. Christiansen emphasized that there is insufficient industrial land for proposed industrial activities. Mr. Brown also spoke in favor of the addition of this area. Mrs. Richardson suggested that this action could be characterized as spot zoning and she would not support this action without further analysis. After discussion, Mr. Christiansen moved, seconded by Mr. Brown, to recommend to Skagit County to include the Culbertson 28 acres into the City of Anacortes Urban Growth Area. Vote: Ayes — Petrish, Brown, Christiansen, Rock, and Carlisle. No — Richardson. Motion carried. 1763 May 19, 2003 -- continued Authorizing Resolution: ACFL Grant Application Mayor Maxwell presented a request from Jonn Lunsford, Parks and Recreation Department, for Council adopt of a resolution authorizing application for funding assistance for a National Recreation Trails Program (NRTP) project to the Interagency Committee for Outdoor Recreation (IAC). The project includes additional season worker, supplies for replanting, trail erosion control, bridge construction and trail repair throughout the ACFL. With that, Mr. Brown moved, seconded by Mr. Rock, to adopt Resolution No. 1640 entitled "FY2004-5 ACFL Trail Maintenance Program". Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Award 2003 Street Overlav to Lakeside Industries Mr. Bob Hyde, Director of Public Works, reported to Council that bids for the 2003 Street Overlay Project were opened on May 7, 2003. Low bid was received from Lakeside Industries in the amount of $310,882.10. The project includes overlay and reconstruction of streets in the Skyline Subdivision. With that, Mr. Carlisle moved, seconded by Mr. Christiansen, to award the 2003 Street Overlay Project to Lakeside Industries in the amount of $310,882.10. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, and Brown. Motion carried. There being no further business the Mayor adjourned the meeting at 10:10 p.m. Ge or htaian/City CleZrk-Tre surer 2 w H. Dean Maxwell, Mayo Councilmember 1764 June 2, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, June 2, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. The Pledge of Allegiance followed roll call. Minutes of Previous Meetings The following amendments were made to the minutes of May 19, 2003: 1St paragraph, page 4: "The applicant also supports a proposal to construct a split rail fence along the Rerthern northerly and southerly beundaFy boundaries ..."; 2"d paragraph page 4: "Mrs. Richardson spoke in favor of vacating all of 27th Street,..."; 2nd paragraph, page 5: "...eAYifeaFteAtal environmentally sensitive..."; 7th paragraph, page 3, "...Mr. Christiansen steeped stepped down from...". With those corrections Mr. Brown moved, seconded by Mrs. Richardson to approve the minutes of May 19, 2003 as if read. Vote: Ayes - Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearinqs No citizens present wished to testify on matters not on the agenda. Mayor/Council Communication° ®Mayor Maxwell read a June 2nd letter from a 6th Street resident. The letter congratulated the Mayor and Public Works Department on the outstanding performance of the Street Division on a recent sidewalk replacement project. Rick Harvey, Street Supervisor and crew members Bruce Mullen, Andrew Klingman, Mike Henson, and Bill Larson did the work. All received high marks for their professionalism, speed, and skill. The Mayor mentioned that sidewalks with tripping hazards are eligible for the sidewalk replacement partnering program with the City. ®Over the weekend the Mayor and several City employees supported and participated in the successful "Relay for Life" fund-raiser for the American Cancer Society. The community raised over $140,000. offirlhe Mayor reported on a meeting with Bob Hyde, Public Works Director, Ian Munce, Planning Director, and representatives from the 281h and "J" neighborhood. While some negotiation is still necessary, the majority of participants at that meeting opted for the installation of full street improvements on 28th ®Mr. Brown asked Council to consider the appointment of Mr. William J. Mihelich as the Ward Two representative to the City Improvement Board. Mr. Sizemore moved, seconded by Mr. Petrish to confirm the appointment. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. ®Mr. Petrish made known that the Depot Arts Center will sponsor a 92"d birthday celebration for the Depot building on Saturday, June 7th from 6:00 p.m. to 8:00 p.m. On that evening the Center will also honor and welcome Lt. Commander Mark Lucas, VAQ 139. ®Mr. Sizemore announced a June 12, 2003 Public Safety Committee meeting (Ray Sizemore, Terry Christiansen, and Ken Brown) to: (1) review update from members of the Drug Task Force; (2) review ongoing EMS contract negotiations; and (3) discuss proposed RFP process for City Prosecutor's position. Acceptance: 17th Street Improvements Mr. Bob Hyde, Director of Public Works, presented a request to Council to accept the 17th Street Improvements and Signalization Project as complete. The project called for the reconstruction of 17th Street between "Q" Avenue and Commercial Avenue and the installation of traffic signals at the two intersections. G & G Excavation was awarded the contract in the amount of $450,220.20. The final contract amount with tax was $491,828.45. With that, Mr. Christiansen moved, seconded by Mr. Brown, to accept the 17th Street Improvements and Signalization Project as complete thereby initiating the mandatory 30 -day lien period. If no valid liens are filed, any retainage now held by the City will be released to the contractor. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Acceptance: 2002-03 Waterline Replacement Work Mr. Bob Hyde, Public Works Director, presented a request to Council to accept the 2002-03 Waterline Replacement work and the water service exchange project on Padilla Heights Road as complete. The original contract was award to Strider Construction in the amount of $422,140,10. The final contract value including tax was $477,177.22. Mr. Hyde explained that the major cost increase occurred on the Padilla Heights services transfer project when different pipe material than anticipated was discovered. With that, Mrs. Richardson moved, seconded by Mr. Sizemore, to accept the 2002-03 Waterline Replacement work and the water service exchange project on Padilla Heights Road as complete thereby initiating the mandatory 30 -day lien period. If no valid liens are filed, any retainage now held by the City will be released to the contractor. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. 1765 June 2, 2003 -- continued Cascade Natural Gas Franchise Ordinance Amendment Natural Gas Utilitv Tax Ordinance Amendment Mayor Maxwell announced a change in the schedule to consider the following ordinances: (1) Ordinance amending the Cascade Natural Gas Franchise with regard to "Customer Service Office" language and reference to franchise fee, and (2) Ordinance amending the Municipal Code with regard to Fees — Natural Gas. The Mayor then introduced Mr. Larry Anderson, Vice President, Safety and Engineering, Cascade Natural Gas. Mr. Anderson informed the Mayor and Council that more research will be necessary before taking action to revise the Franchise agreement. When that research is accomplished the ordinances will come back to Council for consideration. Consent Aqenda Mr. Sizemore moved, seconded by Mr. Rock to approve the following Consent Agenda items. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on May 22, 2003 and May 29, 2003 for payment as of this date, June 3, 2003. Claims Warrants for the month of May Warrant Numbers 22432 through 22587 in the total amount of $409,024.59 Prewritten Claims for the month of Mav Warrant Numbers 22419 through 22430 in the total amount of $4,000.22 Pavroll # 1 for Mav 15, 2003 in the amount of $391.538.77 Warrant Numbers 23250 through 23330 in the total amount of $78,269.90 Direct Deposit Numbers 7060 through 7207 in the total amount of $200,303.57 EFT Numbers 171 through 174 in the total amount of $112,965.30 Pavroll — Mav 19, 2003 — retro Warrant Numbers 23331 through 23399 in the total amount of $32,404.93 Council also adopted Ordinance No. 2621 repealing Ordinance # 2568 vacating a portion of 27th Street — Tomasko. Closed Record Meetinq: Samish View Preliminary Plat Mayor Maxwell initiated the Closed Record Meeting for Samish View Estates Preliminary Plat, a 10 -lot proposal on 2.3 acres generally located west of the 37th Street and "M" Avenue intersection. Mr. Ian Munce, Planning Director, used an overhead display to highlight the project layout of 5 duplex and 5 single-family lots. The north half of the site is in the R 3 zone (duplexes are a permitted use) with the south half in R 2 (single family). The Planning Commission recommended approval subject to several conditions; two appeals were filed. All transcripts, testimony, and exhibits were distributed to Council prior to this meeting. Mr. Munce pointed out that the parcel is narrow but will still be developed with full City street improvements. One of the proposed lots is situated in both zones; the applicant will locate the duplex on this lot north of the zoning boundary. The appeals focus on the applicant's request to designate the cul-de-sac as an easement rather than to dedicate that portion of the street to the City. If permitted this would allow the developer to measure the building setbacks from the street. Without this consideration two proposed lots would be eliminated. The Planning Commission recommends a minimum 10' building setback from the street and a minimum 15' rear setback on Lots 6 and 7. Mr. Munce then referred to the project summary provided by Mrs. Erica Pickett, Planning Commission Chair. Mr. Hamilton Sandvig, 1410 38th Street, appellant, spoke against characterizing the cul-de-sac as an easement and also spoke against the reduced setback citing loss of privacy for the neighbors. The second appellant, Mr. Andrew Allen was not present. Mr. Young -Soo Kim, engineer and surveyor for this project, emphasized that the access will be developed to full City standards; no modification is necessary aside from designating the cul-de-sac as an easement. In answer to a question from Mrs. Richardson, Mr. Kim explained that the setback modification was necessary to meet the minimum requirements for lot depth and width; the modification would also allow for the design of attractive homes to complement the neighborhood. On a question from Mrs. Richardson, Mr. Munce clarified that this project will meet the City's requirement for 30' of frontage on an improved City street. He also clarified that the 30' buffer requirement between duplex and residential developments only applies in reference to a Planned Unit Development. Mr. Petrish pointed out that the current neighborhood in -fill development trend can only continue. Mr. Christiansen offered that while he was concerned about the project density, the proposal meets City standards. Having reviewed all the material presented Mr. Petrish moved, seconded by Mr. Carlisle, to deny the appeals. Vote: Ayes — 1766 June 2, 2003 -- continued Carlisle, Petrish, Christiansen, and Richardson. No — Rock, Sizemore, and Brown. Motion carried. With that, Mr. Petrish moved, seconded by Mr. Carlisle, to approve the Samish View Preliminary Plat subject to the conditions outlined in the Findings of Fact and Conclusions of Law. Vote: Ayes — Carlisle, Petrish, Brown, Christiansen, and Richardson. No — Sizemore, and Rock. Motion carried. Ordinance: Interim Zonina at the Anacortes Airport Mr. Ian Munce, City Attorney, presented an Ordinance to Council for review and approval. The Ordinance provides for interim controls for the Anacortes Airport while the larger Airport development issues and zoning language will be considered at a later date in Public Hearing. The Airport Citizen Advisory Committee submitted a detailed proposal for the airport zone structure; however, that proposal is not part of the Ordinance now before Council. Rather, the Committee's proposal will be part of the 2003 Comprehensive Plan and Zoning Regulation amendment hearings to be held later this year. Mr. Munce further explained that State law provides a category for municipalities to take interim action, either in the form of a moratorium on further development at the Airport, or in the form of interim controls. If Council imposes interim controls a Public Hearing must be held within 60 days to take comments on the merits of this action. This interim provision is designed to avoid multiple projects vesting before new rules can be adopted. The proposed interim controls are: those uses listed in the current Port of Anacortes Master Plan; a 75' foot setback; 35' height with conditional use required over 35' to a maximum of 50'; 30' landscape buffer; and berm with fence and trail. A Binding Site Plat review will allow the Port to develop separate segments of the buffer at any one time. After discussion Mr. Petrish moved, seconded by Mr. Carlisle, to adopt Ordinance No. 2620 entitled "An Ordinance Adopting Interim Zoning and Subdivision Controls on all Light Manufacturing Zoned Property at the Anacortes Airport". Vote: Ayes — Sizemore, Brown, Christiansen, Rock, Carlisle, and Petrish. No — Richardson. Motion carried. Public Hearina and Ordinance: Capital Facilities Plan (CFP) (2004-20091 Mayor Maxwell opened the Public Hearing to review and take comments on the City of Anacortes Capital Facilities Plan for the years 2004-2009. The Mayor added that two projects have been added: 30th Street from Commercial to "R" Avenue, and West 2nd Street. There were no comments from the audience and the Mayor declared the Public Hearing closed. The Mayor thanked the community for participation in shaping the schedule for the major public facility improvements to be implemented within the next six-year period. With that, Mr. Rock moved, seconded by Mr. Sizemore, to adopt Ordinance No. 2622 entitled "An Ordinance Adopting the Capital Facilities Plan (CFP) for the 6 -year Period 2004-2009". Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Public Hearina: 2003 Comprehensive Plan and Development Requlations Mayor Maxwell opened the Public Hearing to review and take comments on proposed Development Regulation and Comprehensive Plan Amendments for 2003. Mr. Ian Munce, Planning Director, initiated the annual review/amendment cycle of Comprehensive Plan and Zoning code changes. Holding this preliminary hearing to review the proposed changes is the first step in that process. The Council will forward those proposals with merit to the Planning Commission for substantive review. Revise Comprehensive Plan Transportation Goal 4 (Anacortes Airport). Mr. Christiansen proposed a Comprehensive Plan change relative to the Anacortes Airport. This revision will be one of a number of additional proposals submitted by the Airport Citizen Advisory Committee. Revise Comprehensive Plan Transportation Goal 5 (Pedestrian Links) This proposal by Mrs. Erica Pickett addresses pedestrian links connecting neighborhoods. Rezone Block 14 of Tuttle Bucklev Addition from R 2 to Liqht Manufacturing Mr. Ed Hawkings, 16961 Peterson Road, Burlington, owner of Block 14 pointed out that there's a pump station already on the subject property. The land is adjacent to Airport property and Mr. Hawkings would like to develop a storage facility. Allowing Residential Multi -family Short-term Accommodation in the LM 1 Zone Mr. Joel Douglas, P.O. Box 4082, Bellingham, submitted a proposal for short-term accommodations in the LM zone. Mr. Douglas suggested that this proposed use (to be made available through the conditional use process) would compliment the golf course located in this zone. Add Kennels as a Conditional Use in the LM 1 Zone Mr. Ed Little, 4506 San Juan Avenue, owns property in the LM 1 zone. Mr. Little suggested that the property would lend itself to this type of use. Revisions to Add Short cul-de-sac Standards The City's Development Review Committee recommended a number of road development standards relative to public roads. 1767 June 2, 2003 -- continued Revise Government Siqn Regulations Mr. Ed Frank, Building Official, submitted suggested language regarding "directory of services" signs. Eliminate PUD Minimum Parcel Size and Reduce Application Reauirements for Parcels Under 2 Acres Mrs. Richardson proposed allowing PUD's on a parcel of land of any size. Applications for parcels under 2 acres should be simplified. Mr. Munce highlighted that over the last decade the overwhelming testimony during land use permit hearings has been against increased density. The R4 B zone currently allows single-family residences on 3,000 square foot lots. Add "Cottage Housinq" Provisions to the Zoninq Ordinance In a letter to Council Mr. Bo Miller suggested adding zoning code language for accessory and cottage housing. Ms. Evie Berk, 509 5th St., spoke in favor of a Comprehensive Plan Amendment to include a residential overlay zone to permit cottage housing and other creative housing options. Ms. Berk submitted examples of successful cottage housing projects. Mr. Bob Rose, 2027 "N" Avenue, urged Council to consider a wider array of housing choices. Mr. Rose suggested that urban infill will help protect the County's rural areas. Ms. Brenda Lavender, 4924 Heather Drive, representing Evergreen Islands, advocated the development of cottage housing design standards to provide for neighborhood compatibility. Droppinq Minimum Lot Widths The Planning Commission recommended that this issue be discussed during the 2003 review. Clarification of Signs/Marquees Mr. Jamie Harju submitted language revisions regarding marquees. Clarification of R 4 Minimum lot size and clarifvina cross-references to RCW 58.12 These two items are corrections/clarifications submitted by staff. Mr. Munce added that a new draft Restoration Plan is available for Fidalgo Bay. This Plan will be included in the Comprehensive Plan amendment review process. He also suggested that Council consider language outlining building constraints when an appeal has been filed. There were no further comments and the Mayor declared the Public Hearing closed. The Council will continue to review the proposals in Study Session. Eckert Appeal from City Improvement Board Mr. C.J. Eckert filed an appeal of the Anacortes Improvement Board findings and the fines levied against his property. Mr. Eckert was not in the audience; Mr. Ed Frank, Building Official, confirmed that Mr. Eckert was notified of this meeting by e-mail, first class mail, and registered, return receipt requested mail. Mr. Ian Munce, City Attorney, recommended, absent Mr. Eckert, that Council deny Mr. Eckert's appeal and move forward to Superior Court with enforcement action. Mr. Carlisle so moved, seconded by Mr. Sizemore. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Street Fair Applications Mr. Bob Hyde, Director of Public Works, submitted three street fair applications for Council review and approval (all applications are for annual events): (1) 4th of July Extravaganza, Commercial Avenue from 2nd Street to 10th Street and 2nd Street from "O" Avenue to Commercial; (2) Anacortes Arts Festival, August 1, 2003 through August 3, 2003, downtown Anacortes; and (3) Vintage Motorcycle Show Street Fair, September 28, 2003, "R" Avenue in front of the Depot Art Center. All applications were reviewed and staff recommended approval subject to the conditions outlined in the event applications. With that, Mr. Sizemore moved seconded by Mr. Petrish, to approve the three street fair applications as presented. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. At approximately 10:00 p.m. Mayor Maxwell announced that the meeting will be continued to Monday, June 9, 2003 for the purpose of awarding the construction contract for the Guemes Channel/Kiwanis Park. Georg htai,City Clerk -Treasurer H. Dean Maxwell, M or 1766 June 9, 2003 — Continued from June 2, 2003 Mayor Maxwell called the continued City Council public meeting to order at approximately 7:30 p.m. in order to consider and take action on bids for the development of Guemes Ferry Park. Roll call found present: Nick Petrish, Bill Carlisle, Bud Rock, Ken Brown, Terry Christiansen, Ray Sizemore, and Cynthia Richardson. Mr. Bob Hyde, City Public Works Director, explained that six bid packages had been sent out to those on the City Small Works Roster and that two bids had been received. After reviewing the bids, Mr. Sizemore moved that the City award the bid to Ono Construction, the low bidder, in the amount of $190,321.67 (including sales tax). The motion was seconded by Mr. Brown and passed unanimously. There being no further business the continued City Council meeting of June 2, 2003 was closed at 7:45 p.m. on June 9, 2003. ,. � wVy G ge Kht ' n, City CIkTreasurer H. Dean%Maxell, ' ,4axv W/Z:� Councilmember June 16, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, June 16, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. The Pledge of Allegiance followed roll call. Minutes of Previous Meetinqs Mrs. Richardson moved, seconded by Mr. Rock, to approve the minutes of June 2, 2003 and June 9, 2003 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearinqs Ms. Tina Curtis, 6544 Whistle Lake Terrace, asked the Mayor and Council to review the parking/safety issues on Whistle Lake Road. She reported that recent visitor activity at the Lake severely disrupted this rural neighborhood. Police Chief King explained that the access road to the Lake is in Skagit County although the Lake itself is within Anacortes city limits. Hence, there are jurisdictional and enforcement challenges. He further explained that, currently, there are no County statutes that allow for enforcement of ingress/egress or parking regulations. Also, recent high school graduations and hot weather brought increased traffic to the Lake. Ms. Curtis also discussed her interaction with City public safety personnel. Staff and Council discussed a number of alternatives; City staff will work with the County to address these issues. Mayor /Council Communication%' ®Mayor Maxwell gave a framed photograph to Mr. Petrish. The photo shows Mr. Petrish, with shovel, at the ground -breaking ceremony for the McIntire Hall/Performing Arts and Conference Center. Mr. Petrish was the representative for the Mayor and Council at that activity. ®Mr. and Mrs. Maxwell, Mr. and Mrs. Munce, Mr. Carlisle, and Mr. and Mrs. Christiansen will attend the grand opening ceremony for the new Sydney, B.C. ferry dock. The event includes lunch and a trip to Butchart Gardens. ®The Mayor read his June 16, 2003 letter to Ms. Jode Monroe, Executive Director, EMS regarding the EMS governance structure. The letter clarified the City's position regarding Dr. Richeson and the authority that he delegates. Further, the City asked that the EMS Commission follow its Bylaws and submit written reports in advance of meetings. Mr. Sizemore, on behalf of the Public Safety Committee, spoke in support of the letter. The letter closes on an optimistic note suggesting that these and other matters relating to the provision of paramedic/ambulance service within the City of Anacortes can be resolved in the EMS Management Plan to be finalized by September 30, 2003. With that, Mr. Sizemore moved, 1769 June 16, 2003 -- continued seconded by Mr. Brown, to authorized the Mayor to forward the Mayor's June 16, 2003 letter to Ms. Jodi Monroe, Executive Director, EMS. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Ordinance: Codifvinq Citv GMA Critical Area Desiqnations and Protections_ Mr. Ian Munce, City Attorney, explained that the State Legislature gave the City until the end of 2005 to update all of our critical area ordinances. The organizations Thousand Friends of Washington, The Audubon Society, and Evergreen Islands would like to see the City take further, earlier action to update our critical area ordinances, even going so far as to file a petition for review with the State Growth Management Hearings Board. In response a number of documents were submitted to the Board highlighting that the City has one of the better programs in the state for habitat protection, arrangements for frequently flooded areas, and programs to protect aquifer recharge areas. However, during its review the Board focused primarily on procedural issues, particularly with regard to the adoption of the City's 1991 Ordinance Critical Area regulations into the Municipal Code. To respond to this procedural challenge the Ordinance now before council for review and adoption does two things: (1) makes a procedural correction, (2) and allows the petitioners to come to the City Council with substantive issues rather than procedural grounds. Mr. Munce further explained that a Finding of Noncompliance, requested by the petitioners, would potentially jeopardize funding for upcoming projects including the Tommy Thompson Parkway, State Ferry Terminal, and new road projects to name but a few. The Ordinance now before Council includes recent legislation clarifying that shoreline/aquatic issues are to be addressed only under the City's Shoreline Master Plan. Conversely, the GMA critical areas ordinances deal with just those issues outside the shoreline jurisdiction. The Ordinance incorporates that distinction; further, it will clarify scope and application of the City's critical areas land use regulations, and will integrate these regulations into a more convenient reference within the Municipal Code. Council members expressed concern that the petitioners, grass roots organizations that share the same deep commitment with the City for the protection and preservation of the environment, would jeopardize future positive community projects because of administrative clarifications that could have been remedied easily through annual comprehensive plan review/amendments. With that, Mr. Rock moved, seconded by Mr. Sizemore, to adopt Ordinance No 2633 relating to Land Use and Critical Area Regulations. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Acceptance: Boiler Proiect at City Hall Mr. Russ Pittis, Facilities Manager, presented a request to Council for acceptance of the 2003 City Hall boiler project as complete. The contract was originally awarded to Blythe Plumbing and Heating of Bellingham in the amount of $57,975.00. Two change orders were approved bringing the total to $63,939.43. The work included demolishing one boiler, retrofitting one steam boiler to a hot water boiler, and adding one new hot water boiler. With that, Mr. Sizemore moved, seconded by Mr. Christiansen, to accept the Municipal Building Boiler Project as complete thereby initiating the mandatory 30 -day lien period. If no valid liens are filed, any retainage now held by the City will be returned to the contractor. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Consent Aqenda Mr. Rock moved, seconded by Mr. Christiansen to approve the following Consent Agenda items. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on June 5, 2003 and June 12, 2003 for payment as of this date, June 16, 2003. Claims Warrants for the month of June Warrant Numbers 22591 through 22798 in the total amount of $651,740.48 Prewritten Claims for the month of June Warrant Numbers 22588 through 22590 in the total amount of $8,805.30 Pavroll # 2 for May 30, 2003 in the amount of $552,888.74 Warrant Numbers 23400 through 23495 in the total amount of $210,884.73 Direct Deposit Numbers 7208 through 7316 in the total amount of $210,805.67 EFT Numbers 175 through 179 in the total amount of $131,198.34 Council also approved the following Street Fair applications and activity permit: Shipwreck Days, July 19, 2003, 6:00 a.m. to 5:00 p.m., downtown Anacortes: applicant agreed to 1770 June 16, 2003 -- continued conditions and services, (2) Eagles Barbecue, August 15, 2003 through August 17, 2003, 7:00 a.m. to 8:00 p.m. each day: applicant agreed to conditions and services; and (3) 4th of July Fireworks Permit (indemnification provided and permission from property owner secured.) Johnson Zoninq Ordinance Exemption Mr. Ian Munce, Planning Director, introduced Mr. Scott Johnson, 1417 16th Street. Mr. and Mrs. Johnson are asking the City Council to review their request for an exception to the zoning ordinance so that they can provide a housing facility in order to care for Mrs. Johnson's mother. Mr. Munce explained that there are no provisions in the code for a family to take care of an elderly parent. In the past individual hardship cases have come before Council; the family members have been asked to first establish an agreement with neighbors and then come to Council for an exception to living arrangements - strictly limited to that family's circumstances. In this case, Mr. Johnson proposes to locate a 31' trailer along the alley south of the house they'll be renting at 1305 19th Street (approval to do so given by the home owner). The Johnsons have received written approval for this arrangement from their neighbors. With that, Mrs. Richardson moved, seconded by Mr. Sizemore, to approve the location of a 31' trailer at 1305 19th strictly for the duration of the time that this individual is residing there. Should Mrs. Johnson's mother move to a different location the trailer will be removed immediately. Mr. Sizemore seconded the motion. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. Condemnation Ordinance: Fidalqo Country Inn Frontaqe (24" Waterline) Mr. Ian Munce, City Attorney, presented a Condemnation Ordinance to Council for review and adoption. Mr. Munce reported that the City is in negotiation with the Fidalgo Country Inn and others for the purchase of property needed for the construction of a new 24 -to 36" water distribution main. Although ongoing negotiations with the Inn have been positive, no paperwork finalizing the acquisition has been forthcoming. The Ordinance now before Council would allow possession of the necessary road frontage to install the waterline in the fall. Mayor Maxwell stressed the need to minimize the impacts to the Inn from this construction project. With that, Mr, Sizemore moved, seconded by Mr. Christiansen, to adopt Ordinance No. 2624 relating to property acquisition and providing for the acquisition of certain properties for the improvement of the water utility. Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Christiansen, Richardson, and Rock. Motion carried. Proposal: Windward Villaqe Latecomers Aqreement Mr, Jeff Miller, Assistant City Engineer, presented a proposed Windward Village Latecomers Agreement for Council review and discussion. Mr. Miller explained that Island Development developed the Windward plat located between 18th and 19th streets and "B" and "D" Avenues; the project included street, water, storm, sewer, and utility services. In March of this year the developers applied to the City for a Latecomer's Agreement as the Windward infrastructure improvements also benefited properties not owned by Island Development. Leonard, Boudinot, and Skodje, the City's on-call consultant, developed an independent estimate to determine costs; those figures were compared to the applicant's estimate. Windward's estimate was less than the consultant's and included figures that were used for the basis of the assessment. Mr. Miller further explained that Lots A -F will not have a sanitary sewer assessment; utilities to Lot G may be problematic and participation in the Agreement will be conditioned upon development constraints. All affected property owners were notified and there were no formal requests for a hearing. Mr. Ian Munce, City Attorney, explained that all information would come back to the Council specifying terms. With that, Mrs. Richardson moved, seconded by Mr. Sizemore, to accept the formation of a Latecomer Agreement as proposed for Windward Village. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Discussion followed regarding the size and capacity of the detention facility on 18th Street. Executive Session — (20 minutes) At approximately 9:40 p.m. the Mayor announced that the Council would convene in Executive Session to discuss a potential land sale. At approximately 10:00 p.m. the Council reconvened and without taking any further action, the Mayor adjourned the meeting of June 16, 2003. Gge Kh7ian, City clerk -Treasurer H. Dean Maxwe*Yor, Councilmember 1771 July 7, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, July 7, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. Absent: Ray Sizemore. The Pledge of Allegiance followed roll call. Minutes of Previous Meetinqs Mrs. Richardson moved, seconded by Mr. Rock to approve the minutes of June 16, 2003 as if read. Vote: Ayes — Petrish, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. (The Street Fair Application submitted by the Washington State Goldwing Touring Association for a July 5, 2003 drill team and bike show was administratively approved by Mayor Maxwell after Council discussion on June 23, 2003.) Citizen Hearings Mr. Patrick Bruce, 718 Commercial Avenue, presented a petition to the Mayor and Council calling for an Ordinance prohibiting skate boarding on downtown sidewalks. Consent Agenda Mrs. Richardson moved, seconded by Mr. Christiansen to approve the following Consent Agenda items. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on June 19, 2006, June 26, 2003, and July 3, 2003 for payment as of this date, July 7, 2003. Claims Warrants for the month of June Warrant Numbers 22800 through 23012 in the total amount of $576,391.47 Prewritten Claims for the month of July Warrant Number 22799 in the total amount of $118,027.69 Pavroll # 1 for June 13. 2003 in the amount of $397.144.80 Warrant Numbers 23496 through 23582 in the total amount of $81,346.62 Direct Deposit Numbers 7371 through 7516 in the total amount of $200,722.33 EFT Numbers 180 through 183 in the total amount of $115,075.85 Pavroll # 2 for June 30. 2003 in the amount of $542.548.39 Warrant Numbers 23585 through 23679 in the total amount of $216,876.65 Direct Deposit Numbers 7517 through 7627 in the total amount of $209,105.27 EFT Numbers 184 through 189 in the total amount of $116,566.47 Cancellation of Warrants Warrant Number 20490, payroll, in the amount of $33.26; Warrant Number 22334, claims, in the amount of $262.50 In the same action Council also: ➢Approved the Oyster Run Street Fair Application for September 29, 2003 subject to parking restrictions and public works recommendations. ➢Adopted Ordinance No. 2625 - 2002 Comprehensive Plan and Development Regulations. ➢Accepted the 2003 City Hall Building Controls project as complete thereby initiating the mandatory 30 - day lien period. If no valid liens are filed any retainage now held by the City will be released to Siemens Building Technologies. ➢Accepted the Water Treatment Plant Security Gate project as complete thereby initiating the mandatory 30 -day lien period. If no valid liens are filed any retainage now held by the City will be released to Gateway Controls. ;Mayor/Council Communication; ®Mayor Maxwell shared the sad news of the death of Doug Terry, Operations Division Manager. Doug started employment with the City in 1986 and over that time made many contributions to the welfare of the community. ®Mayor Maxwell announced the initiation of the RFQRP process for selection of the New Wilson Hotel architect. The City may apply for tax credits for the renovation of this historic landmark; the deadline for finalizing the conceptual approach to the development of this unique downtown facility is May 2004. ®The Mayor announced that the Port/City Liaison Committee will meet at 8:30 a.m. on July 8th in his office. Councilman Christiansen will attend this meeting on behalf of Mr. Sizemore. MThe Mayor gave the 4th of July report from the Fire Department. After citing incidents of grass fires, structure fire, fireworks complaints, and confiscation of fireworks, the Mayor suggested the City of Anacortes initiate a ban of fireworks. On the other hand, the Mayor reported that the public fireworks show was a total success. ®Mr. Carlisle read a letter from a Kingsway resident outlining a series of visits on July 4th to the property from the Police Department in response to damage and disruption caused by a neighbor's use of fireworks; he recommended that Council study a complete ban of fireworks. ®Mrs. Richardson commended the Emergency Medical teams that came to the aid of a friend who recently suffered an accident. She remarked on the prompt, professional care provided. ®Mr. Petrish reported that the Boy Scouts raised $348.58 during the Causland Park 4th of July festivities; the money will be used for the Causland Park restoration project. Public Hearinq: Codification of GMA Critical Area Designations and Protections Mayor Maxwell opened the Public Hearing to take public comment on the City of Anacortes' Critical Areas Ordinance (CAO). The Mayor underscored the purpose of the Public Hearing: to encourage testimony that would provide technical support on recommended modifications to the City's recently amended CAO. Mr. Ian Munce, Planning Director, itemized the contents of the Council packet distributed for this hearing: 1772 July 7, 2003 -- continued copy of the City's updated CAO; June 25, 2003 letter from 1,000 friends of Washington, Skagit Audubon Society, and Evergreen Islands (Petitioners) (Exhibit 1); City's Forest Land Management Programs; (Exhibit 2): City wildlife management agreements for 6 bald eagle nests (Exhibit 3); and letters of comment (Exhibits 4-19). Mr. Munce then outlined action already taken by the City of Anacortes to incorporate critical area designations and protections. The City first adopted a Critical Areas Ordinance in 1991. Subsequently, in 1993 the City of Anacortes was one of the first communities in the State to adopt a Comprehensive Plan complying with the Growth Management Act (GMA); the City was also one of the first communities to adopt a new zoning code in 1994 compliant with the GMA. Since then the Planning Commission and City Council have held annual public hearings to consider all zoning code and comp plan amendments brought forward by City officials and by members of the public. Additionally, the State Legislature has mandated that by the end of 2005 cities and counties shall update critical area ordinances. Procedurally, Mr. Munce proposed that the City take oral testimony at this hearing. Then, at the conclusion of the hearing, extend the comment period for one week to accept additional written testimony; Mr. Munce will respond to submittals one week after that. Council will then consider making changes to the Interim Ordinance or take some other action. Mr. Munce stressed the need for a comprehensive record of this evening's actions as the proceedings come about due to a legal challenge brought forward by the Petitioners. Mr. Munce then remarked that the 151 -page Model Ordinance submitted by the Petitioners illustrates why the Legislature, with a 2005 deadline, provided ample opportunity for cities to update critical areas ordinances. The Model Ordinance is provided as a series of approaches and suggestions for possible application to local circumstances. Further, the Model Ordinance is to appear as an appendix to a workbook produced by the State Department of Trade and Community Development and is intended to offer ideas that may be useful in protecting critical areas. In contrast, Mr. Munce pointed out the narrow definition that the petitioners have taken to development regulations; if it isn't in the zoning code it doesn't count. More importantly, the City is not restricted by statute to City regulations only. The City is allowed and should consider state regulations, eagle habitat plans, and Federal regulations (eelgrass protection measures and other critical area protections). Mr. Munce then highlighted the five areas of consideration: wetland areas, geologically hazardous areas, frequently flooded areas, aquifer recharge areas, and habitat conservation areas. The statutes define development regulations to include but not be limited to a wide range of controls. For example, the City makes use of the Forest Land Management programs and sewer and stormwater regulations to address critical habitat for the City of Anacortes and environs and to protect aquifer recharge areas. Clearly, the City public ownership of the forestlands is a significant protection of habitat. In other Council action the City adopted a Wetland Ordinance based on a national model in advance of GMA mandates. Mr. Munce also discussed potential weaknesses in this Ordinance, i.e., wetland protection threshold level, and 25' wetland buffer. Again, geologically hazardous areas have been mapped with zoning and building code protections; the City also participates in the FEMA flood -mapping program. The Fidalgo Bay restoration plan is an excellent example of protection of a habitat conservation area. The City has always been open to suggestions for modifications to Ordinances and strictly adheres to an annual review process. The City has a laudable record in this regard. The Mayor then opened up the hearing for public comment. Steve Clark, 1102 "G" Avenue, President of Evergreen Islands, suggested redrafting the CAO to demand rather than suggest habitat protections. Brian Wetcher, 814 26t St., suggested critical areas aren't effectively protected. Kathryn Alexandra, 4311 Ginnett Road, said that the current CAO isn't restrictive and needs enforceable regulations. Gene Derig, 1302 "K" Avenue, emphasized the need to protect Ship Harbor wetlands and proposed strong development regulations. Margaret Studer, 1114 20th St., highlighted the effect of development on Turner Bay, and called for a clear, consistent CAO. Mayor Maxwell pointed out that Turner Bay has been neglected for many years and spoke of the need for a Sub- area plan for south Fidalgo Island. Patsy Hammerstrom, 2002 38th St., encouraged Council to enforce an effective critical areas ordinance. Phyllis Dolph, 2320 26th St., spoke in favor of more specific and stringent protections. Trevor Kyle, 3504 W. 5th St., offered that habitats are living classrooms, and spoke for tough controls. Richard Bergner, 15515 Yokeko Drive, President, Friends of the Forest, highlighted the positive relationship between the Friends and the City with regard to development protections for activity adjacent to the forestlands. He stressed the need for a strong and enforceable CAO meeting the requirements and regulations of the GMA. Ross O. Barnes, 11365 Harbor Lane, submitted written comments and suggested that existing regulations do not protect habitat conservation properly. For example, he stressed the need for stream corridor protections to provide for activity between essential habitats. Also, shoreline buffers should be set to accommodate beach spawning habitats. Steve Aslanian, Conservation Chair, Skagit Audubon Society, 30015 Cedarvale Loop Road, Arlington, said the current ordinance lacks specific development regulations to protect fish and wildlife habitat; he called for a process for designating species of local importance, and to require buffers to protect priority species and habitats. Tim Trohimovich, . Planning Director for 1,000 Friends of Washington, 1617 Boylston Avenue, Suite 200, Seattle spoke in favor of enforceable provisions to maintain quality of life, to identify priority species and species of local importance, to provide buffers for fish and wildlife habitats; to provide protections for type 1-5 streams, and to better protect wetlands. Karen MacDonald, 6634 Deer Lane, asked for adequate native growth protection measures. Ivy Merrill, 2807 W. 2"d, Cranberry Lake emphasized thepriceless asset beaver ponds and stressed responsibility to protect them forever. Barry Shaffer, 3601 W.8 th St., acknowledged intensified development pressures and spoke to the wetland issue near the airport. Don Magnus, 2217 23rd St., reviewed steps taken to redirect a stream near 23rd Street development; he asked that strict regulations be put in place to avoid drainage problems caused by diverting streams. John Owens, 3501 W. 3`d, pointed out that fill was required to develop on West 4 1773 July 7, 2003 -- continued Street and called for more protections. Ryan Walters, 4316 Ginnett Road, addressed what he sees as gradual erosion of critical areas and quality of life and spoke in support of the State's model ordinance. Bud Bourbeau, 4904 Heather Drive, read from a letter asking for development of proper safeguards to protect future environments. After a short break, Molly Doran, Executive Director for the Skagit Land Trust, spoke about the March Point heronry and need to have buffer requirements in place, and encouraged the use of community support in the process to further protect resources. Curtis Hagland, 1505 11th St., asked Council to preserve and protect remaining habitats. Loren Hoboy, 4102 Kingsway, recommended more concise language, adding BMP and BASP to interim controls, and instituting a citizens advisory committee to review the model ordinance. Michelle Green, 2806 Coho Lane, VP of Citizens for Responsible Development, mentioned protecting public beach access to Burrows Bay and called for best available science to determine habitat impacts. Tom Leahy, 6567 Deer Lane, Vice President Evergreen Islands, citing the March Point heronry as an example, stressed the need for adequate protection for critical areas. Brenda Lavender, 4924 Heather Drive, promoted more work to develop a clear, consistent COA, and suggested implementing wildlife corridors citing Portland's success in this area. Ellen Grey, 1000 Friends of Washington, P.O. Box 2632, Mt. Vernon, Program Director, asked Council to consider citizens committee or workshop process to improve the CAO. Brian Wetcher, 814 26th St., emphasized the size of the area requiring protection and supported a citizens committee to support the City's effort to upgrade the interim ordinance. There were no further comments from the audience. Mr. Munce emphasized that a citizens advisory committee could take up to a year or more to process the Model Ordinance data. Rather, he suggested using the Planning Commission open forum to deliberate and to develop an updated Critical Areas Ordinance for City Council consideration. Finally, Mr. Munce concluded after having reviewed the City's land use decisions over a 12 -year span, that the City was never asked to adopt additional protections for the March Point heronry, a habitat located in unincorporated Skagit County. The Growth Management Hearings Board dismissed the legal action taken by the Petitioners so that the City could focus on substantive issues and not on procedural arguments. Mayor Maxwell announced that written comments would be taken until July 14, 2003. There being no further business, at approximately 10:00 p.m. the meeting was continued to Monday, July 14, 2003 at 7:30 p.m. for the purpose of a Public Hearing on Interim Zoning Controls at the Anacortes Airport. George /Kaian, ZClerk-Treasurer H. Dean Maxwell, Mayor v AeL Councilmember 1774 July 14, 2003 -- Continued from July 7, 2003 Mayor Maxwell called the continued City Council public meeting to order at approximately 7:30 p.m. Roll call found present: Nick Petrish, Bill Carlisle, Bud Rock, Ken Brown, Terry Christiansen, Ray Sizemore and Cynthia Richardson. The Mayor opened the public hearing on City Ordinance No. 2620, An Interim Zoning and Subdivision Control Ordinance relating to all Light Manufacturing Zoned Property at the Anacortes Airport. The Planning Director, Ian Munce, reviewed the details of the Ordinance and presented the July 8, 2003 submittal package from the Port of Anacortes. Mr. Munce stated that the public comment period, for written comments, would be open until July 21 and that the City Planning Department would have until July 28 to provide a written response to these comments. The Mayor then invited public comment from the audience: These proceeding are on tape and filed at City Hall. Mr. Les Cox testified in favor of interim controls. Mr. Loren Hoboy supported this position, adding that the Growth Management Act requires public participation in the planning for essential public facilities. Mr. George Hatfield spoke in favor of interim controls, expressing a particular concern about airport expansion and the need for mitigation planning. Mr. Tom Dinardo spoke in favor of these specific measures set forth in the Interim Ordinance, mainly berms and landscaping. Ms. Annie Brogan testified in opposition to interim control on the basis of their legality, and their scale and scope. Ms. Brenda Lavender spoke in favor of the year long Citizen Advisory Committee process that had lead to a comprehensive set of planning and zoning restrictions for the Anacortes Airport. Ms. Lavender argued that the interim controls were an appropriate measure while the CAC recommendations were proceeding through the public hearing process. Ms. Jeanne Robinette echoed these comments, adding that the Port proposals should be considered during the upcoming hearings on permanent changes to the City ordinances. Mr. Dick Britton questioned the legal basis for the interim zoning and stated his opposition to it. Mr. Mike Freeman testified that he was one of those proposing to locate additional hangars at the Anacortes Airport. Mr. Freeman added that his hangar proposal had been designed to be basically consistent with the interim controls. Mr. Ross Barnes stated that he supported the interim controls but added that the Kingsway/Jasperway right of way should be excluded from the 75 foot setback calculation and that Figure Y needed to be clarified with particular reference to whether the buffer area was 30 or 35 feet wide. Mr. Bob Bell urged those present to undertake the work necessary to determine who uses the airport and who needs the airport. Mr. Bell added that the Anacortes Airport functions should be transferred to the Bay View Regional Airport. Ms. Marilyn Oshiro argued that the Port needed to treat the neighbors better and needed to work more cooperatively with the City. Ms. Karen Farrell echoed these sentiments and argued in favor of retaining the interim controls. Mr. Leonard Kallenson stated his support for the work of the Citizen Advisory Committee and the interim controls. Mr. Doug Seward testified that there was no emergency to justify interim controls, adding that he opposed the interim controls. Ms. Jane Lloyd stated her support for interim controls, adding that neighborhood issues need to be properly addressed. 1775 July 14, 2003 -- continued Ms. Marlene Deaton stated her opposition to the Port suing the City, urging those present to reach a compromise. Mr. Ron Deaton stated his opposition to commercial expansion at the Anacortes Airport. Mr. Dale Aspnes stated his support for interim controls, citing portions of Judge Allendoefer's decision. Mr. Craig Stamper, Facilities Manger for the Port of Anacortes, argued that the Airport was an essential public facility whose needs must be accommodated by the City of Anacortes, that the Growth Management Hearings Board had advised that none of the Port owned property at the Anacortes Airport could be zoned residential, that the terminology community oriented airport could not properly be used in a City ordinance, that the security fence location issue had been preempted by court order, and that the Port should not be required to build the entire landscaping berm prior to further development at the airport. Mr. Stamper added that the City's action jeopardized the Port's compliance with FAA instructions. Mr. Stamper concluded by stating that the interim controls should be rescinded. The Planning Director briefly responded that the Interim Ordinance had a provision for the berm to be developed in segments. Mr. Munce added that the issues raised this evening would be addressed along with the written correspondence received into the record (Exhibits 1-12). The hearing adjourned at approximately 9:15 p.m. Gegre Khtai , City Clerk -Treasurer H. Dean Maxwell, May Councilmember 1776 July 21, 2003 At 7:30 p.m. Mayor Pro -tem Sizemore called the regularly scheduled evening meeting of Monday, July 21, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. The Pledge of Allegiance followed roll call. Minutes of Previous Meetinqs Mr. Petrish moved, seconded by Mr. Rock to approve the minutes of July 7, 2003 and July 14, 2003 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearinqs Mr. Herschel Janz, 1120 King St., once again emphatically urged the City Council to institute a full ban on fireworks within the City limits. Mr. Janz exhibited several spent fireworks found on his roof and in his yard after July 4th. Additionally, he referenced newspaper articles centered on fire damage and injuries caused by fireworks. Mayor Pro -tem Sizemore thanked Mr. Janz for his comments and reported that the Public Safety Committee will address this issue, and that the Council will take up the matter in Study Session. cMayor/Council Comrnunication° ®Mayor Pro -tem Sizemore introduced Ms. Amy Jankowiak, Department of Ecology (DOE), Environmental Water Quality Program, Municipal Enforcement. On behalf of DOE, Ms. Jankowiak congratulated the Anacortes Wastewater Treatment Plant staff for an excellent water quality record for 2002. Ms. Jankowiak explained that the Plant met DOE permit criteria such as meeting all effluent criteria standards throughout the year, efficient plant monitoring, no spills, timely reporting, and maintaining properly functioning plant and collection systems. Ms. Jankowiak then handed over a letter from DOE announcing that the Washington State Department of Ecology is recognizing the Anacortes WWTP with a 2002 "Outstanding Wastewater Treatment Plant" award. Mayor Pro -tem Sizemore then presented a plaque and congratulatory letter from DOE to employee representatives Bob Childers and Rick Harvey. ®On a question from Mr. Petrish, City Attorney Ian Munce reported that the downtown skateboard issue has been referred to the Public Safety Committee for review. ®Mayor Pro -tem Sizemore reported on a meeting held last week with the EMS Council to continue the City's efforts to retain our current level of emergency service. Councilmembers Ken Brown and Terry Christiansen, Mayor Dean Maxwell, Fire Chief Richard Curtis, Assistance Fire Chief Dan Harju, and City Attorney Ian Munce represented the City at this meeting. Multiple issues are at stake; working without a 2003 contract, non-payment to the City, new response times, and the County's non-performance of an 2 -year old agreement to supply the City with a replacement ambulance. The Skagit County Commissioners have declined to follow through on these issues until a new Management Plan is in place, a Plan that as currently drafted ignores issues of response time and geography and proposes that one ambulance can provide service for our differing and distant island communities. The Plan content has been drafted by consultants hired by the County. The consultants, an accounting firm, are not qualified to make value judgments on complex emergency service components. In response, the City contracted with Health Analytics to review and analyze the County's report. Health Analytics clearly characterized the County's report as inadequate. Both reports have been posted to the City's web -site. Mr. Munce then suggested that a questionnaire be distributed with the utility billing system to highlight the fact that we now have two ambulances staffed 24 hours/day and that a serious proposal by the EMS Council exists recommending a reduction in service for Anacortes. Previously the City asked the County not to set up an EMS Commission with 36 members; the meetings have been unproductive and cumbersome. Mr. Munce characterized the situation as dire; County Commissioners will not pay current quarter monies to the City until a signed contract to the Commissioners satisfaction exists. Mayor Pro -tem Sizemore emphasized that Anacortes is a community with vision for the future and the County's perspective on emergency service is regressive. This action by the County constitutes taxation without representation. Mr. Carlisle suggested reducing the questionnaire to postcard size to facilitate increased response. Mr. Christiansen underscored the absolute necessity for community response. Mr. Brown suggested distributing questionnaires at senior centers and other facilities. Mr. Rock suggested adding a note to reference the website. Kids Are Best: Report Mr. Dustin South, Recreation Manager for the Parks and Recreation Department, reported on the 14th annual "Kids are Best Fest" held on July 12, 2003. The event was a complete success with well over 2,000 participants. Mr. South used a photographic display to highlight this quality 1777 July 21, 2003 -- continued activity for children. Mr. South then recognized the significant contributions of the volunteer planning committee, preschools, service clubs, and local businesses. New features were the "Germ City" exhibit, and the Explosives Ordnance Disposal Unit 17/ NAS Whidbey satellite communications tent. Mayor Pro -tem Sizemore complimented the Parks Department on organizing a positive experience for the young people of Anacortes. Consent Agenda Mr. Carlisle moved, seconded by Mr. Rock to approve the following Consent Agenda items. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on July 10, 2003 and July 17, 2003 for payment as of this date, July 21, 2003. Claims Warrants for the month of July Warrant Numbers 23015 through 23198 in the total amount of $711,595.76 Prewritten Claims for the month of July Warrant Number 23013 and 23014 in the total amount of $13,755.49 Pavroll # 1 for July 15, 2003 in the amount of $421,387.97 Warrant Numbers 23687 through 23768 in the total amount of $77,851.66 Direct Deposit Numbers 7682 through 7829 in the total amount of $215,208.05 EFT Numbers 187 through 193 in the total amount of $128,328.26 Cancellation of Warrants Warrant Number 22812, claims in the amount of $272.75 In the same action Council also: ➢Approved the Anacortes Orphan Car Show on September 13, 2003, "R" Avenue from 9th Street to the Depot, subject to parking restrictions and public works recommendations. ➢Adopted Resolution # 1641 - setting August 18, 2003 as the Public Hearing date on a Petition to Vacate portions of Burrows Street and Marine Drive. Comfort Cab Business License Application Mr. Ian Munce, City Attorney, presented a request from Comfort Cab, LLC for a City of Anacortes Business License. Background checks have been conducted and staff recommends approval of the Business License. Mr. Carlisle remarked on the rates charged by the other Anacortes cab companies. Mr. Munce suggested the SKAT Dial -a -Ride program as an alternative. With that, Mr. Rock moved, seconded by Mr. Brown, to approve the Comfort Cab, LLC City of Anacortes Business License. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Communitv Service Work Contract: Washinqton Park Restroom Mr. Gary Robinson, Director of Parks and Recreation, submitted a Community Service Work Contract between the City of Anacortes and the Fidalgo Island Rotary Club for Council review and approval. The contract is for the construction of a restroom facility at Washington Park. The first phase of the project will be the construction of the exterior/shell of the building; next year the Rotary Club will complete the interior of the building under separate contract. Mr. Bill Turner, 13725 Goodman Lane, President of Fidalgo Island Rotary, explained to Council that the Rotary Club's 100th birthday will occur in 2005; in recognition of this significant date the Rotary Club would like to contribute a public facility that would be available for future generations to use. Under this contract the City will contribute $29,000 toward the improvements costs expected to be in excess of $90,000. After discussion, Mr. Christiansen moved, seconded by Mr. Brown, to authorize the Mayor to enter into a Community Service Work Contract with the Fidalgo Island Rotary Club for the construction of a bathhouse at Washington Park. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. There being no further business, Mayor Pro -tem Sizemore, adjourned the meeting of July 21, 2003 at approximately 8:40 p.m. Geo?Ohtaia , City Clerk Treasurer H. Dean Aaxwell, Mayo Councilmember 1778 August 4, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, August 4, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. The Pledge of Allegiance followed roll call. Minutes of Previous Meetinas Mr. Brown moved, seconded by Mr. Petrish to approve the minutes of July 21, 2003 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearings No one present wished to testify on matters not on the agenda. Mayor/Council Communication Wrhe Mayor introduced Mr. Duane Clark, President of the Anacortes Sister City Association together with Mr. Don Lapworth and Mr. Ralph Frey of the same organization. Mr. Clark expressed appreciation for the Mayor and Council support of the successful Anacortes Sister City movement. Mr. Lapworth then introduced the adult chaperones and middle school students from our sister city in Kisakata, Japan. During this August visit the dynamic Kisakata taiko drummers performed at Brodniak Hall and at the Anacortes Arts Festival. Representatives from the Kisakata School District spoke and remarked on how happy the group was to be here and how warmly they've been welcomed by the people of Anacortes. Mr. Frey then introduced Miss Maria Kirjaeva from our sister city Lomonosov, Russia located 27 miles west of St. Petersburg. Miss Kirjaeva, just 18 years old and a brilliant linguist, is currently studying the educational system in Anacortes. She presented the Mayor and Council with a Proclamation and gifts from Kalinka, the sister organization in Lomonosov. Mayor Maxwell and the Council gave special thanks to the Anacortes Sister City organization and all those people who work tirelessly to develop these ties of friendship and culture. The sister city participants departed with the Mayor's wish for a pleasant visit filled with positive memories. Appeals Hearina: Anacortes School District Conditional Use Permit — Modulars at 22nd Street and "J" Avenue Mayor Maxwell opened the Appeals Hearing to address two appeals filed regarding the Planning Commission recommendation to approve a Conditional Use application for the placement of modular buildings at 22nd and "J" Avenue. By way of background, Mr. Ian Munce, Planning Director, explained that the Anacortes School District (District) has, over the years, used modular buildings throughout the District to serve various school functions and needs. In particular, modulars were used during the extensive remodeling projects at the High School, Middle School, and Island View Elementary School. Out of these placements, the use of modulars at 22nd Street and "J" Avenue (22nd St.) raised neighborhood issues. As a result, the Planning Department requested that the School District submit a Conditional Use/Master Plan application for the use of portables over the short and long term. Public Hearings were held at the Planning Commission level. The Commission forwarded a recommendation to Council for approval of the Conditional Use application subject to conditions. Again, there were concerns raised regarding the 22nd street units. After reviewing the testimony and exhibits the Council, in a Closed Record meeting, asked the District to respond to 8 specific requests for additional information. The School District complied and a Public Hearing was held before the Planning Commission to review this specific data and to gather additional public testimony. Again, the Planning Commission recommended approval of the Conditional Use application for the modulars and added the following conditions: (1) "short-term" use of modular classrooms shall not exceed three years; (2) "long-term" use of modular classrooms shall not exceed ten years without a new conditional use permit being issued; (3) a 3 -foot high berm shall be installed below the landscape proposed in application drawing A7.0 for the 22nd Street and "J" Avenue site, and (4) substantial landscaping shall be installed in the locations specified for the location of modular units. The School District and Mr. Merlin Kipp filed appeals of this decision with regard to 22nd Street. Mr. Munce then distributed exhibits to the Council from each of the appellants. A coin toss set the appeal order. Mr. Merlin Kipp 2210 "J" Avenue, addressing the Council emphasized that he is appealing the placement of the modular building at this site only — he is not appealing any of the school programs carried out in the modulars. He suggested that the Planning Commission's decision to approve the application was arbitrary and capricious. These temporary classrooms were installed during the major expansion/renovation projects at various District facilities. Mr. Kipp then stated that the temporary buildings were to be removed at the end of the construction projects. The proposed use for the modulars now is a home-school program to be in effect over the next 20 years. Mr. Kipp suggested that additional classroom capacity that would accommodate this new program has already been provided by the community -approved expansion projects. If this is not the case he asked that the District present a bond proposal for community approval to construct another permanent facility meeting current District and City facility standards. Mr. Kipp thought that with a decline in enrollment these additional facilities and modulars would not needed. Mr. Kipp appealed the Planning Commission recommendation in its entirety and asked that the removal of these buildings be enforced immediately. Mr. Mark Hood, Attorney for the Anacortes School District, addressed the Mayor and Council. He clarified that the District's appeal is of the short/long term limitations, characterizing them as vague. He suggested as an alternative that the portables that are approved pursuant to PC recommendation be approved for a 10 -year span with a new conditional use application/review for all units at the end of the 10 -year period. Also, the District's appeals the berm requirement stating that the proposed landscaping plan already provides for the 6' screening recommended by the Commission; creating the berm (to add additional 1779 August 4, 2003 -- continued screening for 2-3' shrubs) would be expensive and would require importation of a significant amount of material. The District recommends that Council approve the Conditional Use application with these modifications. Questions from Councilmembers followed. Dr. Tom Marrs, School District Superintendent, explained that 22nd Street is one of the locations that would be considered in terms of where facilities might be placed in the future. Currently, it is a program -driven District decision to retain the portables at 22nd and "J"; the overall plan is to add classrooms at each one of the district's existing school sites. There is no alternative for placement of this program without going back to the community for a bond issue. He also highlighted the proposal to place utilities at this site underground. Dr. Marrs described the home school and other alternative programs in detail. With this program parents are involved in the classroom with the students. If a parent decides to educate their children at home the parents assume full responsibility for education programs and the school district receives no funding for those students. Mr. Brown suggested that the 22" street building has a limited use during the day. Dr. Marrs assured the Council that this space is necessary to accommodate both parents and students. Home school liaison support staff have been hired to help integrate this program into the school system. The Mayor then closed the comment period. Mrs. Richardson suggested that a provision be added to the permit requiring that a portable unit be removed if left unoccupied for one year. Mr. Petrish suggested that the permit conditions be reviewed every 5 years rather than every 10. Mr. Munce then used an overhead display to highlight that there are 3 existing portable structures at 22nd Street with the proposed addition of a double -wide portable. Mr. Brown suggested that if the home school program continues the District might actively pursue the construction of a facility for this activity. Mr. Munce reported that the modular buildings meet all City building code requirements for classroom use. After a short break, Mr. Munce reported to the Council that the School District withdrew its appeal of condition (1) "Short -Term" use of modular classrooms shall not exceed three years. Mr. Sizemore supported the 5 -year review. Mr. Munce explained that the berm was proposed to provide immediate screening until the 2-3' shrubs could mature. He mentioned that the use of fully mature landscaping could be costly. Mr. Christiansen said the information was not available from the District on what action would be taken should the alternative program outgrow the modular facility. He then suggested a 2 -year City Council evaluation of the 22nd Street site. After discussion, Mr. Petrish moved, seconded by Mr. Carlisle, to issue the Anacortes School District Conditional Use Application to expand existing school facilities at Mt. Erie Elementary School, Anacortes High School, Island View Elementary School, and Anacortes Middle School with the placement of portable buildings for classroom use at these sites subject to the following conditions: 1. The scale and scope of the project shall not exceed that set forth in the Findings, Attachment A and conditions; this permit does not waive or alter any requirements of city code unless specifically addressed herein. 2. Construction or substantial progress toward construction of the project must be undertaken within two years after the approval of this permit. Substantial progress towards construction shall include, but not be limited to the letting of bids, making of contracts, purchase of materials involved in development, but shall not include development or uses which are inconsistent with these Findings of Fact and Conclusions of Law or the applicable sections of the Zoning Ordinance. In determining the running of the two year period hereof, there shall not be included the time during which a development was not actually pursued by construction and the pendency of litigation reasonably related thereto make it reasonable not to so pursue: PROVIDED, that the Planning Commission may, at its discretion, extend the two-year time period for a reasonable time based on factors, including the inability to expeditiously obtain other governmental permits which are required prior to the commencement of construction. 3. If the project has not been completed within five years after the approval of this permit, the Planning Commission shall at the expiration of the five year period review the permit and, upon a showing of good cause, do either of the following: a) extend the permit for one year; or b) terminate the permit, PROVIDED, that the running of the five year period shall not include the time during which a development was not actually pursued by construction and the pendency of litigation reasonably related thereto make it reasonable not to so pursue. 4. This project is subject to applicable wastewater general facilities charges, water, sewer, and stormwater hookup fees and transportation, fire, school, and park impact fees. These fees are payable at levels in effect at the time of building permit issuance and may differ from those fee levels currently in effect. 5. "Short -Term" use of modular classrooms shall not exceed three years. 6. "Long -Term" use of modular classrooms shall not exceed ten years, except for the 22nd and "J" Avenue site where the limitation is five years, without a new Conditional Use Permit being issued. The Planning Department shall submit a progress report to Council in two years from the date of this action for the 22nd Street and "J" Avenue site. 7. Substantial landscaping shall be installed in the locations specified for the location of modular units. In the same motion, Council denied the Merlin Kipp appeal (to reject the Planning Commission decision regarding the modular units at 22nd and "J" in whole), and responded to the Anacortes School District appeal by modifying Condition # 6 from ten years to five years, and to delete reference to a berm as part of the landscaping plan at 22nd and "J" (Condition # 7). Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. August 4, 2003 -- continued Consider Bid for Front Load on Refuse Truck Mr. Bob Hyde, Director of Public Works, presented a request for Council to consider bids for the Residential Front Loader Chassis and Refuse Body contract. Western Peterbilt, Inc. submitted the only bid in the amount of $199,499.29. Mr. Brown asked if the new truck have the capacity to prevent litter escaping from the truck. Mr. Hyde confirmed that additional effort will be made to secure loads. After discussion, Mr. Carlisle moved, seconded by Mr. Petrish, to accept the Peterbilt, Inc. bid in the amount of $199,499.29. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Ordinance: Clarifvinci Interim Ordinance at Anacortes Airport Mr. Ian Munce, City Attorney, presented an Ordinance for Council approval and adoption. The Ordinance entitled "An Ordinance Clarifying a Provision of Ordinance No. 2620 (Interim Airport Zoning)" was previously discussed in Study Session. One technical change was made to Ordinance No. 2620 clarifying a "Figure" reference. Mr. Munce reported that the Planning Commission will most likely hear the airport issue on September 17, 2003 in a public hearing setting with a recommendation forwarded to Council in October. Discussion followed regarding the length of time necessary to reach a final Comprehensive Plan and Zoning Ordinance amendment to incorporate airport language, especially in light of the somewhat disparate philosophies on what constitutes a community airport. In that regard Mr. Rock encouraged moving forward with the rather aggressive Planning Commission schedule of Public Hearings and review. Mrs. Richardson, however, moved to table decision on the Ordinance now before them in order to incorporate any recommendations, if any, to come from a Port/City liaison committee meeting to be held next week. The motion died for lack of a second. With that, Mr. Sizemore moved, seconded by Mr. Petrish, to adopt Ordinance No. 2627. Vote: Ayes — Christiansen, Rock, Carlisle, Petrish, Sizemore, and Brown. No — Richardson. Motion carried. Critical Areas Ordinance: Next Steps Mr. Ian Munce, Planning Director, presented a proposed Planning Commission meeting schedule developed to accommodate the key issues raised by the public during a review of the City's Interim Critical Areas Ordinance. Mr. Munce referenced his July 22, 2003 Memorandum to the Mayor and Council listing the key issues raised during the previous Council and citizen review (frequently flooded areas, aquifer recharge areas, geologically hazardous areas, wetlands, and habitat conservation areas). In the Memorandum Mr. Munce listed public participation process options and 4 recommendations as to how to develop, the testimony/review/ordinance scenario. After discussion, Mr. Sizemore moved, seconded by Mrs. Richardson, to approve the recommendations outlined in Mr. Munce's July 22, 2003 Memorandum. Mr. Christiansen recommended that the Planning Commission not review the model ordinance in toto, but rather incorporate only those sections that apply to our municipality. He further spoke against forming a citizen advisory committee for this matter. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Consent Agenda Mr. Sizemore moved, seconded by Mr. Carlisle to approve the following Consent Agenda items. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on July 24, 2003 and July 31, 2003 for payment as of this date, August 4, 2003. Claims Warrants for the month of Julv Warrant Number 23200 through 23385 in the total amount of $736,506.26 Prewritten Claims for the month of July Warrant Number 23199 in the amount of $150.00 Cancellation of Warrants Warrant Number 22873 in the amount of $1,078.00 and Warrant Number 23111 in the amount of $273.18 In the same action Council also: ➢Accepted the 2003 Skyline Street Overlay project as complete and initiated the mandatory 30 -day lien period. If no valid liens are filed, any retainage now held by the City will be released to the contractor. 2003 Budget Amendment Ordinance Mr. George Khtaian, Finance Director, presented an Ordinance to Council for review and adoption. The Ordinance (2nd Quarter) amends the 2003 Budget in the following funds: General (001); Water (401); Sewer (440); and Sanitation (450). Mr. Khtaian reviewed expenditure and revenue amendments in each of the funds. After discussion, Mrs. Richardson moved, seconded by Mr. Brown, to adopt Ordinance No. 2626 entitled "An Ordinance Amending Ordinance No. 2605 Approved and Adopted on November 4, 2002 and entitled 'An Ordinance Adopting the Budget and Salary Schedule for all Municipal Purposes and Uses for the year 2003."' Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Acceptance of Sewer Grant from Skagit County: Interlocal Agreement Mr. Ian Munce, Planning Director, submitted an Interlocal Cooperative Agreement to Council for review and approval. The Agreement between Skagit County and the City of Anacortes would formalize a commitment whereby the County will allocate monies to the City for the Snow Mountain Mill Sewer Extension Project. After discussion, Mr. Sizemore moved, seconded by Mr. Christiansen, to authorize the Mayor to enter into an Interlocal Cooperative Agreement between Skagit County and the City of Anacortes for the Snow Mountain: Mill Expansion Sewer line Extension project. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. 1781 August 4, 2003 -- continued Tourism Promotion Fund: Proposed Schedule and Appointments Mr. Ian Munce, Planning Director, presented the draft time line for the 2004 annual cycle for the Tourism Promotion Fund/Project Assistance Program. Completed applications for tourism promotion grants will be accepted through September 12, 2003. After discussion, Mrs. Richardson moved, seconded by Mr. Rock, to approve Mrs. Richardson, Mr. Petrish, and Mr. Christiansen as Selection Committee members, and to approve the Project Assistance Program 2004 time line. Vote: Ayes- Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Public Hearing: Resolution/Approval of 2004-2009 Transportation Improvement Plan (TIPJ Mayor Maxwell opened the Public Hearing to take comments on the City's 2004-2009 Transportation Improvement Plan (TIP). Mr. Bob Hyde, Director of Public Works, explained that the City is required to adopt a six-year TIP each year to provide a planning document for statewide funding and construction of transportation projects. The TIP now before Council closely matches the City's adopted Capital Facilities Plan; Mr. Hyde highlighted Item # 3, 28th and "J" Roadway. Discussion followed regarding utility installation and easements in that area. There were no comments from the audience and the Mayor declared the Public Hearing closed. With that, Mrs. Richardson moved, seconded by Mr. Sizemore to adopt Resolution No. 1642 entitled "Adopting a Comprehensive Six -Year Transportation Improvement Plan", 2004-2009. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. Interlocal Agreement: Printing Services Mr. Ian Munce, City Attorney, presented an Interlocal Agreement to Council for review and approval. The Agreement with the State of Washington Department of Printing would make printing services available to the City of Anacortes. With that, Mr. Sizemore moved, seconded by Mr. Carlisle, to authorize the Mayor to enter into an Interlocal Cooperation Agreement between the State of Washington Department of Printing and the City of Anacortes. Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Christensen, Richardson, and Rock. Motion carried. There being no further business, Mayor Maxwell, adjourned the meeting of July 21, 2003 at approximately 10:00 p.m. Geor htaia City Clerk- easurer yV 44., H. Dean Maxwell, Mayor% Councffinember 1782 August 18, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, August 18, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ken Brown, Terry Christiansen, and Bud Rock. Absent: Ray Sizemore and Cynthia Richardson. The Pledge of Allegiance followed roll call. Minutes of Previous Meetinqs Mr. Petrish moved, seconded by Mr. Carlisle to approve the minutes of August 4, 2003 as if read. Vote: Ayes — Petrish, Brown, Christiansen, Rock, and Carlisle. Motion carried. Citizen Hearinqs Mr. Herschel Janz, 1120 King Street, once again asked the Mayor and Council to consider a total ban on fireworks within the City of Anacortes. Mayor Maxwell explained that the Council Public Safety Committee is reviewing fireworks ordinances from other jurisdictions and will report back to the Council and community. Ma or/Council Communication;' LJ/'YG%%LJ/O/O/.J/G/%L/ ® Mayor Maxwell reported that the Council Public Works and Finance Committees have been studying the City's utility rate structure. Studies show that a sewer rate increase may be initiated. The Mayor and Council will keep the community informed as progress is made. ^;Mr. Christiansen asked for a report on the location of a potential reservoir site. The Mayor explained that the consultant Montgomery/Watson will report to Council on this matter in October. Motion to Refer 2003 Comprehensive Plan and Development Requlation Proposed Amendments to Planninq Commission Mr. Ian Munce, Planning Director, referred to the Council package of proposed changes to the City Comprehensive Plan and Development Regulations. The Council held a Public Hearing on June 2, 2003 to review and select those proposals submitted by staff and citizens to forward to the Planning Commission for substantive review. In addition, Mr. Munce recommended adding four items that were under development in 2002. After discussion, Mr. Rock moved, seconded by Mr. Carlisle to refer the following 2003 Comprehensive Plan and Development Regulation changes to the Planning Commission. 1) Revise Comprehensive Plan Transportation Goal 4 (Anacortes Airport) 2) Revise Comprehensive Plan Transportation Goal 5 (Pedestrian Links) 3) Rezone Block 14 of Tuttle Buckley Addition from R 2 to Light Manufacturing 4) Allowing residential multi -family short-term accommodation in the LM 1 Zone 5) Add kennels as a Conditional Use in the LM 1 Zone 6) Revisions to add short cul-de-sac standards 7) Revise § 17.40.020 (Government Sign) 8) Eliminate PUD minimum parcel size and reduce application requirements for parcels under 2 acres 9) Add "cottage housing" provisions to the Zoning Ordinance 10) Dropping Minimum Lot Widths 11) Clarification of § 17.40.080 (F) (Signs/Marquees) 12) Clarification of § 17.28.050 (R 4 minimum lot size) 13) Clarifying § 16.16.060 cross-references to RCW 58.12 14) The draft Fidalgo Bay Habitat Restoration Plan 15) The Airport Citizen Advisory Committee Recommendations 16) The 2003 Model Critical Areas Ordinance drafted by CTED 17) Amendment to clarify that an appeal of a building permit would not automatically result in work stopping. Vote: Ayes — Brown, Christiansen, Rock, Carlisle, and Petrish. Motion carried Eckert: Penalty Waiver Request Mr. Ian Munce, Planning Director, presented a request by Mr. C. J. Eckert for relief from a $500.00 fine imposed by the Anacortes Improvement Board. Mr. Munce reviewed the City's nuisance abatement process. Complaints regarding Mr. Eckert's property at 1805 11th Street have been lodged with the City beginning in July of 1999. Over the years City staff made numerous attempts to contact Mr. Eckert for removal of the nuisance items. All efforts culminated in a hearing before the Anacortes Improvement Board; the Board voted to assess a penalty of $500.00 due by June 13, 2003 and to require removal of all nuisance items by that 1783 August 18, 2003 -- continued same date. Due to non-compliance, Mr. Carlisle moved, seconded by Mr. Petrish, to deny the Eckert penalty waiver request. Vote: Ayes — Christiansen, Rock, Carlisle, Petrish, and Brown. Motion carried. Resolution: Off -Leash Doo Area Mayor Maxwell presented a Resolution to Council previously reviewed and discussed in Study Session. The Resolution responds to a community request to provide an appropriate area where people can let their dogs run off -leash. FIDO (Fidalgo Islanders for Dogs Off -leash) has agreed to help develop and maintain a temporary off -leash dog area at the "H" Avenue reservoir site for two years or more depending on the future construction of Little League fields at this location. With that, Mr. Christiansen moved, seconded by Mr. Brown, to adopt Resolution No. 1643 entitled "A Resolution Supporting the Effort to Crete Off -Leash Areas for Dogs and Their Owners on Both a Temporary and Permanent Term Basis". Vote: Ayes — Rock, Carlisle, Petrish, Brown, and Christiansen. Motion carried. Consent Aaenda Mr. Carlisle moved, seconded by Mr. Brown to approve the following Consent Agenda items. Vote: Ayes — Carlisle, Petrish, Brown, Christiansen, and Rock. Motion carried. Abnroval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on August 7, 2003 and August 14, 2003 for payment as of this date August 18, 2003. Claims Warrants for the month of August Warrant Number 23388 through 23565 in the total amount of $842,735.12 Prewritten Claims for the month of Auqust Warrant Number 23386 through 23387 in the total amount of $9,785.60 Pavroll # 1 July 31 in the total amount of $543.255.42 Warrant Numbers 23769 through 23863 in the total amount of $207,239.15 Direct Deposit Numbers 7830 through 7999 in the total amount of $209,194.28 EFT Numbers from 194 to 200 in the total amount of $126,821.99 In the same action Council also: ➢Accepted the Incinerator CEM System at the wastewater treatment plant as complete thereby initiating the mandatory 30 -day lien period. If no valid liens are filed, any retainage now held by the City will be released to the contractor. Memorandum of Understandina: Office of Archeoloav and Historic Preservation Mr. Ian Munce, Planning Director, presented a Memorandum of Understanding to the Mayor and Council for review. Mr. Munce explained that the Office of Archeology keeps maps of archeological sites within the State. Based on the sensitivity of the information access to the material is restricted. Signing the MOU authorizes the Department to provide the City with those maps of interest; Mr. Munce emphasized that this material will be strictly regulated. The City also agrees to make every effort to consider archeology sites in our planning, zoning, and building activities and will take affirmative steps to protect those sites. With that, Mr. Carlisle moved, seconded by Mr. Rock, to adopt Resolution No. 1644 and to authorize the Mayor to enter into a Memorandum of Understanding with the Washington State Office of Archeology and Historic Preservation. Vote: Ayes — Petrish, Brown, Christiansen, Rock, and Carlisle. Motion carried. Public Hearina: Vacation of a Portion of Burrows Street — City of Anacortes Mayor Maxwell opened the Public Hearing on a Petition initiated by the City of Anacortes and Carolyn Swadener to vacate a portion of the Burrows Street right-of-way. Mr. Bob Hyde, Director of Public Works, said this action is driven by the City's need to obtain right-of-way in order to execute the Marine Drive Safety Improvement Project. Some time ago the City received grant funds to make the Anaco Beach Road/Marine Drive hairpin turn less severe. Public Works staff is pursuing the numerous right-of-way issues in this area. Using an overhead display Mr. Hyde highlighted each of the utility and easement locations; he then characterized the successful property exchange negotiations. The Board of Adjustment held a Public Hearing on this matter, reviewed the petition, and recommended approval. Mr. Brian Wetcher, 814 26th Street, Chairman of the Street Tree Committee, asked that during development the Clyde River buffer be maintained to the extent possible. Mr. Neil Ingram, 4400 Tyler Way, expressed concern regarding any future development in this area and its affect on his property. There were no further comments and the Mayor declared the Public Hearing closed. After discussion, Mr. Carlisle moved, seconded by Mr. Rock, to approve the vacation petition to vacate a portion of Burrows Street. Vote: Ayes — Brown, Christiansen, Rock, Carlisle, and Petrish. Motion carried. 1784 Resolution: Vela Luka Sister Citv Designation Mayor Maxwell introduced a Resolution to Council for review and adoption. The Anacortes Sister City Chapter the City of Vela Luka and the City of Anacortes have worked together to establish a Sister City relationship. Previously reviewed in Study Session, the proposal extends an invitation to the people of Vela Luka, Croatia to participate in the Sister City program with Anacortes. With that, Mr. Christiansen moved, seconded by Mr. Brown, to adopt Resolution No. 1645. Mr. Petrish enthusiastically supported this action and listed the names of his family members born in Vela Luka. Vote: Ayes — Christiansen, Rock, Carlisle, Petrish, and Brown. Motion carried. Executive Session: (20 minutes) At approximately 8:45 Mayor Maxwell announced that the Council would convene in Executive Session for an update on Firefighters Arbitration. At approximately 9:15 the Council reconvened and without taking any further action continued the meeting to Monday, August 25, 2003 for the purpose of a bid award for the Tommy Thompson Trail (Phase 1). Geo Khtaian 7City Clerk-Tre'asurer H. Dean Maxwell, Mayor August 25, 2003 — continued from August 18, 2003 Mayor Pro -Tem Ray Sizemore called the continued meeting to order at 7:30 p.m. Roll call found Present: Councilmembers Bill Carlisle, Cvnthia Richardson. Bud Rock, Ken Brown, Terry Christiansen. and Ray Sizemore. Absent: Nick Petrish and Mayor Dean, Maxwell. Mr. Sizemore noted that the 7th Street block party item had been approved administratively and had occurred last weekend. No action was necessary on this agenda item. Mr. Sizemore then informed those present that no action would be taken on awarding bids for the Tommy Thompson Trail project. Bids had been received but further analysis needed to be done by City staff before a recommendation could be made to award. There being no further business to conduct, the Continued Council Meeting was adjourned at approximately 7:40 p.m. - . W. Magor H. Dean Maxwell, htaiaKi, Ci Geo K ty C :1 e -Treasurer �14zv Azk Councilmember 1785 September 2, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Tuesday, September 2, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. The Pledge of Allegiance followed roll call. Minutes of Previous Meetinqs Mr. Brown moved, seconded by Mr. Rock to approve the minutes of August 18, 2003 and August 25, 2003 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Mr. Petrish abstained from voting on the minutes of August 25th. Motion carried. Citizen Hearinqs No one present wished to testify on matters not on the agenda. `'Mayor/Council Communication`; ® Mayor Maxwell announced the selection of Ms. MyungHee Muller as a recipient of the Mayor's Award of Merit. Ms. Muller's co-workers nominated her for this recognition based on her dedication to her job, and her unending enthusiasm, professionalism, and cheerful attitude. The Mayor highlighted her tremendous support during a recent retroactive wage payment program, and her selfless effort to help the City of Anacortes raise over $1,600 for the American Cancer Society. Ms. Muller received a gift certificate to a local restaurant and her name will be placed on a plaque in the Council Chambers along with other recipients of this meaningful award. Mayor Maxwell reported to the Council and audience that Ms. Lin Folsom has volunteered to fill the Planning Commission vacancy. Over the years Ms. Folsom has volunteered on a number of Public Works and civic committees and comes to this position with a Public Works background. With that, Mrs. Richardson moved, seconded by Mr. Christiansen, to confirm the appointment of Ms. Lin Folson to the Planning Commission. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. The Mayor then turned to an 8 -inch deep stack of letters received to date in response to a community survey regarding the threatened reduction of the City's emergency services. Thanking all those who took the time to respond, the Mayor also pointed out that the City still does not have a signed contract with the County for EMS services; citizen participation in communicating the City's needs to the County is critical in maintaining these life-saving services. Bid Award: Tommv Thompson Trail (Phase 11 Mr. Bob Hyde, Director of Public Works, presented a request to Council for consideration of bids for the Thompson Trail Project, 22nd Street to 34th Street (Phase 1). The entire project has been divided into two phases due to a number of cultural and environmental issues raised regarding the southerly portion of the trail. Seven bids were received in response to Phase I with the low bid from Callen Construction. Subsequently, Callen discovered a bidding error and asked to withdraw from the bid process; the next lowest bid was from. Henifin Construction, Bellingham in the amount of $308,234.00. Mr. Hyde then briefly described the Scope of Work including approximately 3,300 feet of 12' wide asphalt trail with 2' gravel shoulders either side, a bathroom facility at the trail head at 21St Q/R, and an adjacent 8 -car parking lot. Trash receptacles are also included in the bid; signage will be a part of the Phase II bidding process. Mr. Petrish then asked to clarify the status of the trail with regard to the MJB property. The Mayor explained that the Council could consider future corridor relocation requests from MJB. However, there would be substantial costs to MJB to relocate the trail. Mr. Petrish also emphasized the need for public access to the waterfront and asked to review the matter in Executive Session, and moved to table this matter. The motion was seconded by Mr. Carlisle. Vote: Ayes — Petrish, Carlisle. Nay — Brown, Christiansen, Richardson, Rock, and Sizemore. Motion failed. Mr. Ian Munce, Planning Director, explained that, through the zoning process, waterfront development in this area shall include the installation of a public access esplanade. The Mayor pointed out that the City owns the property for the trail corridor and has received grant monies tied to the one -link trail. Again, this does not preclude any future discussions of realignment of the trail. Mr. Carlisle offered that the trail would be better placed on "T" Avenue. Mr. Christiansen spoke in favor of moving this project forward. Mr. Sizemore asked for more details regarding the restroom facilities, security parking, hours of operation, disposal of the railroad ties, and salvage value. Council also asked for more detailed information regarding the amount, size, and value of the rail to be removed. Mr. Hyde reported on the contractor's responsibility for the disposal of the track and the ties and associated costs. Mrs. Richardson moved, seconded by Mr. Brown to continue the matter to September 8th for clarification on the rail/salvage issue. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. Skaqit Countv Natural Hazards Mitiqation Plan Mayor Maxwell explained that federal legislation requires state and local jurisdictions to prepare plans for mitigating the impact of natural hazards. In order for the City to qualify for post disaster mitigation grant funding a Natural Hazard Mitigation Plan must be approved by FEMA. With that, Mrs. Richardson moved, seconded by Mr. Rock, to adopt Resolution No. 1646 entitled "A Resolution Adopting the 2003 Skagit County Natural Hazard Mitigation Plan as the Official Natural Hazard Mitigation Plan for the City of Anacortes". Vote: Ayes - Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. 1786 September 2, 2003 -- continued Pleasant Slope Preliminary Plat: Deliberation Mr. Christiansen explained his working relationship with one of the principals for the project. No one challenged Mr. Christiansen's ability to hear this matter. Mr. Ian Munce, Planning Director, then used an overhead display to highlight the Pleasant Slope 34 -lot subdivision located on 9.91 acres generally located east of "E' Avenue at the east end of 28th Street accessed from "D" Avenue. The proposed Pleasant Slope plat is configured over top of an existing plat. The proponents submitted the Pleasant Slope replat proposal; the Planning Commission held Public Hearings and recommended Council approval with conditions. Several appeals were filed from 'H" Avenue home owners concerned primarily with increased "H" Avenue traffic; issues raised during the Public Hearings included a fence to buffer the Creekside property to the north and a split rail fence for the Mehler property to the south; 28th street improvements; value of the net right of way to be vacated (south half of 27th Street and north half of 27th street and provision for a Native Growth Protection Easement); 15' clearing limit during construction adjacent to the Mehler property; construction of 28th street from "H" to "J" Avenues with reimbursement to the Applicant for reasonable costs above $60,000; approval of a 15 -year Latecomer's Agreement; and distribution of Findings of Fact for the developer and Council to review. Mrs. Richardson asked for more detailed information regarding the parcels affected by the latecomer's agreement. Mr. Bob Hyde, Director of Public Works explained that the developer's engineer will prepare the 28th street improvement design to City standards. Mr. Hyde further characterized the positive negotiations with 28th street property owners and used an overhead to highlight the proposed street configuration. Issues remain regarding sidewalks and the drainage system but all plans are moving forward. Councilmembers spoke in favor of the 28th street improvements. After discussion, Mr. Brown moved, seconded by Mr. Sizemore, to direct staff to prepare Findings of Fact and Conclusions of Law for the Pleasant Slope Preliminary Plat clarifying these project conditions. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. The Mayor thanked Vintage Investments, the Public Works Department, and the 28th street neighbors for working together on these issues. Consider Bid for Sewer Line Replacement Mr. Bob Hyde, Director of Public Works, presented bid results for the sewer line replacement project - "O" to "Q" Avenue between 23rd and 24th Streets. Approximately 565' of line will be replaced with an 8" line. The existing conditions moving this project forward are the general poor pipe condition and the Les Schwab project to pave the alley to access new construction. Five contractors from the Small Work Roster were sent requests for quotations and with one response received from Trenchless Construction Services of Arlington in the amount of $73,560.10. Staff recommends acceptance of the bid. After discussion, Mr. Sizemore moved, seconded by Mr. Brown, to award to the Sewer Line Replacement project to Trenchless Construction Services in the amount of $73,560.10. Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson, and Rock. Motion carried. Consent Aaenda Mr. Carlisle moved, seconded by Mr. Rock to approve the following Consent Agenda items. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on August 21, 2003 and August 28, 2003 for payment as of this date September 2, 2003. Claims Warrants for the month of Auqust Warrant Number 23567 through 23744 in the total amount of $383,579.64 Prewritten Claims for the month of Auqust Warrant Number 23566 in the total amount of $250.00 Pavroll # 1 Auqust 15th in the total amount of $401,276.43 Warrant Numbers 23864 through 23953 in the total amount of $76,654.06 Direct Deposit Numbers 8000 through 8149 in the total amount of $203,199.00 EFT Numbers from 201 through 205 in the total amount of $121,423.37 In the same action Council also: ➢Adopted Resolution No. 1647 setting October 20, 2003 as the Public Hearing date on a petition to vacate a portion of the alley in Nelson's and Stewart's Additions. ➢Adopted Findings of Fact and Conclusions of Law for the Anacortes School District Portable Classrooms Conditional Use Permit. Approval of Citv Hall Smoke Detector Installation Proiect Mr. Russ Pittis, Facilities Manager, presented quotes for the installation of a simple 4 -alarm smoke detector system in the Municipal Building, 6th Street and "Q" Avenue. Low bid was received from D -Tech in the amount of $5,034.00 plus tax. Staff recommends acceptance of the D -Tech proposal; after installation the system will need to be monitored for alarms. D -Tech can provide this service for an annual fee of $336.00. Discussion followed regarding additional alarms and retrofit processes, and future expansion of service. Mr. Rock referred to the need to repair ceilings between floors. After discussion, Mr. Brown moved, seconded by Mr. Sizemore, to accept the D -Tech bid in the amount of $5,034.00 plus tax. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. 1787 September 2, 2003 -- continued At approximately 8:45 p.m. Mayor Maxwell continued the meeting to Monday, September 8, 2003 for the purpose of awarding bids: Segment 4 waterline; "I" Avenue sidewalk construction; and the Tommy T N Ph I M. T ompson rai ( ase ). Geo Khtaia , City Clerk -Treasurer -1/ L_ 2� H. 156an Maxwell, Mayor Councilmember September 8, 2003 -- Continued from September 2, 2003 The Mayor call the continued City Council meeting to order at 7:30 p.m. Roll call found present: Councilmembers Nick Petrish, Cynthia Richardson, Ray Sizemore, Terry Christiansen, Bud Rock, and Ken Brown. Absent: Bill Carlisle Mr. Bob Hyde, City Public Works Director, reviewed the bids received for the 24 -inch waterline from Thompson Road through to Sharpe's Corner. After discussion, Mr. Sizemore moved that the bid be awarded to James W. Fowler in the amount of $2,662,052.01, the low bidder. The motion was seconded by Ms. Richardson and passed unanimously. Mr. Hyde then reviewed the bids received for the Tommy Thompson Parkway. The low bid had been described in detail at the September 2 Council Meeting but action was delayed for further consideration as to the ultimate disposal of the rail lines to be taken up for the trail. Ms. Richardson moved that the Council award the bid to the low bidder, Henifin Construction, in the amount of $308,234.00. The motion was seconded by Mr. Brown and passed unanimously. It was noted that further discussions could still occur with those trying to re-establish a tourist railroad and that there was some opportunity for further discussions with the low bidder as to the disposal of the rails. However, action by the rail group would need to be taken in the near future or their opportunity would be lost. Ian Munce, City Attorney, reported to the Council that the Port had filed another law suit against the City on the Anacortes Airport. Mr. Munce reported that the matter would be heard by Judge Allendoerfer on September 17, 2003. Mayor and Councilmembers expressed their disappointment at the Port's continued reliance on litigation rather than discussion and negotiation. There being no further action before the Council, the meeting adjourned at 8:15 p.m. Geor htaia , City Cleric -Treasurer H. Dean Maxwell, Mayq� ,49� 4 a__. Councilmember September 15, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, September 15, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. The Pledge of Allegiance followed roll call. Minutes of Previous Meetinqs Mr. Sizemore moved, seconded by Mrs. Richardson to approve the minutes of September 2, 2003 and September 8, 2003 as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearinqs Mr. Steve Flude, Assistant Director/Assistance County Engineer, Skagit County, addressed the Mayor, Council and audience. Mr. Flude gave a progress report on the Guemes Ferry Parking Lot project. Approximately 70 stalls will be provided near the ferry landing; two construction phases are planned: (1) demolish Apex warehouse, (2) accept bids October 13, 2003. Tasks ahead include properly documenting the Apex Company warehouse; development, design, and installation of an interpretive display regarding the Apex Warehouse; contribution of an amount equal to 1% of the project toward a local historical preservation project; and incorporating elements of the warehouse into the project. This agreement was approved after a two-year period of Federal review. He then outlined the bid and construction schedules with May 28, 2004 as the slated completion date. The Mayor and Council appreciated the update. %Mayor/Council Communication? IS Mayor Maxwell read a Proclamation proclaiming September, October, and November as "United Way Campaign Months" and the Mayor and Council encouraged everyone in the community to step forward to help those in need by volunteering and contributing financially to the United Way. Mr. Carlisle reported on his recent need for City of Anacortes ambulance and emergency team personnel. He both praised and appreciated the professional, capable, and prompt care he received. Mr. Carlisle suggested that as many as three ambulances are needed for comprehensive ambulance and emergency coverage in our area. Critical Area Ordinance Additions Mr. Ian Munce, City Attorney, discussed the Critical Area Ordinance review schedule beginning with the June 16, 2003 Council adoption of Interim Critical Areas Ordinance No. 2623. A Public Hearing on Interim Ordinance No. 2623 was held on July 7, 2003; at that time staff recommended that immediate steps could be taken to implement tighter controls including (1) development of habitat management plans for any parcels of property within the City limits that are adjacent to the March Point Heronry, and (2) the addition of Section 13: Aquifer Recharge Areas (regulatory requirements to protect groundwater quality). On a question from Mr. Christiansen, Mr. Munce explained that, through the City of Anacortes Stormwater Management Plan, comprehensive water quality protections and penalties are already in place. Controls added by Section 13 both parallel our Stormwater Plan and add conditions and standards should Class B water systems be implemented in Anacortes. After discussion, Mr. Christiansen moved, seconded by Mr. Rock, to adopt Ordinance No. 2628 entitled "An Ordinance Relating to Land Use and Critical Area Regulations: Adding Sections to Ordinance No. 2623 (Interim Critical Areas Ordinance)". Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Ordinance: Further Restrictinq Alcohol on the City Forest Lands Mr. Ian Munce, City Attorney, explained that the Anacortes Forest Board and Public Safety Committee previously reviewed the Ordinance before Council with recommendations to Council for adoption. The proposed Ordinance would make it unlawful for any person to drink, consume, or possess intoxicating liquor or beverages within the boundaries of the City of Anacortes forestlands. The necessity for this action was highlighted by recent Whistle Lake neighborhood concerns. After discussion, Mr. Sizemore moved, seconded by Mr. Christiansen, to adopt Ordinance No. 2629 prohibiting consumption or possession of intoxicating liquor or beverages within the City of Anacortes forestlands. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Ordinance: Amendinq the Interim Airport Zoninq Ordinance Mr. Ian Munce, City Attorney, presented an Ordinance to Council for review and adoption.' The Ordinance addresses the objection of the Port of Anacortes (POA) to the term "community oriented" aviation facility that appears in Ordinance 2620 (Interim Airport Zoning). The use of this term was a cross-reference to language in the Port of Anacortes Airport Master Plan, 1994; however, the POA now suggests that this term is not significant to the meaning of Ordinance No. 2620 and asks that the words "community oriented" be deleted from the text. Mr. Carlisle spoke against striking this language emphasizing that the term "community oriented" appears in 1789 September 15, 2003 -- continued the Port's Master Plan and is cross- referenced in the Port's 1993 Mission Statement. Mr. Munce emphasized that the Port is pressing litigation using the removal of this language as an issue. With that, Mr. Sizemore moved, seconded by Mr. Christiansen, to adopt Ordinance No. 2630 entitled "An Ordinance Clarifying a Provision of Ordinance No. 2620 (Interim Airport zoning)". Vote: Ayes — Christiansen, Richardson, Rock, Petrish, Sizemore, and Brown. No — Carlisle. Motion carried. Findings of Fact and Conclusions of Law: Pleasant Slove Preliminary Plat Mr. Ian Munce, City Attorney, presented the Findings of Fact and Conclusions of Law for the Pleasant Slope Preliminary Plat. Mr. Munce reviewed the recommended conditions and associated appeals for the 34 -lot replat, Pleasant Slope Addition. Varied negotiations between the City, Applicant and neighbors have resulted in the condition language now before Council. Traffic circulation (including street connections from "H" to "J" Avenue and 28th street development) and fences for both property owners to the north and south were key issues. With regard to the fence to the north the Applicant has agreed to install a solid fence bordering the south half of vacated 27th street; the north half will be removed from right of way status and turned over to the Park Department. A Native Growth Protection Easement (NGPE) will be part of the Final Plat once fencing and selective trimming are completed for the south half of vacated 27th Street. The Applicant and the Creekside Home Owners Association have a joint agreement with regard to the vegetation removal in the NGPE. Mr. Munce then turned to Condition # 34. During development discussions it was highlighted that the Applicant and City staff have differing points of view regarding tight lining the stormsewer line on 28th Street. The following amendment to Condition # 34 was offered in response: "The Applicant shall construct 28th Street from "H" to "J" to City standards, with the City reimbursing the Applicant for its reasonable costs above $60,000 $72,500 (the -value-e€#�e net right of way vaGated is set at th*6 same $60,000 figufe); the Fea6GRable StE Ehall Pet iRGIude—the estimated value of the tighTlined- ;-;terrn Sewer line eFigiRally ^.^^^ced by the AppliGant to Fun along e+� iFern "H" ta-W; these improvements shall be completed prior to final plat approval. The appeals were primarily with regard to the increased traffic to "H" Avenue residences. It was noted that the 28th Street improvements will provide for an additional access point. The Latecomer's Agreement will come back to Council at a later date. Mayor Maxwell pointed out that the NGPE is also a wildlife corridor overlay. Mr. Carlisle suggested that the Creekside homeowners abutting the 27th right of way participate in the NGPE agreement dialogue. Discussion followed regarding the fence styles. Mrs. Richardson pointed out that Condition # 31 requires that the landscaping and fencing plan shall be approved by the Planning Commission; the Creekside/Applicant agreement would be part of that review/approval process. After discussion, Mrs. Richardson moved to approve the Findings of Fact and Conclusions of Law for the Pleasant Slope Addition Preliminary Plat including the amendment to Condition # 34 and an amendment to Condition # 18 to add the phrase "split rail". Mrs. Richardson then withdrew the amendment to Condition # 16 from her motion. Mr. Rock seconded the amended motion. Vote: Ayes — Richardson, Rock, Carlisle, Sizemore, Brown, and Christiansen. Abstain: Petrish. Motion carried. Mr. Petrish explained that a family member owns property adjacent to the Pleasant Slope site and in light of that has withdrawn from deliberation and vote on this matter. Consent Aqenda Mr. Rock moved, seconded by Mr. Sizemore approve the following Consent Agenda items. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on September 4, 2003 and September 1, 2003 for payment as of this date September 15, 2003. Claims Warrants for the month of September Warrant Number 23746 through 23933 in the total amount of $326,045.84 Prewritten Claims for the month of September Warrant Number 23745 in the total amount of $1,144.19 Pavroll # 2 August 29th in the total amount of $529.386.93 Warrant Numbers 23954 through 24053 in the total amount of $205,372.83 Direct Deposit Numbers 8150 through 8317 in the total amount of $202,081.24 EFT Numbers from 206 through 211 in the total amount of $121,932.86 1790 September 15, 2003 -- continued Closed Record Meetinq: Rock Ridqe West Phase II Preliminary Plat Mayor Maxwell announced that this meeting, originally scheduled for September 22, 2003, has been continued to October 20, 2003. Neqotiated Sales of Surplus Items: Proposal Mr. Ian Munce, City Attorney, reported that the Finance Department has investigated different methods for acquiring compensation for surplused vehicles other than disposal through auction. The proposed negotiated sales contract process now before Council is one such alternative. Questions were raised as to how this alternative affects the competitive bidding process. Mr. Jesse Hoffheimer, Finance Department, outlined the benefit for using the negotiated sales contract for rolling stock out of fleet equipment at a quicker pace and for eliminating advertising costs. Mr. Hoffheimer also reported that the contract format has been reviewed by the Municipal Resource Center. Mayor Maxwell suggested that each contract be brought forward for Council and public review. Mr. Munce raised issues of notice, Ordinance language, and process. Council requested additional information to assist in the review process. Appeal: Home Occupation Approval — Nowotnv Mr. Ian Munce, Planning Director, introduced this item to Council. Ray and Katherine Nowotny applied to the City Zoning Administrator for a Home Occupation permit for one tanning bed at their home address, 2203 22nd Street. Neighbors within 300' were notified of this action and a strong letter of protest was submitted by the WindWard Homeowners Association. Two neighbors called the Planning Department with no objections to this use. Mr. Munce clarified that the WindWard Homeowners Association does not have jurisdiction over the Nowotny's property. Mrs. Annabelle House, 2215 22nd St., on behalf of the WindWard Association, pointed out that the CC&R's prohibit home businesses and asked the Council to deny the Home Occupation permit. Mrs. Katherine Nowotny, 2203 22nd St., presented an overhead display highlighting the available parking. Mrs. Nowotny explained that they purchased the property prior to the WindWard development. Practical access to the property is off of 22nd St. Their plan is to establish a clientele base and then move the business to commercially zoned property. They anticipate 2-3 customers/hour; parking will not disturb the Windward neighborhood. After discussion, Mr. Rock moved, seconded by Mr. Christiansen, to deny the appeal and to limit the home occupation permit to one year. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, and Rock. No — Carlisle. Motion carried. Authorization of Low Income Housinq Proqram Mr. Ian Munce, City Attorney, presented an Interlocal Cooperation Agreement between Skagit County, the City of Anacortes and others for the purpose of administering surcharge funds created as a result of SHB 2060. The surcharge of ten dollars for each document recorded through the County Auditor's office will be used to fund housing programs for extremely low income and very -low income persons throughout Skagit County. The program has been in effect for a year with the County's shared total now at $202,000. The Council in Study Session reviewed this Agreement. The Skagit County Community Action Agency has been asked to manage the funds collaboratively with all jurisdictions involved. Mr. Christiansen stressed that the funds be released to the individuals in need as quickly as possible. With that, Mr. Christiansen moved, seconded by Carlisle, to authorize the Mayor to enter into the Interlocal Cooperation Agreement with Skagit County on SHB 2060 funds for very -low income housing. Vote: Ayes - Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Approval of Interlocal Aqreement with the City of Yakima and Purchase of Sewer Inspection Video Unit Mr. Bob Hyde, Director of Public Works, discussed the Council -approved purchase of a replacement sewer camera/video inspection unit (included in the 2003 budget). The City of Yakima recently purchased a similar unit through an interlocal agreement. Mr. Hyde then described the upgrades associated with the new equipment. After discussion, Mrs. Richardson moved, seconded by Mr. Brown to approve the interlocal agreement with the City of Yakima and to authorize purchase of the camera/video inspection unit from R.S.T. Technical Services, Inc. through the City of Yakima at a cost not to exceed $78,651.48 including tax. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. The Mayor encouraged citizens with sewer line concerns to call the City for assistance. There being no further business, at approximately 9:00 p.m. Mayor Maxwell adjourned the meeting. Geo Khtaia , City Clerk' -Treasurer H. Dean Maxwell, Mayor IM C cou ou - .- 1791 October 6, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, October 6, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Cynthia Richardson, and Bud Rock. Absent: Terry Christiansen. The Pledge of Allegiance followed roll call. Minutes of Previous Meetings Mr. Petrish asked that the minutes of September 15, 2003 be amended as follows: Page 3, last sentence of Findinas of Fact and Conclusions of Law: Pleasant Slope Preliminary Plat: "Abstain: Petrish. Motion carried. Mr. Petrish explained that a family members owns property adjacent to the Pleasant Slope site and in light of that has withdrawn from deliberation and vote on this matter." With that amendment Mr. Sizemore moved, seconded by Mr. Rock to approve the minutes of September 15, 2003. Vote: Ayes — Petrish, Sizemore, Brown, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearinqs No one present wished to testify on matters not on the agenda. %Mayor/Council Comm unication% Mayor Maxwell announced that a Candidate's Forum is scheduled for October 16th at 7:00 p.m. in the Municipal Building Council Chambers. Adding that this was a positive activity for the community, Mrs. Richardson moved, seconded by Mr. Brown to authorize co-sponsorship of this activity with the Chambers of Commerce and to include the Forum on the Public Access Channel. Vote: Ayes — Sizemore, Brown, Richardson, Rock, Carlisle, and Petrish. Motion carried. Mayor Maxwell reported that the Port of Anacortes asked to reschedule the City/Port Liaison Committee meeting from October 14th to Thursday, October 9th at 10:30 a.m. in the Mayor's office for the purpose of discussing issues as they relate to the Anacortes Airport. The Mayor noted that a Public Hearing on Airport Policies and Zoning is scheduled before the Council on Monday, October 13th. Mr. Ian Munce, City Attorney, discussed the unreasonable review time frame imposed by the rescheduled October 9th meeting, especially if at that time the Port submits new information or proposals. With regard to litigation Mr. Munce explained that the Court understands the City Council is moving beyond the interim ordinance toward the adoption of new rules at the October 13th hearing; formal Ordinance adoption could occur on October 20th. The Judge has reserved time on November 14th to study these new rules. To date, the Port has not submitted a proposal of any kind for mitigation, in fact, operations are defined to exclude buffers and landscaping, berms, existing trees, etc.; the Port has had over a year to submit mitigation language. The City is now ready to take action on information already assembled. Councilmembers expressed concern over the lack of public participation should the Port submit new information on the 9th. The more appropriate approach would be for the Port to bring any proposal to the full Council and public. Mr. Munce suggested that Council use the meeting on the 9th to review any compromise language that would clarify some Port concerns. City EMS Ordinance: Consider EMS Comments Mr. Ian Munce, City Attorney, submitted a revised ordinance to the Mayor and Council relating to level of ambulance service for Anacortes. This draft ordinance reflects the second round of clarifications to come out of negotiations between the City of Anacortes and the Skagit County EMS Commission. Mr. Munce highlighted the refinements as follows: Agreed: Page 6 - request that all ALS ambulance service shall be operated and administered in accordance with state law; Agreed: Page 12 — All services performed shall be in accordance with Skagit County medical protocols; Agreed subject to clarification: Page 4 — reference to "City Medical Program Director" shall be deleted when a procedure is in place identifying the City's role in the selection process for the appointment of a Skagit County Emergency Medical Services Medical Program Director. After discussion, Mr. Brown moved, seconded by Mr. Sizemore, to authorize staff to forward these approved amendments as conditioned to the EMS Commission. Vote: Ayes — Brown, Richardson, Rock, Petrish, and Sizemore. Mr. Carlisle chose not to vote on this matter. Motion carried. Bid Awards: (1) Synthetic Turf (2) Field Liqhtinq — Volunteer Park Mr. Gary Robinson, Director of Parks and Recreation, presented the two bids received for projects at the Community Fast-pitch/Little League Field at Volunteer Park; one bid was submitted for each proposal. Mr. Robinson described the budgeting process used to fund these improvements. Bids were received from: Synthetic Turf Playing Surfaces Fieldturn International $181,248.75 Field Lighting Proposal Musco Sports Lighting $101,148.70 1792 October 6, 2003 -- continued Bid amounts include sales tax. With that, Mr. Sizemore moved, seconded by Mr. Rock, to award the bids as outlined above. Vote: Ayes - Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Contract Award: 12th Street Wideninq Mr. Bob Hyde, Director of Public Works, introduced bids for the final phase of the 12th street improvement project which includes a turn lane at 12th Street between "G" and "H" Avenues and construction of traffic control signals at "M" and "D" Avenues. The signal phase is complete and this final phase will construct the turn lane. Some storm water and potable water work will be done as well. Bids were opened on September 25th; 7 bids were received with the lowest bid response from Colacurcio Bros. Construction in the amount of $470,561.00. The work is to be completed within 45 work days; both lanes will be open during the entirety of the construction; and while some trees will be removed 20 new trees will be installed. Mr. Petrish questioned the need for the new turn lanes routing 12th street traffic north toward uncontrolled residential streets. Mr. Carlisle spoke against the use of northbound turn pockets at "G" and "H" Avenues. Mrs. Richardson suggested that adjustments can be made after the installation of the improvements when it will be easier to determine the traffic burden spread. After discussion, Mrs. Richardson moved, seconded by Mr. Sizemore, to award the construction contract for the 12th street widening project to Colacurico Bros. Construction in the amount of $470,561.00. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, and Richardson. Motion carried. Consent Aqenda Mrs. Richardson moved, seconded by Mr. Brown to approve the following Consent Agenda item. Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Richardson, and Rock. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on September 18, 2003, September 25, 2003, and October 1, 2003 for payment as of this date October 6, 2003. Claims Warrants for the month of September Warrant Number 23936 through 24184 in the total amount of $626,889.12 Prewritten Claims for the month of October Warrant Number 23934 through 23935 in the total amount of $158,378.94 Pavroll # 1 September 15th in the total amount of $407.308.01 Warrant Numbers 24054 through 24135 in the total amount of $73,308.01 Direct Deposit Numbers 8318 through 8468 in the total amount of $210,939.01 EFT Numbers from 212 through 216 in the total amount of $123,364.07 Pavroll #2 September 30th in the total amount of $530.753.69 Warrant Numbers 24137 through 24225 in the total amount of $203,353.59 Direct Deposit Numbers 8469 through 8581 in the total amount of $201,786.36 EFT Numbers from 195 through 222 in the total amount of $125,613.74 Solid Waste Presentation Mayor Maxwell introduced representatives from Skagit County Public Works The Mayor explained that Cities and Towns have been asked to study extending the Interlocal Agreement for Comprehensive Solid Waste Disposal System to 2013. Prior to the presentation Mr. Sizemore called attention to the study material provided by Skagit County. References were made to Cimarron Trucking and Recycling Company. The correct company name is Cimarron Transfer and Recycling Company (CTRC). Although Mr. Sizemore is a principal with CTRC he is also founder of Cimarron Trucking Company, a separate entity from CTRC. With that, Mr. Sizemore left the Council Chambers during the presentation. Prior to this meeting the Council and Mayor received copies of the current Interlocal Agreement and System background information; meeting handouts highlighted the debt schedule and allocation system. Mr. Chal Martin, Skagit County Public Works Director, and Mr. Dave Brookings, Public Works Administrator, used a series of overhead displays to initiate the dialogue with Anacortes on whether or not to extend the agreement. Mr. Martin then outlined the County's solid waste system history; provided detailed system information; a year -by -year analysis of projected costs through 2013; and previewed the City's options and timeline. Revenues come from transfer of garbage; the current long haul contract is with RDC extending to 2013. Mr. Martin also touched on options for lowering costs including public/private partnerships. He also speculated that tip fees would not increase beyond what was presented in the information packet. Cimarron Transfer and Recycling has proposed to build a material recovery facility that could be also operated as a transfer station. Skagit County has scheduled an October 30th meeting at the Burlington Fire Hall with an invitation to all Cities and Towns to participate in the dialogue. The County would like to receive a formal response from each City and Town before the end of November. County Commissioners are studying this proposal goal with the thought of providing additional 1793 October 6, 2003 -- continued infrastructure for the processing of solid waste anticipating that there will be enough tonnage within that system making it cost effective and encouraging competition. Mayor Maxwell emphasized that the City's goal is to consider the ratepayers. The Council is looking for an increased level of detail so that the matter can be reviewed in depth at a Study Session. The Mayor thanked Mr. Martin and Mr. Brookings for their presentation. Mr. Sizemore returned to the Council Chambers. Public Hearinq: 2004 Budget Mayor Maxwell opened the Public Hearing to take testimony on the proposed 2004 Budget and Property Tax Levy. Mr. George Khtaian, Finance Director, outlined the budget review process. The Budget Ordinance will come before Council on November 3rd for adoption; this hearing is also for the property tax levy. Three additional items have been added to the budget in the General Fund for a total of $25,500: Police Dispatch Services; Professional Engineering Services; and Skagit County Community Action Agency. Pie charts were available for Council and public review on expenditures and revenues. A property tax general levy increase of 1 % is requested for the 2004 budget. Additional bar charts highlight that the City of Anacortes is the lowest taxing district in the County. Mr. Khtaian also drew attention to the approximate $.26 decrease in the City's portion of the total Anacortes millage scenario.. Mr. Bob Hyde, Director of Public Works, asked to add the following items to the budget: 12th street widening project will require payment in 2004. This will add $375,000 to the 105 account. Revenue will come from grant monies together with a portion of the 28th and "J" connection budget.. There were no comments from the audience and the Mayor declared the Public Hearing closed. Mrs. Richardson explained that her concerns raised at a previous study session regarding travel expenses have been satisfied. After discussion, Mrs. Richardson moved, seconded by Mr. Sizemore, to approve the recommended 1% property tax increase. Vote: Ayes — Petrish, Sizemore, Brown, Richardson, Rock, and Carlisle. Motion carried. The final budget document will incorporate all budget modifications. Resolution: Aaoroval for Ambulance Purchase Mr. Dan Harju, Assistant Fire Chief, reported to Council that the Skagit County EMS Commission approved the replacement ambulance for the City of Anacortes and to voted pay a maximum of $140,000. The balance will be paid by the City of Anacortes from the equipment rental fund. The Council also has a Resolution before them for review and adoption that would allow the City to enter into an interlocal agreement with the Conway Fire Department for the equipment purchase. Mr. Sizemore discussed vehicle rotation. After discussion, Mr. Sizemore moved, seconded by Mr. Rock, to adopt Resolution No. 1648 entitled "A Resolution Authorizing the Joint Purchase of an Ambulance Through an Interlocal Agreement". Vote: Ayes — Sizemore, Brown, Richardson, Rock, Carlisle, and Petrish. Motion carried. Final Plat: Cedar Glen Phase II Mr. Bob Hyde, Director of Public Works, presented the Cedar Glen Phase II Final Plat for Council review and approval. Cedar Glen Phase II is a 36 -lot single family residential development located on Clyde Way abutting the north end of Kingsway. City staff and Planning Commission reviewed the project and recommended approval subject to an appropriate performance and maintenance bond for incomplete items. Infrastructure inspections are complete and Mr. Hyde called out the following punch list items: $30,000 Jasper Way extension; $10,000 detention pond landscaping; $10,000 miscellaneous punch list items; with a total bond in the amount of $75,000. After discussion, Mr. Carlisle moved, seconded by Mr. Petrish, to approve the Cedar Glen Phase II Final Plat subject to receipt of a $75,000 performance and maintenance bond. Vote: Ayes — Brown, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Closed Record Meetinq: West 33rd Street Wetland Mitiqation, Mayor Maxwell initiated the Closed Record Meeting on a Conditional Use application submitted by the City of Anacortes for authorization to replace 2,000 square feet of wetland with construction of 4,176 square feet of wetland mitigation. The project will offset an encroachment into an existing wetland due to West 33`d Street (Jasper Way) construction. The Council received a complete packet of all Public Hearing materials including a wetland mitigation and delineation plan, application, SEPA checklist, exhibits, minutes, and meeting transcripts. A handout from Evergreen Islands was distributed to Council at the meeting along with a letter from Jim Wiggins, ATSI, "Jasper Way realignment project — Wetland Mitigation overview." Mr. Munce also reported that the City just received the Army Corps of Engineers Permit for this project. Using an overhead display Mr. Munce highlighted the Kingsway connection route including the Jasper Way connection. The Planning Commission recommended approval with the conditions that (1) a qualified wetlands expert will be hired to oversee the project; (2) one year from approval, a monitoring report shall be submitted to the Planning Commission for review, and determination of corrective action, if necessary; (3) the City will take any corrective action as necessary; (4) no additional buffers shall be designated on the Kraljevich property as 1794 October 6, 2003 -- continued a result of this project; and (5) the City will contribute approximately 4,000 square feet of off-site mitigated area in addition to the on-site mitigation proposed as part of this project. Two appeals were filed. The first appellant, Mr. Tom Glade, Evergreen Islands, suggested that the wetland replacement ratio should be 6,000 square feet of mitigation. Mr. Glade said that the project violates Chapter 17.65, Non -tidal Wetlands of the Municipal Code; the project also encroaches into the Category 2 wetland; the proposed mitigated wetland will have buffers on two sides only; selection of off- site area should be done prior to approval. Evergreen Islands recommends that: the City drops the on-site mitigation; to increase the size of the off-site mitigation from 4,000 to 6,000 square feet; and to formally designate the site for the re-created wetland. The second appellant, Mr. Ross Barnes, 13695 Harbor Lane, suggested that the forested area to be used for mitigation be left as is. He suggested that all mitigation be off-site and that the area be identified before approval of this project. He recommended recreating wetlands in the "madrona area" east of the Depot Art Center. Mr. Munce underscored that the City is always willing to partner with others for wetland mitigation projects through the development process. Staff also recommends approval of the project as conditioned. Discussion followed with Council regarding the loss of mature vegetation for mitigation. Mr. Carlisle pointed out that the wetland area in questions is only 40'x 50'; the Army Corps of Engineers has received the project in detail and approved same; and there is a compelling need for the use of the roadway. With that, Mr. Carlisle moved, seconded by Mr. Sizemore, to approve the Conditional Use Permit to mitigate a 2,088 square foot existing wetland with on-site wetland mitigation of 4,176 square feet subject to five conditions recommended by the Planning Commission. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, and Brown. No — Richardson. Motion carried. Sewer Rates: Next Steps/Direction for Ordinance Mayor Maxwell expressed appreciation for Council, consultant, and staff participation in the in- depth study of a potential sewer rate increase. Citing a debt service coverage ratio issue to be addressed the Mayor asked for Council direction in the preparation of an Ordinance setting new rates. Council favored preparation of an Ordinance raising rates in 2004 by 4% with CPI in future years. Mr. Brown suggested adding language to include a CPI maximum of 2%. Contract Award: Skaqit River Watershed Control Proqram Mr. Bob Hyde, Director of Public Works, explained to Council that the development of a watershed control plan is part of the City's Water System Plan (WSP). The City has been working with the PUD to share associated costs. In that regard, the City is in receipt of a proposal from Economic and Engineering Services (EES) in the amount of $37,879. City Attorney, Mr. Ian Munce, explained that through this Plan the City will have the opportunity to partner with the County on their land use control in our watershed. Mr. Hyde emphasized that this Plan will support identification and notification of pollution potentials. With that, Mr. Sizemore moved, seconded by Mr. Carlisle, to authorize the Mayor to enter into a contract with EES in the amount of $37,879 for the Watershed Control Program. Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, and Richardson. Motion carried. Approval: Latecomer Aqreement, Homestead West 5th and Ohio Mr. Bob Hyde, Director of Public Works, presented a proposed Latecomers Agreement with Homestead N.W. Development for infrastructure improvements between West 5th to West 4th Street, New York to Anacopper Mine Road including street, water storm, sewer, and utility services. In that these infrastructure improvements benefited abutting properties now owned by Homestead N.W., an application was made for a Latecomer's Agreement. All affected property owners were notified; no appeals were received. Upon construction completion the benefiting properties will have a latecomer charge assessed to their properties when the property is developed. After discussion, Mr. Carlisle moved, seconded by Mr. Petrish, to accept the proposed Homestead N.W. Development latecomer agreement for the West 5th/Ohio plat infrastructure improvements subject to the further requirements of the City Municipal Code. Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Richardson, and Rock. Motion carried. Preston Work: Bid Approval Mr. Garry Cline, Museum Director, asked the Mayor and Council to consider a bid award for work to be done on the W.T. Preston. The improvements will maintain the City's National Historic Landmark Vessel designation. Mr. Cline then used overhead displays to identify rust areas; the diesel generator will be relocated and the rudder cables will be replaced as part of the project. Five requests for bids were mailed; one bid for the specified work was submitted from Dakota Creek Industries, Inc. in the amount of $9,151.15 include sales tax. With that, Mr. Sizemore moved, seconded by Mr. Brown, to award the W.T. Preston improvements to Dakota Creek Industries, Inc., in the amount of $9,151.15 including tax. Vote: Ayes — Petrish, Sizemore, Brown, Richardson, Rock, and Carlisle. Motion carried. 1795 October 6, 2003 -- continued Tall Ships Update Mayor Maxwell introduced Mr. Jim Taylor, Chairman of the Tall Ships Steering Committee. Mr. Taylor reported to the Mayor and Council that the American Sail Training Association (ASTA) will require a fee of $27,500 in order for the City of Anacortes to act as a host port for Tall Ships, July 2005. The Committee continues to seek pledges and contributions from local sources for the ASTA fee. Funding will be sought from regional corporate sponsors for vessel appearance fees and other costs. Mr. Taylor emphasized that the $10,000 grant from the Tourism Fund will be used only if the local organization can raise the ASTA fee. Mr. Taylor then reviewed the Tall Ship experiences from other cities. The Steering Committee has set a November 1s' deadline for meeting the ASTA fee requirements. The Mayor and Council thanked Mr. Taylor and the Steering Committee for their hard work and dedication in working to bring this spectacular event to Anacortes. Tourism Fund (2004 Recommendations) Mr. Ian Munce, City Attorney, presented City Council Committee recommendations for the Tourism Promotion Fund (to be included in the 2004 budget) as follows: Anacortes Baseball Club, $1,000; Anacortes Museum Foundation, $5,000; Anacortes Museum Foundation, $4,000; Women of Today, $1,500; Chamber of Commerce/Visitors Information Center, $42,000; Chamber/International Ferry and Anacortes Marketing Program, $70,000; Depot Arts Center, $2,500; Fidalgo Island Quilters, $1,500; Friends of Anacortes Community Forest Lands, $2,500; John Curtis, Fireworks, $5,500; North Cascades Concert Band, $500; Depot Arts Center — Retrospective Exhibit, $4,000; San Juan Challenge, $2,000; Sister Cities Association — Town Crier, $1,000; Sister Cities Association — folksingers, $1,000; Skagit Symphony concerts, $500; Skagit Valley Tulip Festival, $500. Once approved staff will develop detailed contracts with the selected organizations. Discussion followed regarding expanding committee participation for next year's funding cycle. With that, Mr. Petrish moved, seconded by Mr. Sizemore, to approve the Council Committee recommendations for the 2004 Tourism Promotion awards. Vote: Ayes — Sizemore, Brown, Richardson, Rock, Carlisle, and Petrish. Motion carried. DNR Lease: Legal Description Mr. Ian Munce, City Attorney, explained that the City leases 29 acres of tidelands from Washington State Department of Natural Resources; this property is in front of the City Industrial park between 28th and 34th Streets. For a number of years the City has received monies from North Harbor Diesel through an "option to lease" a portion of this property. They are now ready to enter into a formal sublease with the City; the sublease needs to be approved by the State Department of Natural Resources (DNR). Mr. Munce explained that DNR will not approve a sublease unless the City provides a survey of the entire 29 -acre parcel together with the area to be subleased to North Harbor Diesel. Mr. Munce then turned to a cost estimate prepared by Leonard, Boudinot & Skodje for the DNR Harbor Area Lease survey. With that, Mr. Rock moved, seconded by Mrs. Richardson to approve a contract with Leonard, Boudinot & Skodje in the amount of $6,500 to complete the Harbor Area survey. Vote: Ayes — Brown, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. At approximately 11:00 p.m. Mayor Maxwell announced that the Council would convene in Executive Session for approximately 15 minutes to discuss the Similk Beach Golf Course Easement Waterline Construction. At 11:15 p.m. the Council reconvened and without taking any further action continued the meeting of October 6, 2003 to Monday, October 13, 2003 for the purpose of conducting a Public Hearing on Anacortes Airport Policies and Zoning. Ger Khtai , City Clerk -Treasurer H. Dean Maxwell, Mayod Councilmember 1798 October 13, 2003 — Continued from October 6, 2003 The Mayor called the continued meeting to order at 7:30 p.m. Roll call found present: Councilmembers Nick Petrish, Cynthia Richardson, Ken Brown, Bud Rock, Ray Sizemore, and Bill Carlisle. Absent: Terry Christiansen. The Mayor then opened a public hearing on the Citizens Advisory Committee's recommendation for a Comprehensive Plan and Development Regulations changes relative to the Anacortes Airport. The proceedings are on tape and filed at City Hall. At approximately 10:00 p.m. the public hearing was closed. The meeting itself was continued to 7:30 p.m. on October 14, 2003 in the Municipal Building Council Chambers. G r e Khtai n, CityCle k -Treasurer <hl L, 'w� H. Dean Maxwell, May Councilmember October 14, 2003 — Continued from October 13, 2003 The Mayor called the continued meeting to order at 7:30 p.m. Roll call found present: Councilmembers Nick Petrish, Cynthia Richardson, Ken Brown, Bud Rock, Ray Sizemore, and Bill Carlisle. Absent: Terry Christiansen. The Mayor noted the City had been asked to co-sponsor the League of Women Voters forum on October 23 for the charter candidates. After discussion, Mr. Rock moved that the City Council formally co-sponsor the event so that it can be carried on the City's television channel. The motion was seconded by Mr. Sizemore and passed unanimously. The Mayor and Council then turned to discussion of the Citizens Advisory Committee's recommendations for amendments to the City Comprehensive Plan and Development Regulations relative to the Anacortes Airport. The proceedings are on tape and filed at City Hall. At the conclusion of the mark-up discussion, Ms. Richardson moved that the City Council adopt the proposed Comprehensive Plan amendments as drafted that evening for inclusion in the 2003 Comprehensive Plan amendment package. The motion was seconded by Mr. Carlisle and passed unanimously. Ms. Richardson moved that Ordinance #2631 entitled, "An Ordinance Relating to Land Use; Adopting Revised Interim Zoning for Port -owned, Light Manufacturing Zoned Property at the Anacortes Airport; Repealing Ordinances #2620, #2627, and #2630" be adopted. The motion was seconded by Mr. Sizemore and passed unanimously. There being no further business to come before the Council, the meeting adjourned at approximately 9:30 p.m. A ge Khtai n, City Cler Treasurer H. bean Maxwell, ayor Councilmember 11799 November 3, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, November 3, 2003 to order. Roll call found present: Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. Bill Carlisle arrived at 7:40 p.m. The Pledge of Allegiance followed roll call. Minutes of Previous Meetings Mr. Petrish added the following to the minutes of October 20, 2003: Pleasant Slope Latecomer Agreement, Page 3. : Mr. Petrish explained that a family members owns property adjacent to the Pleasant Slope site and in light of that has withdrawn from deliberation and vote on this matter." With that amendment Mrs. Richardson moved, seconded by Mr. Rock, to approve the minutes of October 20, 2003. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, and Rock. Motion carried. Citizen Hearinqs Mr. William Jackson asked to address the Mayor and Council with a number of community issues including: investigation of innovative composting and recycling measures; utilization of seawater in the wastewater systems; teaching Spanish at the elementary school level; implementation of a 'free store" with tax incentives; and in increased cigarette tax to fund these types of projects. The Mayor and Council thanked Mr. Jackson for his comments and encouraged him to meet with the Public Works Director regarding recycling issues. ;Mayor /Council Communication; Mayor Maxwell reported that the City/Port liaison committee meeting has been rescheduled from Tuesday, November 11th to Friday, November 7th at 8:30 a.m. in the Mayor's office. Mr. Christiansen will attend in Mr. Sizemore's place. Cascade Natural Gas: Proposed Franchise Amendment Mr. Ian Munce, City Attorney, presented a Franchise amendment submitted by Cascade Natural Gas for relief from the contract requirement to provide a local staffed office. In return, Cascade will supply a maintenance base and continue to meet customers at their homes or businesses. Initial customer contact will be by phone. Crews will be on hand for services needs; if necessary, business representatives can meet with customers individually. Mrs. Richardson emphasized that Cascade will provide a local 293 number coupled with a strong commitment to provide appropriate customer service. Mr. Christiansen suggested that the customer base provided by Anacortes residents warranted direct customer support and spoke against the proposal as did Mr. Sizemore and Mr. Brown. Staffing alternatives were discussed. Mr. Rock pointed out all other utility offices are located elsewhere and all utilities use the phone system for customer communication. After discussion, Mr. Carlisle moved, seconded by Mrs. Richardson to approve the Cascade Natural Gas Franchise Amendment as outlined in an October 15, 2003 memorandum from the City Attorney to the Mayor and Council. Vote: Ayes — Richardson, Rock, Carlisle, and Petrish. No — Sizemore, Brown, and Christiansen. Motion carried. EMS Contract with Skaqit County. Mayor Maxwell reported that significant progress has been made to bring the Emergency Service Contract negotiations between the City of Anacortes and Skagit County to a successful conclusion. Discussion followed regarding response time. Mr. Sizemore explained that the contract now calls for "best efforts" as opposed to an arbitrary and unrealistic time frame. The Mayor pointed out that specific response times can be discussed once a demand analysis has been conducted. Mrs. Richardson asked that references to "EMS Medical Program Director, or his designee" be gender appropriate. With that, Mr. Sizemore moved, seconded by Mr. Brown, to authorize the Mayor to enter into an Interlocal Cooperative Agreement between the City of Anacortes and Skagit County" for the provision of Emergency Medical Services. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Consider Amendment to Montgomery Watson Harza Contract for Inspection of Seqment 4 Mr. Bob Hyde, Director of Public Works, presented an amendment to the Montgomery Watson Harza (MWH) contract for inspection, construction contract administration, and related services for Segment 4 of the 24 -inch waterline replacement work. Using an overhead display Mr. Hyde followed the waterline route and described the complex construction schedule and line installation. Mr. Hyde explained that additional inspection time is necessary to monitor the work. This Amendment # 4 will provide, in part, for a total of 304 additional hours. With that, Mrs. Richardson moved, seconded by Mr. Christiansen, to approve Amendment # 4 to the MWH Contract for inspection fee increases related to Segment 4 of the 24 -inch waterline replacement work. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Consent Agenda Mrs. Richardson moved, seconded by Mr. Carlisle to approve the following Consent Agenda items. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. ADproval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on October 23, 2003 and October 30, 2003 for payment as of this date November 3, 2003 Claims Warrants for the month of October Warrant Number 24364 through 24532 in the total amount of $368,732.70 November 3, 2003 -- continued 1800 Warrant Cancellation Claims Warrant Number 24205 in the total amount of $65.00 In the same motion Council confirmed the appointment of John Hornor and Walter Vonnegut to the Library Board of Trustees. Council also adopted Resolution No. 1649 amending the Hartford Life Deferred Compensation Plan. Ordinance: 2003 Budget Amendment Mr. George Khtaian, Finance Director, presented an Ordinance to Council for review and adoption. The Ordinance amends the Budget for 2003 to reflect the following additional revenues and expenditures from these funds: General Fund (001); Arterial Street Construction Fund (105); Community Development Fund (180); Water Fund (401); Sewer Fund (440); and Equipment Rental Fund (501). Council members discussed each activity. For future reference Mr. Petrish mentioned that the Depot Art Center roof needs replacement. With that, Mr. Brown moved, seconded by Mr. Rock, to adopt Ordinance No. 2632 amending Ordinance No. 2605 entitled "An Ordinance Adopting the Budget and Salary Schedule for all Municipal Purposes and Uses for the year 2003." Vote: Ayes — Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. Ordinance: 2004 Budget Mr. George Khtaian, Finance Director, presented n Ordinance to Council for review and adoption. The Ordinance adopts the Budget and Salary Schedule for 2004. Mr. Khtaian reviewed the budget process from Council policy direction to the actual budget adoption. Also reviewed were budget changes including additions for healthcare costs. Using an overhead graphic Mr. Khtaian then discussed how an Anacortes tax/rate-payer's dollar is distributed amongst City services; he also highlighted total expenditures and revenues. After discussion, Mr. Brown moved, seconded by Mr. Petrish, to adopt the 2004 total budget of $30,658.843 together with Ordinance No. 2633 entitled "An Ordinance Adopting the Budget and Salary Schedule for all Municipal Purposes and Uses for the Year 2004." Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Richardson, and Rock. No — Christiansen. Motion carried. Resolution: 2004 Prooertv Tax Mr. George Khtaian, Finance Director, presented a Resolution to Council for review and adoption. The Resolution sets the property tax levy. Mr. Khtaian pointed out that the City's base millage for 2004 will be the lowest rate since 1994. Using a graph Mr. Khtaian then compared the City with all other property taxing districts in Anacortes. Additionally Mr. Khtaian shared that Anacortes continues to be the lowest taxing City in the County. After discussion, Mrs. Richardson moved, seconded by Mr. Sizemore, to adopt Resolution No. 1650 entitled "A Resolution of the City Council of the City of Anacortes, Setting the City's Year 2004 Property Tax Regular Levy Increase" in the amount of $31,527 which is a percentage increase of one percent (1.0%) from the previous year. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Rock Ridae Phase II Preliminary Plat Mayor Maxwell initiated the Closed Record meeting to consider the Rock Ridge Phase II Preliminary Plat application submitted by Mr. Tony Malo. Mr. Christiansen clarified his working relationship with the Rock Ridge development. Mr. Ross O. Barnes asked Mr. Christiansen to step down from deliberation and vote on this matter. Mrs. Richardson reported that she had designed homes for adjacent plats. There were no challenges from the audience. Mr. Ian Munce, Planning Director, then introduced this project by explaining that the property is already platted as the Tuttle & Buckley Addition to Anacortes. Rock Ridge West Phase II proposes to re -divide 4.86 acres of this plat into 14 single family residential lots. The proponent, neighbors, citizen groups, and Planning Commission held hearings over three evenings to discuss forestland buffers, location of the bio-swale, street access, and rock removal. The Planning Commission recommended approval subject to standard conditions and with the addition of: (1) The applicant shall ensure that its project activities are conducted such that the cross - island trail can be constructed by others across Pennsylvania Avenue or Tract A with a minimal slope. (2) Rock cuts shall utilize the "step method" in a manner approved by the Building Official and the project geologist or geotechnical engineer. (3) Fence design shall be approved by the Parks Department to ensure public safety as far as practicable. (4) No significant removal of rock to off-site locations shall occur without approval of a plan by the Planning Commission. (5) Lot 10 or Lot 14 will remain undeveloped until such time as access is resolved to the Kilkelly property. (6) Blasting can only occur weekdays between 8:00 a.m. to 6:00 p.m. (7) In order to protect the root structures on trees in the Anacortes Forestlands, and to reduce the impacts of wind throw, a 30 -foot wide NGPE shall be established adjacent to the ACFL before rock cutting/sloping begins. Additionally, City Engineering recommends the following two conditions: (8) A landscaping plan shall be approved by the Planning Commission prior to building permit issuance. (9) Geo -technical engineering reports shall be provided for all lots where any structure may be located on or within 15' of a slope of 40" grade or steeper. 1801 November 3, 2003 -- continued Two appeals were filed (the Evergreen Island appeal was withdrawn.) All Planning Commission exhibits, transcripts, and documents were forwarded to the Council for review. The appellant, Ross O. Barnes, 1004 7th Street submitted a memorandum proposing amendments to Conditions 20, 21, and 26. Mr. Barnes proposed adding "Tract A" to condition # 20 and adding "and the project geologist or geotechnical engineer" to condition # 21 and also eliminating "such that more benches are closer to the top of the slope" from condition # 21. The revisions to condition # 26 (strike "a 30 foot wide" and add "with a width of 30' or the height of the adjacent cut slope whichever is greater") were discussed at length and were not supported; however, the amendments to conditions 20 and 21 were considered by the applicant and staff to be appropriate revisions. After discussion, Mr. Sizemore moved, seconded by Mr. Petrish, to approve the Rock Ridge Phase II Preliminary Plat application subject to 29 conditions (with amendments to conditions 20 and 21) and to adopt the Findings of Fact and Conclusions of Law. Vote: Ayes — Sizemore, Brown, Richardson, Rock, Carlisle, and Petrish. Motion carried. Mr. Christiansen returned to the Council Chambers. 30th Street Barge Dock: Repair and Ugarade Mr. Ian Munce, City Attorney, presented a request for formal authorization to contract with West Coast Divers and Marine and with Norton Corrosion Limited to complete necessary improvements to the 30th Street barge dock. The proposed work will ensure that the structure is capable of supporting a 50 -ton light load. With that, Mr. Sizemore moved, seconded by Mr. Rock to authorize the City of Anacortes to contract with West Coast Divers in the amount of $7,500.00 and Marine and Norton Corrosion Limited in the amount of $5,024.40 for improvements to the 30th Street Barge Dock. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Regional Pump Station at Portalis Site Mr. Bob Hyde, Director of Public Works, pointed out that properties lying north of Oakes Avenue need sanitary sewer service. During previous Study Sessions City staff and Council reviewed the possibility of locating a City -owned regional pump station on the Portalis property. The City has retained Leonard, Boudinot, and Skodje to provide engineering services for this project. If Council approves the pump station location a partnership agreement and associated latecomer agreements will complete this project. After discussion Mr. Sizemore moved, seconded by Mr. Brown, to approve locating a regional pump station at Portalis and to authorize staff to develop the necessary agreements. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. At approximately 9:45 p.m. the Mayor and Council convened in Executive Session to discuss a property sale request. At 10:00 p.m. the Council reconvened and without taking any further action continued the meeting to Monday, November 10, 2003 to conduct a Public Hearing on the Port's Airport Fencing/Screening/Landscaping Proposal. !:ZZ 6.,� GeorVX'htaia , City Clerk -Treasurer H. Dean Maxwell, Mayo/ _,&� _4� D`ouncilmember November 10, 2003 -- Continued Meeting of November 3, 2003 The Mayor called the continued meeting to order at 7:30 p.m. to hear the Port Proposal as to airport screening and setbacks, and to take public testimony on the Port Airport Fencing/Screening/Landscaping Proposal. Roll call found present: Councilmembers Ray Sizemore, Nick Petrish, Terry Christiansen, Cynthia Richardson, Bud Rock, Ken Brown, and Bill Carlisle. Planning Director, Mr. Ian Munce, gave a brief overview of the process that began with the Airport Citizens Advisory Committee ending with recommendations to Council from the Planning Commission and with an interim ordinance that spells out controls while planning work is being completed. Following discussion by the Council regarding this procedure and concerns regarding the deadline for a decision, Mr. Craig Stampher, Port of Anacortes, presented a series of slides detailing their proposal for fencing/screening/landscaping at the airport. Mayor Dean Maxwell then opened the public hearing to public testimony. These proceedings are on tape and filed at City Hall. At approximately 9:30 p.m. the Mayor continued the public hearing to December 8, 2003 at 7:30 p.m. in the Municipal Building Council Chambers. Georg htaiag(City Clerk -Treasurer H. Dean Maxwell, Mayor Cour cilmember 1802 November 17, 2003 At 7:30 p,m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, November 17, 2003 to order. Roll call found present: Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, and Bud Rock. Absent: Bill Carlisle, Cynthia Richardson. The Pledge of Allegiance followed roll call. Minutes of Previous Meetinqs Mr. Christiansen asked that the minutes be amended to reflect his "no" vote on the 2004 Budget Ordinance. With that correction Mr. Petrish moved, seconded by Mr. Sizemore, to approve the minutes of November 3, 2003 as amended. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, and Rock. Motion carried. Citizen Hearinas No one present wished to testify on matters not on the agenda. ?Mayor/Council Communication,. Mayor Maxwell then turned to four acknowledgements of employee, citizen, and armed service support and contribution to the Anacortes community. All recipients were met with standing ovations. Mavor's Award of Merit — Jose Cervantes The Mayor introduced Mr. Jose Cervantes, Information Systems Assistant for the City. Nominated by his department head and co-workers, Mr. Cervantes received this Merit Award based on his outstanding work ethic and commitment to the success of the City's computer systems. Mr. Cervantes received a gift certificate to a local restaurant and his name will be placed on a plaque recognizing all Merit Award recipients, Neiqhborhood Pride Award — Barbara Wells and Marilvn Deriq Mayor Maxwell introduced Ms. Barbara Wells and Ms. Marilyn Derig, owners of the recently remodeled 1890 historic building at 510 Commercial Avenue. Family-owned for several generations the building has been beautifully preserved and the Mayor presented a window sign recognizing the project with a Pride of the Neighborhood Award. Landscapina of the Museum Grounds: Appreciation — John Childs With the use of overhead display, Museum Director Mr. Garry Cline highlighted the beautifully executed Museum landscaping project donated by Mr. John Childs, owner of Simply Yards. The Mayor described the extensive time, materials, and labor required to transform the Museum grounds. In addition to the landscaping, Simply Yards will plant flowers in the spring and maintain the grounds for a year. The Mayor thanked Mr. Childs and crew for this outstanding donation. Resolution: U.S. Navv CB Unit 417 for Flood Fiaht Efforts Mayor Maxwell then introduced Lt. /jg Nicholas Gagliardo; SWC Dan Wisner; UCCM Rick Bravo; and CMC Ken Wagner from NAS Whidbey. Over the last 20 years the Construction Battalion Unit (CBU) has worked closely with the City to provide training on the protection of our regional water treatment facility. Additionally the CBU has been called on to help protect the plant from Skagit River flooding. During the most recent episode in late October the crew worked day and night to fill and place over 30,000 sand bags for the construction of a 1,000' flood wall. In recognition of this effort, Mr. Christiansen moved, seconded by Mr. Brown, to adopt Resolution No. 1651 entitled "Resolution Honoring U.S. Navy Construction Battalion Unit 417 for Flood Fight Efforts on October 20th through October 22" , 2003." The vote was unanimous. Additional Mayor/Council communications: Mr. Petrish shared newspaper articles touting the City's Washington Park as the best salt -water park in the State of Washington. Mr. Sizemore emphasized the excellent, successful programs provided by our local Boys and Girls Club. In that regard, Mr. Sizemore announced a November 18th meeting at 9:00 a.m. with the Skagit County Commissioners. The Skagit County Boys and Skagit County Girls Club Association, officials, and all those interested in supporting this successful youth program will meet with the Commissioners to discuss the Association's future critical funding needs. Consider Bid Award for Small Diameter Waterlines Mr. Bob Hyde, Director of Public Works, summarized the 2003 Small Waterline Replacement projects as follows: 1) Replace 4" asbestos cement line with 8" ductile iron pipe for two blocks on "K" Avenue between 20th and 22nd Streets; 2) Place 565' of 8" pipe within an existing 16" waterline; and 3) Continue waterline replacements on Summit Park Road. Bids were opened on November 5th; the low bidder, Callen Construction of Custer is qualified to construct these projects. With that, Mr. Christiansen moved, seconded by Mr. Sizemore, to award the 2003 Small Waterline Replacement contract to Callen Construction Company, Inc. in the amount of $201,631.65 including sales tax. Vote: Ayes — Brown, Christiansen, Rock, Petrish, and Sizemore. Motion carried. Consent Aaenda Mr. Rock moved, seconded by Mr. Brown to approve the following Consent Agenda item. Vote: Ayes — Christiansen, Rock, Petrish, Sizemore, and Brown. Motion carried. 1803 November 17, 2003 -- continued Approval of Vouchers/Cancellation of Warrants. Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on November 6, 2003 and November 13, 2003 for payment as of this date November 17, 2003. Claims Warrants for the month of November Warrant Number 24535 through 24723 in the total amount of $546,848.04 Prewritten Claims for the month of November Warrant Number 24334 in the total amount of $9,126.75 Pavroll # 1 October 31 st in the total amount of $537.721.70 Warrant Numbers 24301 through 24385 in the total amount of $199,922.43 Direct Deposit Numbers 8786 through 8899 in the total amount of $211,646.61 EFT Numbers from 229 through 235 in the total amount of $126,152.66 Continued Items Closed Record Meeting: Conditional Use Application: Communication Services, Inc., Co -location on Mt. Erie — Continue to Monday, November 24, 2003. Public Hearinq: Vacation of Portion of the Allev adiacent to San Juan Rehab and Care Center Mayor Maxwell opened the Public Hearing on an alley Vacation Petition submitted by James K. Roe on behalf of San Juan Rehab and Care Center at 911 21St Street. The purpose of the vacation is to allow for expansion of the living area at the Center. The Board of Adjustment reviewed the Petition on November 6th and voted to recommend approval with the following considerations: 1. All utilities within the alley be protected or relocated as required by the serving utilities and the City Engineering Department; 2) That provision for sanitation and recycle service to adjacent properties by adjusted as necessary to provide pick up and must meet the safety requirements of the serving utility and the public. Mr. Hyde used an overhead display to highlight that portion of the alley to be vacated. The Mayor then opened up the meeting for public comment. Mr. James K. Roe, Administrator for the Center, 3491 Green Cliff Road, characterized the programs and facilities now available for the current 52 residents. He reported that the central wing rooms are inadequate; some of the occupants must share restroom facilities. The expansion, made possible by the vacation, would dramatically improve all aspects of the Center from patient care to administrative function. With regard to the sewer line relocation issue Mr. Roe proposed the use of a vault. Ms. Suzanne Harris 11646 Pointe Place, agreed with the description of the facilities needs and spoke in favor of the vacation. Ms. Barbara Cooper, 2007 "M" Avenue, Director of Nursing, emphasized that the Center residents receive quality care but the facility is in need of expansion and upgrades to provide space for necessary medical equipment. Mr. Jim Malson, 1801 22nd St., spoke in favor of the vacation; he added that while the facility is clean and well-run with excellent staff, the facility itself is severely in need of expansion. There were no further comments and the Mayor declared the Public Hearing closed. On a question from Mr. Christiansen, Mr. Hyde confirmed that there will be significant costs to San Juan Rehab to relocate the sewer line; the City will also require a 20' wide easement for maintenance in the area of relocation. Further, the sanitation receptacle location issue will also need to be resolved. After discussion Mr. Petrish agreed that quality care is provided by the Center and that expansion is necessary. Mr. Petrish then moved, seconded by Mr. Brown, to approve the vacation of that portion of the alley between Commercial and "Q" Avenues abutting Lots 26 and 27, Nelson's Addition, and Lots 2-5 and 16- 19, Block 3, Stewart's Addition. Care Center representatives and City staff will work together to resolve the two areas of concern outlined by the Board of Adjustment. Vote: Ayes — Rock, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Sewer Extension: South March Point Road to Snow Mountain Mills Mr. Ian Munce, City Attorney, submitted a proposed Interlocal Agreement authorizing acceptance of funding from Skagit County for the S. March Point Road sewer extension to Snow Mountain Mills. The line will extend from Port property on South March Point Road to Mr. Stein Svendsen's Snow Mountain Mills facility. The Mill has significant plans for expansion bringing the Mill's work force to approximately 30 people. Mr. Munce noted that Skagit County is granting the City $72,000 in Economic Development monies, an amount to be matched with $25,000 from the City Sewer Fund. After discussion, Mr. Sizemore moved, seconded by Mr. Rock, to authorize the Mayor to enter into an Interlocal Agreement with Skagit County for funding totaling $72,000 for the Snow Mountain Mills Sewer Extension project. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, and Rock. Motion carried. Award of Phase II Data Acquisition Svstem, WWTP Mr. Bob Hyde, Director of Public Works, introduced a proposed contract award to CH2MHill to install Data Acquisition System Equipment at the Wastewater Treatment Plant at the cost of $123,995. Phase 1 of this project is complete; Phase II involves updating and upgrading the existing control system in order to meet the requirements of various permits. The overall goal is to move toward a central control panel for the entire plant. The proposed improvements will increase the Oakes Avenue force main capacity. Mr. Hyde explained that the existing pump station communication system is functioning at full capacity; with future pump stations and building expansion anticipated in the west end the communications system must be updated and expanded. Mr. John Franz, Facilities Manager, underscored that the data acquisition system for the incinerator's continuous emissions monitoring system does not meet Federal guidelines. Mr. Franz also characterized the effect of the new equipment on the de -chlorination systems. After November 17, 2003 -- continued • discussion Mr. Sizemore moved, seconded by Mr. Brown, to award Phase II of the Data Acquisition System to CH2MHIII in the amount of $123,995. Mayor Maxwell complimented Mr. Franz and his crew for their dedication and expertise. Vote: Ayes — Sizemore, Brown, Christiansen, Rock, and Petrish. Motion carried. Community Development Block Grant Fundina: Tentative Allocation Mr. Ian Munce, City Attorney, reported to the Mayor and Council that effective October 1, 2003 the City will receive approximately $127,000 per year in a direct grant allocation from the Federal Department of Housing and Urban Development (CDBG). In the past only large cities received funding; small cities and counties competed for the "balance of state" funding. The threshold for automatic annual allocations was adjusted and Anacortes is now eligible for this award. Mr. Munce then outlined three short-term proposals for allocation: (1) Skagit County Community Action Agency (SCCAA) shall continue to received 15% of the County's share of the "balance of state" funds every year; (2) guarantee a commitment of $60,000 over the next 3-4 years toward the SCCAA facilities expansion project; and (3) allocate $269,000 over the next 3-4 years for the New Wilson Hotel 25 -unit housing project (Anacortes Housing Authority). This allocation will address the programs and expectations that these agencies had for "balance of state" funds. However, additional local process and federal approval will be necessary before this allocation can be finalized. Mr. Christiansen discussed the extensive SCCAA programs available for the health and welfare of Anacortes citizens. Mr. Sizemore spoke in support of the assistance SCCAA provides for this community and moved, seconded by Mr. Rock, to approve the recommended tentative allocation of the Community Development Block Grant. Vote: Ayes — Brown, Christiansen, Rock, Petrish, and Sizemore. Motion carried. Ordinance: Mayor's Salary Mayor Maxwell turned the meeting over to the Mayor Pro -tem Sizemore and left the Council Chambers. Mr. Sizemore then introduced an Ordinance to Council for review and adoption. The Ordinance establishes compensation for the Mayor for 2004. Discussion followed on both the appropriate cost of living increase and on a history of the salary structure for the position of Mayor. Proposed cost of living adjustments ranged from 2.1% to 4%. 1After discussion, Mr. Petrish moved, seconded by Mr. Rock, to adopt Ordinance No. 2634 establishing compensation for the Mayor of the City of Anacortes for the year 2004 with a 3% cost of living increase. Vote: Ayes — Rock, Petrish, and Sizemore. No — Christiansen and Brown. Motion carried. There being no further business at approximately 9:00 p.m. Mayor Pro -tem Sizemore adjourned the meetin 7ctober 20, 20031 Ge Khtai.*, City Cle -Treasurer `Y • A0, W � H. Dean Maxwell, Mayor �/ November 24, 2003 -- Continued from November 17, 2003 Mayor Dean Maxwell called the continued meeting to order at 7:30 p.m. to consider a conditional use application submitted by Communications Systems, Inc. to co -locate a Coast Guard antenna on the existing telecommunications tower at Mount Erie. Roll call found present: Councilmembers Ray Sizemore, Bud Rock, Nick Petrish, Cynthia Richardson, Ken Brown, and Terry Christiansen. Absent: Bill Carlisle. Ian Munce, City Planning Director, reported that the Planning Commission had held a public hearing on this matter and, at the close of the public hearing, had recommended approval subject to eight conditions. There were no appeals. Councilmember Christiansen pointed out that it was a benefit to the community to have a single tower with multiple users. After further discussion, Mr. Christiansen moved that the conditional use application be issued subject to the eight conditions recommended by the Planning Commission. The motion was seconded by Mr. Sizemore and passed unanimously. The meetin adjourned at approximately 7:45 p.m. Ge Kht n, City Clerk -Treasurer H. Dean Maxwell, M 71 Councilmember 1805 December 1, 2003 Mayor Dean Maxwell called the meeting to order at 7:30 p.m. Roll call found present: Councilmembers Ray Sizemore, Bill Carlisle, Ken Brown, Cynthia Richardson, Terry Christiansen, Bud Rock, and Nick Petrish. Minutes of Previous Meetinas The Minutes of November 10, 17, and 24, 2003 were approved on a motion by Mr. Sizemore, seconded by Mr. Rock, and approved. Ms. Richardson abstained from voting as to the November 17 Minutes and Mr. Carlisle abstained on the vote for all three meetings. Citizen Hearinas Mr. Billy Mitchell, local historian, gave the Council an update on the great progress being made on the museum's "history of Anacortes fishing" project. Mr. Mitchell appealed to local citizens to bring any archival materials on this subject to his attention or to the museum staffs attention. Mayor Maxwell thanked Mr. Mitchell on his hard work on this and other projects of importance to our local history. Mr. Loren Hoboy, councilmember elect, gave the City Council an update on the three recent neighborhood meetings held jointly by the Port and the City with Anacortes Airport neighbors. Mr. Hoboy specifically recommended that the City establish a citizens' committee to look into noise issues citywide, with some specific reference to how noise emissions at the airport could be mitigated. Mr. Hoboy also asked that a citizens' committee be established to develop design standards for new structures at the Anacortes Airport. Mavor/Council Communication Following on from the Mayor's recommendation, Ms. Richardson moved that the Study Session scheduled for December 22 be cancelled. The motion was seconded by Mr. Rock and passed unanimously. UNFINISHED BUSINESS Ordinance: Revisions to Interim Critical Areas Ordinance for Geoloqicallv Hazardous Areas. Aauifer Recharqe Areas, and Frequently Flooded Areas. The Planning Director, Ian Munce, presented proposed revisions to the interim critical area ordinance for geologically hazardous areas, aquifer recharge areas, and frequently flooded areas. Mr. Munce explained that the Planning Commission had held public hearings on each of these three items and had proposed minor "housekeeping" changes in order to clarify City standards for these three critical areas. Mr. Munce added that the Planning Commission was in the process of formulating its recommendations on the remaining two critical areas, namely wetlands and fish and wildlife habitat conservation areas. Mr. Christiansen pointed out a number of weaknesses and inconsistencies in the model ordinance as to geologically hazardous areas. Mr. Munce acknowledged the weakness of the model ordinance in these respects, but asked the Council to approve these updated interim ordinances. After discussion, Mr. Sizemore moved that Ordinance No. 2635 entitled, "An Ordinance Adding Provisions to the City's Critical Areas Ordinance as Set Forth in Ordinances #2623 and #2628" be adopted. The motion was seconded by Mr. Rock. Vote: Ayes — Sizemore, Richardson, Petrish, Carlisle, Rock. No — Brown, Christiansen. The motion passed. Ordinance: Cascade Gas Franchise Amendment The Council reviewed a proposed ordinance that would eliminate the requirement from Cascade Gas' Franchise Agreement that would require Cascade Gas to maintain a fully staffed office in Anacortes. Mr. Munce, City Attorney, explained that customer service issues would be addressed either by visits by a technician to the customer's home or business or by phone to the centralized customer service department. However, as a compromise, Cascade Gas had agreed to explicit language in an amended ordinance whereby they would agree to schedule specific appointments with any Anacortes residents in their Anacortes facility. Ms. Richardson asked that the reference to a local phone number be simplified to require that "a non -toll phone number be used". There was no disagreement. Accordingly, Ms. Richardson moved that Ordinance No. 2636 entitled, "An Ordinance Amending Ordinance No. 2545 (Cascade Natural Gas Franchise)" be adopted with this language clarification. The motion was seconded by Mr. Rock. Vote: Ayes — Christiansen, Richardson, Brown, Rock, Petrish, Carlisle. No — Sizemore. The motion passed. CONSENT AGENDA Ms. Richardson moved, seconded by Mr. Petrish to approve the following Consent Agenda Items. The motion passed unanimously. Voucher Approval/Warrant Cancellations Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the December 1, 2003 — continued Council Finance Committee on November 20, 2003 and November 27, 2003 for payment as of this date December 1, 2003. Claims Warrants for the Month of November Warrant Nos. 24724 through 24865 in the total amount of $383,923.23. Pavroll #1 (November 14) Warrant Nos. 24386 through 24459 in the total amount of $400,619.60. Pavroll #2 (November 26) Warrant Nos. 24460 through 24542 in the total amount of $538,388.43 Reappointment to Board of Adiustment Mr. Gary Coatney was reappointed to the Board of Adjustment. NEW BUSINESS Award Bid for Street Sander Mr. Bob Hyde, City Public Works Director, described the bid process for a new Monroe Five - Yard Hydraulic Sander, noting that the City has received three quotes. Mr. Hyde recommended that the City award the bid by Pacific Utility in the amount of $6,314.75. Mr. Hyde added that with the installation package the total would be well below the budgeted amount. After discussion, Mr. Sizemore moved that the bid be awarded to Pacific Utility in the amount of $6,314.75. The motion was seconded by Mr. Petrish and passed unanimously. Resolution: Youth Athletic Facilities Grant Mr. Jonn Lunsford, City Parks Department, requested authorization to apply for $105,000 to the State Interagency Committee for Outdoor Recreation for a multi -use soccer and football field at Volunteer Park. Mr. Lunsford that the City would be required to match this grant, if awarded, with an equivalent amount. This match would come from donations by the Kiwanis Noon Club, other grants, in-kind donations from local contractors, Parks & Recreation staff time and equipment, and volunteers. Councilmembers agreed that this additional facility was much needed and the grant application was worthwhile. Mr. Rock then moved that Resolution No. 1652 entitled, "FY2004 Kiwanis Meadows at Volunteer Park" authorizing the application to the Interagency Committee for Outdoor Recreation be adopted. The motion was seconded by Mr. Brown, and passed unanimously. Chanqe to Latecomer's Ordinance (Recovery Period) The Council discussed amending the existing City Latecomer's Ordinance to extend the recovery period for approved private parties, under certain circumstances, from 10 to 15 years. The particular circumstances that would be required to secure this extension to 15 years would be that the developer make a substantial contribution to off-site improvements benefiting the surrounding neighborhood. Mr. Munce added that this change was critical to the City being able to work with Mr. Ron Woolworth, and the 28th Street residents in order to extend 28th Street from "H" Avenue to "J" Avenue. After discussion, Mr. Christiansen moved that Ordinance No. 2637 entitled, "An Ordinance Amending that Portion of Ordinance No. 2523, Procedures for Establishing Latecomers Agreements for Street and Utility Improvements" be adopted. The motion was seconded by Mr. Brown. Vote: Ayes — Sizemore, Richardson, Christiansen, Rock, Brown, and Carlisle. Abstain: Petrish. The motion passed. Executive Session The Mayor then adjourned the meeting into Executive Session to consider potential litigation and real estate matters. The Council reconvened 20 minutes later and adjourned without taking any further action. `.. `Z Geor Khtai City Clerk -Treasurer H. Dean Maxwell, qayor Councilmember 1807 December 15, 2003 At 7:30 p.m. Mayor Maxwell called the regularly scheduled evening meeting of Monday, December 15, 2003 to order. Roll call found present: Bill Carlisle, Nick Petrish, Ray Sizemore, Ken Brown, Terry Christiansen, Cynthia Richardson, and Bud Rock. The Pledge of Allegiance followed roll call. Minutes of Previous Meetinqs Mr. Sizemore moved, seconded by Mr. Rock, that the minutes of December 1, 2003 be approved as if read. Vote: Ayes — Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Citizen Hearinqs No one present wished to testify on matters not on the agenda. MayorlCouncil Communication,. Mayor Maxwell announced two upcoming Public Hearings: (1) January 20, 2004 for the City of Anacortes 2003 Comprehensive Plan and Development Regulation Amendments, and (2) January 26, 2004 for the City of Anacortes Critical Areas Ordinance. The Mayor then turned to a number of civic awards and acknowledgements of individual valor. Proclamation: Honorino Lerov Hirni The Mayor read from a Proclamation proclaiming Leroy Hirni one of the City's Volunteers of the Year. Mr. Hirni has spent a lifetime in service to others including tours of duty with the United States Navy; with the Anacortes School Board; with the Community Action Group; and with the Noon Kiwanis Club. In addition, Mr. Hirni contributed over 25,000 volunteer hours at the Kiwanis Thrift Shop. Commemorating his 90th birthday, the Mayor and Council honored Mr. Hirni for his lifetime of giving to his country and to his community. Proclamation: Honorinq NAS Whidbev for Assistance at WTP Mayor Maxwell read from a Proclamation extending gratitude and appreciation to the men and women of the Naval Air Station Whidbey Island for assistance in protecting our water treatment plant from flooding. Over the last 15 years the City has called upon the Naval Air Station for equipment and personnel to fight floods, most recently on October 22, 2003. The following commands and units were acknowledged: CBU 417; NAWI-Aircraft Intermediate Maintenance Division; NASWI Operations; Security; VAQ-129; VAQ-130; VAQ-131; VAQ-133; VAW-140; NASWI Public Works Department; Chugach Development Corporation; Del -Jen Corporation NASWI; VAQ-141; VAQ-142; VP -1; VP -46; and VQ -1. Proclamation: Honorinq Naval Construction Battalion Unit 421 Mayor Maxwell read from a Proclamation extending gratitude and appreciation to the 19 naval personnel from CBU-421 who came to the aid of the City on October 21, 2003 with equipment to assist and expedite the sandbagging effort and flood fight. Throughout a 28 -hour period naval personnel filled and placed over 30,000 sandbags and assisted in constructing a massive flood wall to protect the City of Anacortes Water Treatment Plant. The City Council and Mayor extended their appreciation to the men and women of CBU-421 for their heroic efforts on behalf of the City of Anacortes. Award of Honor: John P. Babarovich: Mayor Maxwell read from a December 9, 2003 letter to Port of Anacortes Security Officer, Mr. John P. Babarovich. The letter describes his heroic efforts to save a sailboat operator who had fallen overboard. On the night of October 18, 2003 Mr. Babarovich jumped into the water to save the operator from being crushed between his sailboat and the breakwater. Due to this quick and decisive action at the risk of his own safety Mr. Babarovich was selected as a recipient of the Mayor's Award of Honor. He stepped forward to accept this award accompanied by a standing ovation. Award of Honor: Mr. Dale Fowler and Mr. James Mvers Mayor Maxwell read from a December 9, 2003 letter to Mr. Dale Fowler and to Mr. James Myers. The letter highlights a November 17, 2003 incident at "F" Dock, Cap Sante Boat Haven. On that day a 28 -foot powerboat was fully engulfed in flames. At great personal risk Mr. Fowler, Port Harbormaster, and Mr. Myers, Port Security Officer moved adjacent boats away from the fire; they also secured free floating boats away from danger. Because of their action Anacortes Police and Fire Departments were able to concentrate on fighting the fire. Based on these heroic efforts the Mayor selected Mr. Fowler and Mr. Myers as recipients of the Mayor's Award of Honor. Mr. Fowler and Mr. Myers accepted these awards to heartfelt applause. Certificate of Aooreciation: The Mayor then turned to saying good-bye to Councilmen Bill Carlisle and Ken Brown. Mr. Carlisle served on the Council for 8 years representing Ward 3, and Mr. Brown completed 20 years of service as Council representative for Ward 2. The Mayor emphasized the hours of selfless dedication required to fulfill Council responsibilities. Both gentlemen served Anacortes with a deep commitment to help shape a community healthy in all aspects. There were gifts, certificates, a cake, and applause to help honor Mr. Carlisle and Mr. Brown. Confirmation of Appointment to Planninq Commission: Martv Laumbattus Mr. Rock moved, seconded by Mr. Christiansen to confirm the appointment of Mr. Marty Laumbattus to the Planning Commission. Mr. Dave Welk, a longstanding member of the Planning Commission recently •1• December 15, 2003 -- continued passed away and Mr. Laumbattus will replace him on the Commission. Mr. Laumbattus is a member of the local construction industry and a long-time resident of Anacortes. Vote: Ayes — Sizemore, Brown, Christiansen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Ordinance: Museum Advisory Board/Deleting Term Limits Mayor Maxwell introduced an Ordinance to Council for review and adoption. The Ordinance amends the Rules covering the Museum Advisory Board by striking the following language: " no -mere than to ". The Mayor suggested that this amendment would recognize the ongoing contributions of the existing experienced Board members. Mrs. Richardson emphasized the need for consistent term limitations for all boards and commissions. With that, Mr. Carlisle moved, seconded by Mr. Petrish, to adopt Ordinance No. 2638. Vote: Ayes — Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. Resolution: Tourism Promotion Funding Mr. Ian Munce, City Attorney, presented a Resolution to Council for review and adoption. The Resolution reflects action previously taken by Council to approve Tourism Promotion Fund Contracts between the City of Anacortes and 13 agencies for 17 projects. All contracts were distributed to Council prior to this evening's meeting; if adopted the Resolution would authorize execution of these contracts. With that, Mr. Carlisle moved, seconded by Mr. Petrish, to adopt Resolution No. 1653. Vote: Ayes — Christiansen, Richardson, Rock, Carlisle, Petrish, Sizemore, and Brown. Motion carried. Lease Renewal: Cap Sante Marine Mr. Ian Munce, City Attorney, asked the Council to consider Amendment # 4 to the Lease Agreement between the City of Anacortes and Cap Sante Marine Ltd. for property, and associated boat launch facilities, at the 30th Street waterfront. The initial 15 -year lease term has expired; the required reappraisal for the proposed extension term has been completed and negotiations between Cap Sante Marine and the City have progressed. In part, staff recommends a 30 -year lease term; with CPI adjustments; and reappraisal every 10 years. Additional lease condition amendments are outlined in Attachment A to the lease document. Mr. Munce highlighted the key role that Cap Sante Marine plays in the City's Industrial Park economic and employment success. In light of that the City Council and Mayor will consider, on a case by case basis, contributing to Leasehold improvements that increase the value of the property. After discussion, Mr. Carlisle moved, seconded by Mr. Christiansen, to approve Lease Amendment # 4 to the Lease Agreement between the City of Anacortes and Cap Sante Marine. Vote: Ayes — Richardson, Rock, Carlisle, Petrish, Sizemore, Brown, and Christiansen. Motion carried. Ordinance: Sewer Rate Adiustment Mr. George Khtaian, Finance Director, presented an Ordinance to Council for review and adoption. If adopted, the Ordinance would authorize the first sewer rate increase since 1993. Mr. Khtaian then provided a detailed summary of the rate increase analysis and anticipated revenue impact. He underscored the necessity to implement the across the board 4% rate increase for year 2004, with annual increases based on Consumer Price Index (no more than 2%) in following years. The Ordinance, in part, sets rates and charges for residential' accounts, including duplexes; multi -family, commercial, and industrial facilities rates including commodity charges; and rates for dumping of septic waste materials. The General Facilities Charge (Systems Development Charge) is now undergoing review with the consultants and staff and will be brought back to Council for Study Session and Ordinance adoption in January. Mr. Khtaian then submitted a comparison analysis of other municipal rates. The City's overall rate structure will be reviewed again in three years. Council discussion followed. Mrs. Richardson asked for clarification on the rationale behind setting rates according to meter size. Mr. Christiansen suggested that this and other matters should be reviewed with the consultant after the first of the year. With that, Mr. Sizemore moved, seconded by Mr. Brown, to adopt Ordinance No. 2639 amending the City of Anacortes sewer rates effective January 1, 2004. Vote: Ayes - Rock, Carlisle, Petrish, Sizemore, Brown, Christiansen, and Richardson. Motion carried. Consent Aqenda Mr. Carlisle moved, seconded by Mr. Rock to approve the following Consent Agenda items. Vote: Ayes — Carlisle, Petrish, Sizemore, Brown, Christiansen, Richardson, and Rock. Motion carried. Approval of Vouchers/Cancellation of Warrants Council voted unanimously that the following vouchers/warrants audited and certified by the City's Auditing Officer (Finance Director) and subsequently reviewed and approved by the Council Finance Committee on December 4, 2003 and December 11, 2003 for payment as of this date December 15, 2003. Claims Warrants for the month of December Warrant Numbers 24866 through 25059 in the total amount of $924,515.34 In the same motion Council: Adopted Ordinance No. 2640 reflecting action previously taken by Council to vacate a portion of Burrows Street, Plat of Anaco Beach. Adopted Resolution No. 1654 authorizing execution of Bargaining Agreement between the City of Anacortes and International Association of Firefighters Local 1537 effective January 1, 2003" Accepted the sanitary sewer pipeline replacement contract awarded to Trenchless Construction as complete. • December 15, 2003 -- continued Resolution: Personnel Policy Update Mrs. Emily Schuh, Human Resources Director, presented a Resolution to Council for review and approval. If adopted the Resolution would authorize the execution of the City of Anacortes Personnel Policies. Mrs. Schuh explained that the entire Policy Manual was reworked in 2002 with subsequent annual review and update. The Personnel Committee reviewed the proposed changes then followed with a 3 -week employee review. Mrs. Schuh highlighted amendments to the following sections: Drug and Alcohol; ethics; work place violence; and interim assignment policy. Mrs. Richardson suggested that Council be provided a summary of the amended sections/language. Representing the Personnel Committee, Mr. Christiansen complimented the current document, described the lengthy review process, and reported that the Committee recommends approval. Council decided to hold this matter over for two weeks for those Councilmembers wanting to conduct a more detailed review. 2004 City Public Defender Contract Mr. Ian Munce, City Attorney, presented a Contract for Professional Services for Council review and approval. The Contract, by and between the City of Anacortes and Gerald T. Osborn provides for professional legal services for all Municipal Court cases, inclusive of appeals, which have been determined to be within the scope of indigent defense. Citing a significant increase to the caseload, Mr. Sizemore reported that the Public Safety Committee recommends renewal of the contract with Mr. Osborn with a 2% increase. With that, Mr. Sizemore moved, seconded by Mr. Brown, to authorize the Mayor to enter into a Contract by and between Mr. Gerald T. Osborn for Professional Services/Indigent Defense for 2004. Vote: Ayes - Petrish, Sizemore, Brown, Christiansen, Richardson, Rock, and Carlisle. Motion carried. Resolution: Authorizinq Creation of Orqanized Health Care Arranaement with Island Hospital Fire Chief Richard Curtis presented a Resolution to Council for review and adoption. Chief Curtis explained that new federal legislation requires that patients be notified of how their protected healthcare information may be used. This notification requires a signed acknowledgment (Joint Privacy Form) from the patient. This specific administrative task can be distracting and cumbersome if administered during a medical emergency. The Resolution before Council establishes an Organized Health Care Arrangement with Island Hospital allowing for the hospital's Joint Privacy Notice form to include all patients delivered by the Anacortes Fire Department. With that, Mr. Sizemore moved, seconded by Mr. Christiansen, to adopt Resolution No. 1655 entitled "A Resolution Authorizing the Creation of an Organized Healthcare Arrangement, (OCHA) with Island Hospital, Anacortes, Washington". Vote: Ayes - Sizemore, Brown, Christensen, Richardson, Rock, Carlisle, and Petrish. Motion carried. Ordinance: 4th Quarter/2003 Budqet Amendments Mr. George Khtaian, Finance Director, submitted an Ordinance to Council for review and adoption. If adopted the Ordinance would amend the 2003 Budget in the following funds: General Fund (001); Parks/Recreation Fund (101); Cemetery Fund (102); Library Fund (103); Washington Park (107); Parks Capital Improvement (108); Police D.A.R.E. Fund (109); Development Impact Fee Fund (112); Community Development Fund (180); Growth Management Fund (335); Library Construction Fund (356); Sanitation Fund (450); Equipment Rental Fund (501); and Firemen's Pension Fund (611). Mrs. Richardson asked that in the future a summary be provided of operating reserve funds affected by the revenue/expenditure adjustments. After discussion, Mr. Carlisle moved, seconded by Mr. Sizemore, to adopt Ordinance No. 2641 amending the Budget for the year 2003. Vote: Ayes - Brown, Christiansen, Richardson, Rock, Carlisle, Petrish, and Sizemore. Motion carried. There being no further business at approximately 9:00 p.m. Mayor Maxwell adjourned the meeting of December 15, 2003. Mayor Maxwell then invited everyone to share in eating a cake presented in honor of Mr. Car ' le and Mr. Brown. G rge KhOian, City Cterk-Treasurer H. Dean xwell, M49or L- Councilmember