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HomeMy WebLinkAbout05/29/01 ..... COUNCIL TAPE #1771 UNAPPROVED DRAF'I'~j~HL~V~ CI~ COUNCIL MEETING MINUTES 'J'~" ' :':'; Tuesday- May 29, 2001 The weekly meeting of the Ci~ Council of the CiW of Breme~on was called to order in the Ci~ Council Chambers, 239 4th Street, Bremedon, Washington, Tuesday, May 29, 2001, at 5:30 P.M., with Council President John Law presiding. Council members present were Jim Reed, Conrad Esser, Carol Arends, Eric Younger, Mike Shepherd, Ed Rollman, Cecil McConnell, and Wayne Olsen. Also present were Assistant Ci~ AEorney David St. Pierre; Deputy CiW Clerk Paula Johnston; and Council Assistant Christine Grenier Ellingson. The meeting opened with the Pledge of Allegiance led by Council Member Cecil McConnell. followed by the invocation given by Church Eider Chet Simeson of Lincoln Avenue Bible Church. President Law made the following announcements: 1) A Pre-Council session was held to discuss general Council business; including a 20-minute Executive Session from 5:05 to 5:25 P.M. to discuss "LITIGATION"; 2) Council will reconvene in the Council Conference Room immediately following the meeting for a Study Session to discuss "UTILI~ ~TES"; and 3) The City Council and Mayor will be padicipating in a "RETREAT" on Wednesday, May 30th from 12:00 P.M. to 8:00 P.M. in the Banquet Room at the Oyster Bay Inn located at 4418 Kitsap Way. CONSENT AGENDA A. Minutes of Meeting - May 9, 2001 (#AB01-115) #0060 M/S/C/U (McConnell/Olsen) Move to approve Consent Agenda as presented. Council Members Mike Shepherd and Jim Reed were not available for this vote. CLAIMS/CHECK REGISTERS Vouchers audited and certified by the auditing officer as required by RCW 42.24.080, and those expense reimbursement claims certified as required by RCW 42.24.090 have been recorded on a listing that had been made available to the Council. #0085 M/S/C/U (Esser/McConnell) On May 29, 2001, the Council does approve for payment those vouchers included and further described as follows: EFT 6523, and Checks 252555, 252556, and 252623 through 252637 in the amount of $173,409.37; and Retiree Payroll in the amount of $122,112.42 for the pay period ending May 31, 2001. Council Members Mike Shepherd and Jim Reed were not available for this vote. Council Member Jim Reed arrived at 5:45 P.M. COUNCIL MEMBER REPORTS Ed Rollman announced that First Friday Art Walk will be this Friday; he is in the process of obtaining responses to parking complaints; and hoped people had an opportunity to participate in memorial services on Memorial Day to honor those veterans who have served the country. Eric Younger announced that he and Carol Arends would be holding a combined District 6 & 7 Neighborhood meeting this Thursday, May 31, 2001 beginning at 6:30 P.M. in the Boardroom at the Bremerton Administration Building located at 134 N. Marion Avenue to discuss "What is Methamphetamine"; "How to recognize a Meth Lab"; "Warning signs"; and "Who to contact" with Detective Keith Sargent and Sergeant Larry Hill from the Police Special Operations Unit. TAPE #1771 City Council Reg. Mtg. Minutes May 29, 2001 Page 2 of 6 Carol Arends reiterated information about the combined District 6 & 7 meeting; and reported on her attendance at the Law Enforcement Officers Memorial Ceremony last Friday, which she found very moving. She encouraged the public to check out the Bremerton Patriot Grand Re-Opening on June 1st from 5:00 to 8:00 P.M. Conrad Esser reminded citizens to attend the First Friday Art Walk. John L, aw thanked those who have provided their support to him in light of his health; and announced that the next District 3 Meeting will be held at 7:00 P.M. on Tuesday, June 12th tO discuss the topic "Let's Save Some Money on our Water Bill". Council Member Mike Shepherd arrived at 5:50 P.M. Mike She_~herd announced that the Art Walk would include performers, artists, and musicians and the Puppet museum, Naval museum, Historical museum, and Manette Art Museum would also be open during the weekend. COUNCIL COMMITTEE REPORTS: Carol Arends provided an up-date on the activities of the "Charter Review Committee"; and reported that the Puget Sound Regional Council meeting was well attended and included the unanimous adoption of the "2030 Transportation Plan". Eric Younger announced his recent appointment to the "Lodging Tax Advisory Committee" MAYOR'S REPORT Mayor Horton expressed thanks for those who took part in Memorial Ceremonies and for those who have served their Country; and read the following Proclamation: The Week of June 4-8, 2001 as "Management Week", which was accepted by Doug McMicken on behalf of Steve McNalley, of the National Management Association. LEGISLATIVE REPORT - There was no report tonight. Council Member Mike Shepherd left the meeting at 6:02 P.M. PUBLIC RECOGNITI~)N John Olson, Bremerton Patriot, announced that the Grand Re-Opening of the Bremerton Patriot office will be held on June 1st from 5:00 to 8:00 P.M. Council Member Mike Shepherd returned to the meeting at 6:06 P.M. 10A - CONTRACT FOR LEGAL SERVICES WITH LANE POWELL SPEARS LUBERSKY LLP IN BURLINGTON ENVIRONMENTAL. INC. V. CITY OF BREMERTON (#AB01-111}: This item was tabled one-week at last week's Council Meeting held on May 23, 2001. Paula Johnston, Deputy City Clerk, reiterated that the City of Bremerton has been in litigation with Burlington Environmental, Inc. regarding a Business & Occupation Tax dispute for utility taxes owed from 1996 through 2000. Burlington was the prime contractor at PSNS for hazardous waste collection during this time frame, generating about $6 million over the last four years. She emphasized that the City was successful in having this case remanded back to the City for proper administrative review, but then Assistant City TAPE #1771 City Council Reg. Mtg. Minutes May 29, 2001 Page 3 of 6 Attorney Steve Reich is no longer with the City, therefore has withdrawn from this case. Ada Ko, of LANE POWELL SPEARS LUBERSKY, is a skilled tax attorney who represented the City of Seattle for nine years in Business & Occupation Tax litigation before joining LANE POWELL SPEARS LUBERSKY. Staff recommends that Ms. Ko be retained as counsel to bring this tax case to a successful conclusion. There were no comments from the public. Mr. Esser, Mr. Youn_oer. Mr. Rollman, and Mr. Reed requested additional information, including a legal briefing, before approving this contract. They expressed concerns over funding for this agreement, which could potentially far exceed the original amount stated. Mr. McConnell pointed out that the former Assistant City Attorney pursued this case as far as he could go, but due to the complexity of the tax issues involved, an attorney who specialized in tax law was now required to interpret the tax issues involved in this case. He did not see the need to delay this action any further. Mayor Horton expressed her support for Ms. Ko of LANE POWELL SPEARS & LUBERSKY due to her extensive background and experience on tax issues. She further offered to bring Ms. Ko over to meet with the Council to address their concerns, however, she requested that Council provide their concerns in writing to aid Ms. Ko in her research and preparation. Mr. Olsen agreed that if it would not hinder the case, the item could be tabled until next week, so that Ms. Ada Ko could provide the Council additional answers. Ms. Johnston established that a few weeks would not hinder the case, however she cautioned that anything past that time would jeopardize some of the revenue. Mr. Law asked the Council to consider the fact that they have no one in-house with any legal expertise in tax matters to give them advice, and questioned if the individual who was proposed to be hired to handle the case could be objective. His concern was that Council was being asked to spend a lot of money, so before an outside attorney was hired, he hoped that the City would first figure out how to guide the case. Mr. McConnell reiterated that it would take an attorney with tax expertise to get those answers. Mr. Esser questioned if there would be a conflict of interest to have a hired law firm give the City advice on what the City's position on the case would be, versus having a City Attorney and Assistant City Attorney offer guidance to the Council on the City's position. He also questioned why LANE POWELL SPEARS & LUBERSKY would not take this case on a contingency basis. Ms. Johnston responded that the Firm was not directly asked by the Administration to take this case on a contingency basis. Ms. Ko previously expressed that it was unusual for her Firm to take a case of this magnitude on a contingency, but the question could be reviewed. It was stated that an in-depth analysis of the City's position would have to occur before it would even be considered. Mr. Esser maintained this too was the dilemma incurred by the Council. #1800 M/S/F (McConnell/OIsen) Move to approve Professional Services Agreement with LANE POWELL SPEARKS LUBERSKY LLP as retained counsel representing the City in Burlington Environmental Inc. vs. City of Bremerton and authorize the Mayor to execute the same. Voted in favor of Motion: Shepherd, Arends, Olson, and McConnell Voted opposed to Motion: Rollman, Younger, Esser, and Law Abstained: Reed Motion failed: 4~Yes; 4-No; 1-Abstention TAPE #1771 City Council Reg. Mtg. Minutes May 29, 2001 Page 4 of 6 10B - PROFESSIONAL SERVICES AGREEMENT WITH SEBRIS BUSTO, P.S. FOR EMPLOYMENT AND LABOR LAW LEGAL SERVICES TO THE CITY (#AB01-116): Mayor Horton spoke on behalf of Carol Conley, Human Resources Manager, and asked that this agreement be approved. In the last 20 years, due to the vast amount of Federal and State legislation and regulation affecting public employers, it is prudent that the City retain the legal services of a firm specializing in employment/labor law. This firm will be available to advise and represent the City in matters relating to discipline, labor contract interpretation, firm will be available to advise and represent the City in matters relating to discipline, labor contract interpretation, arbitrations, Unfair Labor Practices, and other employment related matters. These services will be "preventative" in nature, the purpose being to eliminate or at least reduce our exposure to lawsuits or other actions filed by employees or their representatives. It is proposed that this PSA be in force from date of passage through May 31, 2002, and that the cost to the City will be up to a maximum or $19,950.00. There are adequate funds within the City's budget to cover the cost of funding this agreement, and if the firm is not used, there would be no costs incurred. There were no comments from the public. #1855 M/S/C (Arends/Olsen) Move to authorize the Mayor to execute the Professional Services Agreement between the City and Sebris Busto, P.S. to provide legal services related to employment and labor law, and to authorize the expenditure of up to a maximum of $19,950.00 for these services. Voted in favor of Motion: Younger, Arends, Esser, Reed, Olsen, McConnell, Rollman, and Law Voted opposed to Motion: Shepherd Motion carried: 8-Yes; l-No 10C - PROFESSIONAL SERVICES AGREEMENT WITH TETRA TECH/KCM, INC. FOR DESIGN OF WEST 650 WATER PRESSURE ZONE IMPROVEMENTS (#AB01-117): Gene Sampley, Director of Public Works & Utilities, affirmed that Tetra Tech/KCM, Inc. was previously under contract and completed approximately 25% of the original scope of work when unforeseen delays occurred, beyond the expiration date of the original agreement. This Professional Services Agreement picks up the design where they left off. This project wilt result in new water transmission facilities that will serve the Fire Fighters Training Facility and commercial development in the upper Werner Road area. The action before the City Council is approval of a Professional Services Agreement with Tetra Tech/KCM, Inc. for design services for the West 650 Water Pressure Zone Improvements, in an amount not to exceed $291,900. Staff recommends approval of this agreement. There were no comments from the public. Mr. Reed asked over what area the project covered. Mr. Sampley responded that the project would cover property along Pendergast Fields and Werner Road. Mr. Rollman asked who would benefit from these water pressure improvements. Mr. Sam_oley answered that the residents in the areas would be recipients of those benefits, which would include added water pressure. Mr. Reed commented that these improvements might improve investment opportunities. #2125 M/S/C (Younger/Rollman) Move to approve a Professional Services Agreement with Tetra Tech/KCM, Inc. for design services for the West 650 Water Pressure Zone Improvements, in an amount not to exceed $291,900, and authorize the Mayor to execute the same. Voted in favor of Motion: Younger, Arends, Esser, Reed, McConnell, Rollman, Shepherd, and Law Abstained: Olson Vote 8-yes; 1-abstain TAPE #1771 City Council Reg. Mtg. Minutes May 29, 2001 Page 5 of 6 11A- PUBLIC HEARING REGARDING THE CONCESSION AGREEMENT BETWEEN THE CITY OF BREMERTON AND OLYMPIC SOCCER & SPORTS CENTER. LLC (#AB01-119): Jodi Wroblewski, Assistant Parks & Recreation Director, summarized that the Bremerton Parks & Recreation Department has been working with Olympic Soccer & Sports Center LLC for the past year on their proposal to build and operate an indoor soccer field at Pendergast Regional Park. Mr. Larry Smith and Mr. Dennis Michael met with the Parks & Recreation Commission, and discussed their proposals on a number of occasions. The Parks & Recreation Commission have supported these endeavors and advised the parties to develop their plans with the Parks & Recreation Department. Council responded favorably last year after Mr. Smith and Mr. Michael of ©SSC presented the concept of this project. On January 31, 2001, the City Council approved changing the Pendergast Regional Park Master Plan in order to accommodate the site of an indoor soccer facility. Ms. Wroblewski provided additional comments, as well as pointing out that soccer tournaments in neighboring cities have had incredible turnouts. If the City were to have the ability to host games, it would provide an opportunity to draw the participants and additional people to Bremerton. John Law left the meeting at 6:50 P.M. and therefore turned the meeting over to Council Vice- President Mike Shepherd. Mike Wright, Dave Goodwin, and Tom Sha_~ley summarized their personal involvement in soccer activities in the area and provided their support for this facility. They spoke on behalf of over 400 soccer players, and respectfully asked Council to accept this agreement to and provide this opportunity to the people. Mr. Esser thanked Mr. Smith and Mr. Michael for their involvement, and asked if the bank loan issue had been satisfied. Mr. Smith answered yes. Mr. Reed also thanked the people who supported this project and pointed out that this was a wise investment. Mr. McConnell questioned 1) What purpose the intended space was serving now; 2) What types of "beverages" would be served under this agreement; 3) Would the length of the contract violate the Charter; and added that he preferred a stipulation be included to address the City's use in terms of hours in order to avoid a problem of "gifting". Ms. Wroblewski responded that the area is currently undeveloped and comprised mainly of grass and weeds. She assured the Council that the term "beverage" in the agreement did not include serving alcohol; and the number of hours would be adequate for City use and should not prove to be a problem in the future. Mr. Olsen also thanked the people involved, including former City of Bremerton Parks Director Cris Gears who was now with the County. He asked if it would benefit the City to negotiate the quoted price every 5-years instead of relying on contracts for 40-years at a fixed rate. Ms. Wroblewski responded that the City is opposed to using rent values because land "appreciates", so that is why hours were chosen as the limited factor. Also, collateral for the bank loan is the concessions operation. If the agreement were violated, then the City would step in. Mr. Younger also thanked those involved in this project; asked if price caps on fees will be set in the future. MS. Wroblewski answered no. Mr. Reed pointed out that the City would still be responsible for 182-hours regardless of fees. David St. Pierre, Assistant City Attorney, summarized that the agreement took several weeks to complete, and was drafted to Meet State Auditor guidelines. TAPE #1771 City Council Reg. Mtg. Minutes May 29, 2001 Page 6 of 6 There will be no action by Council on this item tonight. The second Public Hearing will be scheduled for the next City Council meeting on June 6, 2001, where Council will then vote on the Motion. With no regular Council business, the meeting adjourned at 7:05 P.M. Council then reconvened in the Conference Room for a Study Session to discuss "UTILITY RATES". Prepare~.,and Submitted by: PA01~A-~r(~ -~N?~l~Depg~ C~ty Clerk JOH'. H~' V~, Ci~un~ President ~.~ :Ci~ of Bremerton JL/PJ/Is/cge c: Normal Distribution File