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HomeMy WebLinkAbout06/19/96TAPE #1387 UNAPPROVED DRAFT COUNCIL APPROVED JUNE 19, 1996 CITY COUNCIL MEETING MINUTES JUNE 19, 1996 #0063 #0067 The regular meeting of the City Council of the City of Bremerton was called to order in the City Council Chambers, 239 4th Street, Bremerton, Washington, Wednesday, June 19, 1996, at 5:30 P.M., with Council President John Law presiding. Council members present were Bob Winters, A1 Colvin, Cecil McConnell, Carlos Montgomery, Sherril Huff-Menees, David Farr, Richard Neville, and Lon Overson. Also present were City Attorney Ian Sievers and City Clerk Kathleen McCluskey. The meeting opened with the Pledge of Allegiance led by Council President Law and Invocation given by Chaplain Bob Miles of Belmont Terrace Convalescent Center. CONSENT AGENDA A. Minutes - May 29, 1996 #AB96-127 Bid Award to SiteLines Park & Playground Products for Playground Equipment #AB96-128 Budget Adjustment - Expenditure Of Unplanned Revenue/Parks And Recreation Department #AB96-129 Bid Award To Hydro Gate Corporation For Pre-purchase Of Hydraulic Gates (Union River Projects) #AB96-130 M/S/C/U(Neville/Colvin) to approve Consent Agenda as presented. 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. M/S/C/U(Colvin/Montgomery) on June 19, 1996, the Council does approve for payment those vouchers included and further described as follows: 198729 through 198928 in the amount of $455,165.05. COUNCIL MEMBER REPORTS Mr. Winters reported on June 15, as Mayor Protem, he attended the dedication ceremony for the American Legion Field. At that ceremony, the City received an award from the Bremerton School District recognizing the City's contribution for the first phase of the improvements of the American Legion Field. Also as Mayor TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 2 of 19 Protem, he presented Patrick Hirsch with a Certificate Of Appreciation in recognition of his service as Bremerton Community Access Television Manager. Patrick's contribution to the community through his work with BCAT were extensive and he will be missed by many. Patrick Mirsch thanked the Mayor and City Council for the certificate and stated there have been certain times,over the past few years, such as concerts on the boardwalk, Blackberry Festival, etc., where amid all the chaos there was always time to look at the Olympic mountains or see Mt. Rainier, which reminded him how fortunate he was to have landed in such a great place. He thanked the City for allowing him to be part of the community and he has been blessed to work with a great organization, TCI, who has been a great supporter as well as his wonderful co-workers, Bob Neill and Nadine Price, Erin Daniels and the dozens of volunteers. He feels confident with the support of the new non-profit Cable Access group, Kitsap County, the City and TCI the Cable Access programs will continue to blossom. Mr. Mcntqomery reported he attended the following events: June 15 - dedication of the Marvin G. Shields Barracks at Puget Sound Naval Shipyard, a project that was long over due by about 40 years; dedication of the Max Hale building, located on 5th and Pacific; June 14 - Flag Day ceremony on the boardwalk. It concerned him that there was no mention of the Flag Day ceremony in Saturday edition of The Sun. He sees that as being derelict on the part of the newspaper in following through on community projects. He cautioned drivers traveling west on llth Street where it turns right onto Kitsap Way to be aware of the 18" yellow line with traffic control buttons restricting only a right turn at that intersection. Mrs. Huff-Menees reported the Sinclair Landing Association will hold their monthly Board meeting June 20, 2:45 P.M., at the Washington Mutual Community Room. She reminded the public they are welcome to attend those meetings. On June 18 she had the opportunity to participate in a panel presentation before the Washington State Transportation Commission. The Commission apparently takes an opportunity to move around the State and hold their meetings in different locations. The Sinclair Landing Project was presented by a panel, which was very well received and a number of compliments were made by the Commissioners on how well the project has been put together as well as a lot of encouragement for its success. The City also had the opportunity to address the Commission with respect to transportation issues and funding issues that will be significant to Bremerton in the upcoming bi-annual budget. Mr. Farr stated he has heard from a reputable source that some type of physical work is taking place inside the Admiral Theater. He TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 3 of 19 extended an invitation to someone from that project to come before Council and give an update report on the project during Public Recognition. Mr. Neville congratulated all Bremerton High School graduating seniors, especially his son. He attended a meeting on June 18, where the City discussed removing parking from planting strips. That meeting drew a small group of residents, but it did generate a lively discussion and was a learning process on both sides. In stead of targeting Council districts, the Engineering Department will break the area into a couple of blocks at a time so that there can be more individualized attention given. The first area to be targeted is Park Avenue, Broadway Avenue and 13th Street. Information will be delivered to the residents in those areas by the Engineering Department. Now that school is out, he encouraged parents to pick up the current Parks and Recreation Schedule Of Events. Mr. Overson reported on June llth through 14th he attended the Association Of Washington Cities (AWC) annual conference in the Tri-Cities area, which he found to be an excellent session. He was able to bring back timely and good information from that conference and pass it on to City staff. He enjoyed the warmweather, but was glad to return to the Puget Sound area where it was a little cooler. He also attended the dedication ceremony for the Max Hale building, which is now open. The original structure of that facility was retained and the new structure was blended in making it a beautiful refit of an old historic building within the City. Residents are moving into the facility; however, what they are in need of is someone to take over the retail space fronting on Pacific Avenue. He pointed out on the "no parking on planting strip issue", the City is merely responding to a State mandate. Mr. McOonnell reported he also attended the AWC annual conference, which he found to be very informative and they did utilize the conference time to its fullest. Two weeks ago he brought up an issue about a noise problem caused by a parking lot sweeper. He was pleased to report that wheels of justice do grind and action was taken today, by the City, to try and stop the noise nuisance. He expressed his appreciation to the City for taking that action. Mr. Colvin stated he also attended the AWC Annual conference where he learned that others around the State are interested in what is going on in the Bremerton area. He requested other Council members through out the State show their support of Bremerton securing the USS Missouri, as a tourist attraction, by passing Resolutions stating that support. At the conference, he met a man, who immigrated to the United States and at age 18 started elementary school and now holds a P.H.D. One thing that did concern him about TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 4 of 19 the conference was the lack of a United States flag at the closing ceremony. While he was at the conference, he passed on the idea of making computers available to young people, whose parents cannot afford to buy a computer, so they can learn how to use them and keep up with the new way of gaining public information. In response to that suggestion, he received a letter from Bill Provost informing Mr. Colvin that the local Librarian contact the State of Washington to see if there was some State assistance, to provide such a service to youth, still available. Mr. Law noted Ellie Overson, wife of Councilman Overson, represented District #4 at the various dedication ceremonies and functions this past weekend. District #3 held a Neighborhood Meeting on June 18, which was very interesting, and he appreciates the constituents sharing information with him and supporting his meetings. PUBLIC RECOGNITION Jack Lefcoski pointed out an error in a recent newspaper article in The Sun that stated the City's patrol boat for Police and Fire response was used on Kitsap Lake. He assured the public the City has never used that boat on Kitsap Lake. It did concern him that the City would not or could not accept an offer from Cliff's Cycle for the use of a donated jet ski for patrolling Kitsap Lake because it lacked the proper lights, horns, sirens or proper markings. Shannon Kraetsch announced the Harrison Hospital Auxiliary will hold a Blood Drive on June 24, 11:00 - 5:00 P.M. Anyone needing additional information about the Blood Drive can call 792-6771. Matthew Palermni assisted Shannon by handing out a brochure to the Council members. Carole Atkinson, Bremerton Main Street Association, announced commemorative bricks purchased over the winter were recently installed on the boardwalk. New brochures and flyers are being distributed announcing the availability of bricks and granite plaques. She noted Main Street worked with Patrick Hirsch on several events and they are also sorry to see him leave the public access program. Gene Hart thanked the citizens of the 23rd Legislative District, who helped make the Book Sale at the Kitsap Regional Library a success. Over $1,000 was raised through that event and will be used to make improvements at the Regional library. 7A - INTERLOCAL COOPERATIVE AGREEMENT BETWEEN KITSAP URBAN COUNTY AND THE CITY TO FORM A HOME CONSORTIUM, #AB96-131 The City of Bremerton and Kitsap County agreed to enter into an Interlocal Agreement to form a HOME consortium last year, however #1032 TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 5 of 19 due to technical issues at HUD, the agreement was not recognized. There is a concern that Congress will reduce the amount of funds appropriated under the HOME program. This could result in the City of Bremerton not receiving any HOME funds in future years. By forming a consortium with Kitsap County, we will increase the probability of receiving a HOME allocation. The attached agreement defines the relationship between the City and Kitsap County. These federal funds can be used for housing which serves low income people whose gross annual incomes do not exceed 60% of area median income. The City of Bremerton's HOME allocation for 1996 is $391,000. Deborah Peavler-Stewart, Department Of Community Development, stated the City currently uses the HOME Program to fund housing rehabilitation along with the Community Development Block Grant Program for neighborhoods within the City of Bremerton. HOME funds come from the Department Of Housing and Urban Development (HUD) and can be used to assist activities such as home buyer program, home buyer rehabilitation, rental production and rehabilitation and also tenant based assistance. The cooperative agreement between the City and Kitsap County will help to ensure that both entities will receive HOME funds in the future. Public comment - none. Mr. Farr asked Ms. Peavler-Stewart to identify the annual income levels that would make people eligible for this program? Ms. Pearlet-Stewart stated for actual home buyers and homeowners the amount is 80% and for rental programs it is 60%. A median family income would be $35,900 for a family of four persons and that figure would change depending on the number of people within a family. Mr. Farr stated he has seen several homes that had been refurbished through this program and to him that is a real benefit to the person obtaining the funds as well as the community and immediate neighborhood. He asked if the program had excess funds available or were they all committed? Ms. Pearlet-Stewart encouraged any homeowner in the community that is at the 80% level to contact her office because funds are available. M/S/C/U(Huff-Menees/Winters) to authorize the Mayor to sign the Interlocal Agreement for the HOME program years 1997 - 1999. 7B - 8R304 TRANSPORTATION IMPROVEMENT PROJECT, PROFESSIONAL SERVICES AGREEMENT WITH KCM, INC., TO PROVIDE A VALUE ENGINEERING STUDY, #AB96-132 The Final Environmental Impact Statement for the SR3/SR304 Bremerton Ferry Terminal to Gorst Vicinity Transportation Improvement Project is nearly complete. Staff and the consultant have been developing the Design Report, which includes 30% design TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 6 of 19 plans, on the SR304 portion of the Project. The SR304 portion of the project will be implemented over the next few years. A Value Engineering Study is required by the Transportation Improvement Board to receive project funding. The current stage of the project is an appropriate time to perform the study. The City of Bremerton has negotiated a Professional Services Agreement with KCM, Inc. to provide a Value Engineering Study, including a risk management analysis, in an amount not to exceed $31,959. The cost of this study will be borne proportionally by all the project funding partners. The study is scheduled for the week of June 24, 1996. Staff recommends approval of the Professional Services Agreement. Rangy Witt, City Engineer, stated past experience has shown that Value Engineering studies are beneficial to the City. This review process involves placing a design in front of a group of engineers, who then find every way possible to do the project better. The participating engineers are not associated with the project, so they start with a clean slate and do not have any biases about the project. The most notable project that used this type of process was the Callow Avenue Basin CSO Reduction project where the outfall was moved and resulted in a significant cost savings. He believes the subject project is in a good position to make changes that may be recommended from this process. Mr. Witt pointed out this firm has been used on other projects and urged Council's approval of the agreement. Public comment - none. Mr. Winters asked except for any cost savings on a project, what is the single most important thing the engineers do when reviewing projects? Mr. Witt explained the engineers look at the feasibility of the project, the design, and question if it makes sense. The end product the City will receive will be a series of suggestions for the project, some will be a cost savings, but others may cost the City money. Then it would be his job to pick and choose which suggestions to accept and incorporate into the project. Mr. Winters asked Mr. Witt the amount of the cost savings resulting from having a Value Engineering Study on a recent project? Witt stated in the original Engineering report on the Callow Avenue CSO Reduction project the outfall was designed for one area; however, the Value Engineering review questioned why wasn't the outfall located closer to the source. Even though their recommendation for relocating the outfall was not feasible, it brought up a good point and another location was identified, which resulted in a significant cost savings. Mr. Overson stated he was familiar with the Value Engineering #1420 TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 7 of 19 concept, which was used by a company he worked for in Tennessee and the primary reason they used it was to essentially re-engineer what had already been engineered, but to do it from a new prospective. Following on with the new management training section of "THE SEVEN HABITS OF HIGHLY SUCCESSFUL PEOPLE" where they teach you to think from the end, the people in this value engineering process imagine that the product is already installed or complete and how it would or would not work, and they can inject some savings and benefits that far exceed any cost for the study. Mr. Witt stated the other cost savings benefit for this project is the fact that almost all of the engineers being used for this study are from public agencies (some participating agencies on the project), i.e. Kitsap Transit, Kitsap County, WSDOT, Clark County, etc., which reduces the cost for engineering services. The costs associated with the study includes paying one half the cost of one person from Parametrix Inc. Kitsap County and City of Bremerton engineering staff members will also be on the review team along with representatives from Kitsap Transit. Mr. Neville noted the schedule shows the City has already delivered the project materials to the team members. Mr. Witt stated that was correct and as mentioned in the Summary Statement, the Value Engineering Workshop is scheduled for the week of June 24. This issue was rushed through Council committees because the final contract was not negotiated until the week of June 17th and it was quite an effort getting this large a group together on a specific date. Mr. Neville questioned when Mr. Witt anticipated receiving the final engineering report? Mr. Witt stated his experience has been the Value Engineering report can be delivered within a month of the review. Mr. Neville stated his support of this proposal based on the fact previous Value Engineering studies have saved Bremerton taxpayers lots of money. Mr. Farr stated during discussion on this issue at the Fiscal and Budget Committee meeting, Mr. Witt indicated now there is more information available on right-of-way acquisition for this project and members of the public can access that information. Mr. Witt encouraged anyone concerned about property acquisition or wishing to know the status of the project to contact the City Engineering Department. M/S/C/U(Neville/Montgomery) to authorize and direct the Mayor to execute the attached Professional Services Agreement with KCM, Inc. to perform a value engineering analysis of the SR304 Transportation Improvement Project in an amount not to exceed $31,959, subject to City Administrative Policies and Procedures. 7C - AMENDMENT #1 TO BREMERTON HOUSING AUTHORITY CONTRACT FOR SUPPLEMENTAL LAW ENFORCEMENT SERVICES, #AB96-133 #1529 TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 8 of 19 The purpose of this Amendment is to provide additional hours of overtime for specific drug and gang intervention in the Bremerton Housing Authority's Westpark complex. BHA will provide additional funding for a three month period to address their concerns in this area. Public comment - none. Mr. McConnell asked if the Budget Adjustment approval needed to be part of the motion? Kathleen McCluskev, City Clerk, stated yes. Ian Sievers, City attorney, suggested the motion state: "Move to approve the agreement for additional law enforcement services and approve Budget Adjustment". Mr. Overson pointed out this is a win-win extension of the contract with the Housing Authority, particularly since they are funding the additional services. M/S/C/U(Montgomery/Colvin) to approve the agreement for additional law enforcement services and approve Budget Adjustment #96-21. 7D - CONTRACT FOR UTILITY STATEMENT PROCESSING WITH FISERV FORMS & GRAPHICS, #AB96-134 The City presently bills its utility customers using a "data- mailer" type form which is produced by staff on the City's computer equipment. It has been determined that a better billing format can be provided to our customers at a lower cost by entering into the proposed contract for statement processing. Under the proposed agreement, the contractor will accept a computer file from the City and print, fold, stuff, and mail utility bills from it for a unit cost of $.15 per bill. Kathleen McCluskey, City Clerk, stated by contracting this service out, the City will save approximately $6,500 per year and about 4 hours of staff time per week. It also creates the ability to send out newsletters and information to the public, which is not an option under the current method of billing. In addition, a lot of public comment received indicated the current data mailers were difficult to read and some had difficulty inserting their check to mail back to the City. The format of the new bill will be similar to that used by Puget Power. The City of Bainbridge Island has used the services of the subject company for approximately one year. The company was asked what they would do if they had mechanical failure of their equipment and their response was they have a number of backup systems in place ranging from hand stuffing mailers to using one of their other sites. Currently, if the City's computers are down the billing process is totally shut down until the equipment is back up and running. #1891 TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 9 of 19 Mr. Winters asked the number of billings being sent out? Bill Eley, Information Services Manager, stated approximately 8,000 customers are billed per month. Public comment - none. Mr. Montgomery asked if the new system would allow for future changes to the format? Ms. McCluskey stated it would be easier than the current system, but not without cost for setup. Mr. Colvin asked how many other cities use this billing process? Ms. McOluskey stated she was only aware of the City of Bainbridge Island; however. this company serves a lot of banks and credit unions and have a very large client base. Mr. Overson asked Ms. McCluskey to explain why a Budget Adjustment was not necessary for this item and changes happening within the City that fall out from this contract? Ms. M$Cluskey stated a Budge Adjustment was not necessary because Administratively they did not need expenditure authority since there was no transfer or movement of money. The dollars that will be saved will stay in the Utility and roll over into the 1997 budget. Mr. Overson stated for clarification no personnel were being eliminated and it would not change work that people do. Ms. McCluskey stated Mr. Overson was correct. There is a lot of volume of work in Utility Billing and Customer Service that either that is not being done or not being done to the level they would like it to be Mr. Farr asked if this new process would enhance or complicate customers' ability to get answers to Utility billing questions? Ms. McCluskeV stated only the billing will be handled by this firm and they will have no involvement with the customers, giving out information or dealing with money. The Customer Service personnel at the Utility building will be the ones responding directly with the public. Mr. McConnell asked if the City currently has the equipment needed to transmit that information to the new firm. Ms. McCluskey stated yes. M/S/C/U(Huff-Menees/Montgomery) to authorize the Mayor to sign the proposed contract for utility statement processing. 8A - ORDINANCE #4559 (SECOND READING) CONFIRMING FINAL ASSESSMENT ROLL FOR L.I.D. #328, WHEATON WAY SEWER, #AB96-125 President Law announced all the Council members, who were absent the previous Council meeting, were asked to review the tapes of the presentation at first reading. He then asked the "Appearance Of Fairness/Conflict Of Interest" question with all Council members #1966 TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 10 of 19 being seated. Public comment - none. M/S/C(Farr/Montgomery) to pass Ordinance No. 4559 on second reading, adopting and confirming the assessment roll for Local Improvement District No. 328 providing for the improvements by extension of sanitary sewer in Wheaton Way as described in Ordinance 4460 providing for the levying and assessing for the costs and expense thereof against the parcels and lots of land within the boundaries of said improvement district; providing for the collection thereof; creating and establishing a special fund therefore. Vote on motion: Motion carried. In Favor: Abstain: Neville, Farr, Huff-Menees, Law, Montgomery, McConnell, Colvin, Winters Overson 8B - ORDINANCE (FIRST READING) AUTHORIZING A BORROWING OF $237,000 AND ACCEPTING THE PURCHASE OFFER OF SEAFIRST BANK, #AB96-135 By prior action, the Council has authorized the replacement of the City's main computer system. Staff has negotiated the financing needed to allow for the replacement project to go forward. The proposed Ordinance will authorize the City to borrow $237,700 from Seafirst Bank to be repaid over a period of four years with interest at 5.2%. Kathleen McCluskey, City Clerk, stated the purchase of the new computer system was approved in the 1996 budget and they have proceeded with acquisition. Part of the $344,500 is being paid this year and the remaining amount will be financed over the next four years. She pointed out the bonds are tax exempt and the ordinance will have two readings, not an emergency reading, because a set rate has been negotiated. The cost of external financing was reviewed verse internal financing with the outcome that it was less expensive to use the external financing. Public comment - none Mr. McConne11 referenced Section 8 of the ordinance and questioned if borrowing these funds meant City taxes will increase in order to make repayment? Ms. McCluskey stated no, when this project was budgeted in 1996, the City made a commitment to the debt service over the next five years. Mr. McConnell asked for clarification of the kind of equipment being acquired? Ms. McCluskey stated in addition to the tower a number of PC's are included along with networking the entire City, and the Police Department's new software system that has been installed. #2194 TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 11 of 19 Mr. Colvin asked the City Attorney to clarify the meaning of Section 8 - Pledge Of Taxes? Ian Sievers, City Attorney, stated the City is only pledging to include in any tax levy that Council approves annually an amount up to our constitution and statutory limit. The City is currently at that limit and there is nothing stated that the City would need to go to the public for a supplemental levy. M/S/C/U(Montgomery/Farr) to approve ordinance on first reading, relating to contracting indebtedness; providing for the issuance, specifying the installment payments, interest rate, terms, and covenants and fixing the form of a $237,700 par value Limited Tax General Obligation Bond, 1996, of the City for general City purposes to provide funds with which to pay the cost of upgrading an existing City computer system and acquiring new computer systems and equipment; establishing a bond redemption fund and an acquisition fund; and approving the sale and providing for the delivery of the bonds to Bank of America NW, N.A., doing business as Seafirst Bank. 8C - BUDGET ADJUSTMENT REOUEST, COMPUTER REPLACEMENT PROJECT, #AB96-136 This adjustment will provide the expenditure authority necessary for the financing and acquisition of the City's new computer system. #2240 Kathleen McCluskey, City Clerk, pointed out Computer Acquisition Project Financing sheet shows the comparison between external financing and internal financing. Public comment - none M/S/C/U(McConnell/Huff-Menees) to approve Budget Adjustment Request No. 96-19. 9A - CONTINUED PUBLIC HEARING AND ORDINANCE (FIRST READING) FINAL ASSESSMENT ROLL FOR U.L.I.D. #327, KITSAP LAKE SEWER, #AB96-124 Kathleen McCluskey read the following letter into the record: David Viera and Alice Viera - ULID #327 and assessment - We strongly protest the above tax assessment. It is illegal, improper and unjust. The property faces Lebers Lane NW, which belongs to the County not the City of Bremerton. Please note that there are only three properties facing the left side of Lebers Lane: the Griffith in the corner, ours in the middle and the Foxes at the end. Lebers Lane deadends at the U.S. TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 12 of 19 Railroad Track. Judy Fox's property is in the County, not in the City. The Griffith's and ours is in the City of Bremerton. Cutting up or circuiting the boundaries of the City in this manner is ridiculous, This has to change. This is one way the City of Bremerton could impose an assessment towards homeowners, like the Giffiths and us. This is an improver tax assessment. The only reason the City of Bremerton included our property was because our neighbor Robert and Grace Griffith requested that they be included in the ULID, with the notion, misunderstanding and misinformation given to the Griffiths, that the sewer line be extended straight through North Lake Way, where both of our properties could be hooked up to it by gravity feed. See drawing attached. They thought they are doing us a favor, by requesting to be included so we could be included too. Upon finding this is not the case, since the ULID sewer line is stopped (stubbed) about 60 feet BEHIND our property, and not extended to our properties at North Lake Way and each of our septic tank is about 50 feet in front of the house. He has written you a letter protesting the tax assessment and wanted his property out of the ULID district. We are now adjoining the Griffiths to do the same and STOP the City from assessing both of the properties. The locations of our septic tank is 50 feet in front of our house at the same level as the griffith's septic tank. We hired a Civil Engineer to do an engineering survey, measurements and estimates of the cost to access the sewer line. To connect to the sewer line requires a lot of ditch digging, about 300 feet of sewer line, breaking up of concerted and asphalted driveways, removal and proper disposal of the hazardous debris, re-concrete and re- asphalting and use of a larger capacity pump to pump the waist 45 degrees up, will cost us about $25,000. Maintenance of the pump will also cost us. Additionally, our house is BERMED, that is the roof line is only less than 2-feet above the ground. It is at the same level as the stub end sewer line. The location of the sewer line will have an adverse environmental impact upon our properties in case of a break in the sewer line. Raw sewage will spill or permeate the roof and the three surrounding walls, which is bermed with soil. The City could pay penalties or be fined by EPA and we could file charges for damages. There will be an environmental impact if sewer line is dug up, and pump up right above our roof line. This is against environmental law. The location of sewer lines will also adversely affect our property values, because of potential health hazard and/or soil pollution. Randy Witt, City Engineer, admitted to us in 1995, that we are TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 13 of 19 located in a different ridge line. Being retired and in a fixed income, we could not afford this assessment. It will entail a financial hardship for the Griffiths and us. We may agreed to the assessment and not bring a lawsuit to the City of Bremerton for illegal tax assessment if the sewer line is brought and extended up to the point where the Griffith's property and ours meet at Northlake Way. This letter is also to inform you that it is against the law in the State of Washington for any city or county to force payment and assess a homeowner for any community improvement, where the homeowner cannot have access to it, nor make use of it or receive a benefit from it. The contour elevation, dimensions, location and distances and locations of the septic tanks on both properties does not allow access to the sewer line. Therefore, the City of Bremerton is forcing us to pay for a tax assessment for a community improvement where we do not have a benefit of. access of, or use of it. This is taxation without the benefit. If enforced, we have the legal right to sue the City of Bremerton. Robert and Grace Griffith and us will join forces to protest the tax assessment and request that our properties be OUT of the ULID #327 district and OUT of the City of Bremerton. Sincerely,." President Law asked the "Appearance OF Fairness/Conflict Of Interest" question with all Council members being seated. He also noted that the four Council members absent from the previous Council meeting did review the video tape of that meeting. Randy Witt, City Engineer, provided the following responses to some of the issues raised on this item at the June 12 City Council meeting: (1) Myrna Peterson's letter addressed the fact that she is on a fixed income and the assessment would place a hardship on her and could the City assist her in some way. Ian Sievers, City Attorney, stated it appeared that the protest filed by Mrs. Peterson and also the information given in the Viera's and Griffith's letters stating their protest, all three of these property owners may qualify under a State program for deferral of special assessments imposed by the City, including this sewer ULID. The program is set forth under RCW 84.38.010 and allows a deferral by making application through the County Assessor. The State Department Of Revenue has appropriated funds to pay the City for TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 14 of 19 those particular annual assessments, which are deferred, and the owners must select a method of repayment of the assessment. Deferrals can be made up to 80% of the property owners equity in the property. This would be a lien on the property in favor of the State and would have to be repaid eventually, either upon sale or condemnation of the property, death of the owner, an income level that disqualified the owner from the deferral, or termination of the property as the principal resident of the owner. Again, this program is available to elderly persons 61 years or older with an annual adjusted income of $34,000 and that income is defined in State law. He was sure this information would be sent to the three property owners, who protested, as well as the other property owners within the benefitted area. Mr. Witt stated the second series of questions were raised by Robert Griffith: (1) it does not make sense to provide sewer to the property, sewer line extends to the end of the street easement. which does not abut the DropertV and access to the sewer system will require Dumping and a line across other property. Mr. Witt noted Mr. Griffith would be required to gain an easement across his neighbor's property to gain access to the sewer line. He also noted this property does tend to fall away from the assessment district. During the initial formation of the district, the Griffith's property was not included based on the crest of the ridge. During the signature collection process, Mr. Griffith requested his property be added to the district and he signed the petition accordingly. A discussion was held with the City Attorney as to how the City could provide sewer service to that property since it is not adjacent to where the sewer service would end. The City Attorney provided documentation about Mr. Griffith's ability to obtain an easement, which resulted in their modifying the district. The requirement of a pump is not unusual in this district, all of the properties fronting on Kitsap Lake are down hill from the sewer line and will have to pump sewage up to it, nor is Mr. Griffith's pumping distance the longest. At the previous Council meeting, Mr. Lefcoski addressed eight points, and as stated in his letter: requested the City to provide ditching assistance to Mr. Griffith, asked that the County residents on Northlake Way, who want to connect to the sewer main, be required to pay a connection fee at the same rate as the LID, and that the fees collected be credited to the LID; that Kitsap Lake Road was the first one done under the City's new Street Standards where the entire street was overlaid rather than just paving over the ditch line; the term of the LID should be longer than 13 years. Mr. Witt noted Mr. Lefcoski received a written response to his letter from the Engineering Department prior to its being read into the record at the previous Council meeting. Regarding providing a sewer line ditch for Mr. Griffith, that TAPE #1387 City Council Reg. Mtg. Minutes June 19, 1996 Page 15 of 19 would constitute use of public funds on private property, which is not something that is construed as something the City should do. Council may consider the suggestion, in the letter, of making that a public extension down from the Griffith property through the Viera's property. In regard to the issue involving County residents, those residents do not desire to be in the LID at the time it was formed. The City does intend to set up a special front footage fee in that area that is commensurate with the LID rates and the fees collected would go to the City sewer fund to off set the City's $300.000 contribution to the project. To date no County residents have requested service; however, two County residents did request construction of laterals to their properties, which have been installed at their expense. Paving the entire width of Kitsap Lake Road was addressed in the letter to Mr. Lefcoski and at a public meeting on June 10. He wished to correct Mr. Lefcoski's earlier statement that this project was the first to receive an entire road overlay under the new rules. The sewer extension up Werner Road was actually the test case where the City learned it did not cost significant more and resulted in a much higher quality product when the entire roadway was overlaid rather than just paving the ditching strip. Lastly, regarding the request for a longer pay back term for the LID, by State statute the City is allowed to go for a longer period of time than 13 years; however, the Bond market will not support a longer period of time. The most cost effective and longest rate provided to the residents is 13 years at 8.2%. Bob Griffith again opposed being part of the LID based on the reasons he identified at the previous Council meeting. He emphasized his property drains to the north and would not adversely impact Kitsap Lake such as other properties might, if their septic systems fail. However, he and his wife did want to support efforts to protect Kitsap Lake and they did sign the petition. He still wished to be excused from the LID because of the financial hardship it will place upon him. President Law wanted to make sure Mr. Griffith heard the City Attorney's comments about some financial relief through a State funded program. Mr. Griffith stated he would seek out more information on that possibility. TAPE #1388 Jack Lefcoski stated at the previous Council meeting he asked if the City would help Mr. Griffith with the ditching for a sewer line and assist him in obtaining an easement across his neighbor's property. He again asked the City to consider that request. He hoped Mr. Griffith would be eligible for the State financial assistance program. He did not agree that it would cost $15,000 to install Mr. Griffith's sewer connection line and volunteered to dig the ditch, if the City provided the necessary equipment. TAPE #1388 City Council Reg. Mtg. Minutes June 19, 1996 Page 16 of 19 In the early stage of this project, Tim Richard, Senior Engineer told the citizens that they did not have to hook up to the sewer unless their septic system failed or if they desired to expand their system. When the sewer line was being installed, the County Health Department contacted the residents with a County Ordinance in hand that stipulated they shall hook up to the sewer within two years of certification of the system. He stressed that requirement for hookup had nothing to do with failing septic systems or add ons. He was also distressed over the fact that such a requirement had not been presented to the residents at any of the public meetings. He provided a copy of the County ordinance to Mayor Horton, and key City staff members, but as of this date no one from the City has discussed the issue with him. He questioned how does a City ordinance conflict with a County ordinance. In the case of health, we cannot have a City Health Ordinance conflicting with a County Health Ordinance, but it is happening. The City has been aware of this for the past 4-6 months. He again stressed that the City's contribution of $300,000 towards this project was for the protection of Kitsap Lake, which is a City park. Richard Dunlap stated he did not have a protest against the assessment and did appreciate the City's contribution of $300,000. He acknowledged that at the time that contribution was approved the City Council was hard pressed to satisfy pressing needs within the City as well as making a strong statement about protecting the lake and surrounding environment. He applauded the Public Works Department's decision to overlay the entire street rather than just trench patch and views it as a real benefit to the residents. He was concerned that there are a number of property owners in the ULID that cannot afford the assessment at this time against their property. He is aware of a number of avenues available for either deferral, reduction or aid in the final sewer connection construction. The City Attorney has already uncovered one technique, but there are some possibilities for rehab money through H.U.D. and urged the Public Works Department, Finance Department and the City Council to communicate that information as completely as they could to all the residents in the LID so those that do qualify can take advantage of those opportunities. Finally, he sought assistance for the residents in the standardization of installation of equipment that they will be required to purchase and asked the City to prepare a set of standards that each property owner can use when soliciting proposals from contractors in order to get the most cost effective price. Mr. Sievers stated he was aware there were duplicate regulations on hooking up to a sanitary sewer system within so many feet of a property. Those were parallel provisions, both in the Health Department regulations and the City's Title 15 prior to 1991. The City's inclusion of that regulation, according to the City's TAPE #1388 City Council Reg. Mtg. Minutes June 19, 1996 Page 17 of 19 consultant, who helped revised that title, was not a health consideration, but a financial consideration. When the City puts in a sewer system it wants to spread that cost among a many ratepayers as possible. The City had not enforced that provision and there was a lot of confusion, especially at the time properties were annexed, and the Council, at that time, felt it was not necessary for financing the Utility system to keep that in the regulations, so they were removed. The Health Department regulation may have been copied off the City's and he did not understand why it had not been modified. He was not privy as to why they visited the neighborhood and indicated it would be enforced. Perhaps the Health Department feels there is a health hazard from failing septic systems in that area and they tend to enforce it in this instance. He could not speak to what was said to the residents at neighborhood meetings. Mr. Witt already addressed the City's $300,000 contribution and he also believed it was to preserve Kitsap Lake, which is a City asset. With that contribution, the ULID, including benefitted properties on the north side of Northlake Way, may have lead to the defeat or protest of the LID, which may not have been formed at all. The City will be repaid for those funds when those property owners actually hook up to the sewer system and it will be equivalent to the assessment of the properties within the benefitted area. Mr. Witt restated his earlier response to the request that the City dig the sewer line ditch for some of the properties at the extreme northwest corner - it is not appropriate to expend public funds for private use. He will include Mr. Dunlap's suggestion about the HUD funded connection financial assistance in the packet of information that will be sent out to the ULID property owners. In regard to the request that the City provide standardization of equipment, it is their intent to provide that information. Lastly, he corrected an earlier statement by Mr. Lefcoski that the sewer line does not extend to the property adjacent to the Griffith property...it does abut that neighboring property. President Law asked Mr. Witt to restate the name of a contact person available in the City that can answer questions relating to this project. Mr. Witt asked anyone having questions to please call the Engineering Department and ask for him or Tim Richard. Mr. McConnell asked if the sewer line will ever be extended down Norhtlake Way? Mr. Witt explained there are no plans to extend it up Northlake Way. Mr. McConnell stated in case that decision was reversed and it was extended, would the Griffiths and Vieras have to pay a fair share because it was going across the front of their properties? Mr. Witt stated no, property owners would not be charged double. TAPE #1388 City Council Reg. Mtg. Minutes June 19, 1996 Page 18 of 19 Mr. Winters questioned why Mr. Dunlap and one other property owner had a higher assessment fee? Mr. Witt pointed out those two property owners paid for an extra lateral. Mr. Colvin questioned the earlier statement that there was a conflict between the City's ordinance and a County ordinance? Mr. Sievers stated the City had wording in the B.M.C. for finance reasons and the Health Department's requirement was for health purposes. The Health Department has lots of regulations on health matters that are not included in the City's regulations. Mr. Colvin stated when something affects the City and the County it should be coordinated. Mr. Sievers noted the City is represented on the Health District Board. Mr. Overson stated the benefit of the new sewer system is very definite to the Viera and Griffith properties, the first benefit being it provides the owners significant future development through subdivision, if and when their septic systems do fail. Even though the drainage off of those two properties does not flow into Kitsap Lake, it does flow into the nearby stream. Mr. Winters talked about being able to grow up and enjoy Kitsap Lake and thanked the members of the City Council for contributing the $300,000 in a very generous way to preserve the health and safety of that lake. He pointed out the Navy's share for Camp McKean amounted to $67,029. He asked Mr. Griffith if he understood correctly that he had signed the petition and was in favor of the sewer installation. Mr. Griffith stated that was correct. Mr. Winters asked if anyone had told Mr. Griffith a dollar amount that it would cost to hook up to this system? Mr. Griffith stated no and had he know he would not have asked to be included in the petition. Mr. Winters asked if Mr. Griffith had attended any of the neighborhood meetings held on this issue? Mr. 8riffith stated yes, many of them. Mr. Winters asked Mr. Lefcoski if formal minutes were taken at the Kitsap Lake Neighborhood Association meetings? And, he recalled that there was discussion on the assessment fees at one of those meetings. Mr. Lefcoski stated no minutes are kept. Mr. Winters asked Mr. Lefcoski if he recalled discussion at one of the public meetings about the possibility of rebidding the project and the possibility of a lower assessment if a second bid came in that was lower than the first? Mr. Lefcoski stated he recalled the discussion that bids are seasonal. Mr. Winters asked if at that point a dollar figure was given as to what each person would be assessed? Mr. Lefcoski stated there were 6-8 assessment figures discussed through this project. Mr. M~Connell asked what is the recourse if the Griffiths and Vieras cannot get an easement across the neighboring property? Mr. Sievers stated the reason for not finding a significant difference #0976 TAPE #1388 City Council Reg. Mtg. Minutes June 19, 1996 Page 19 of 19 between those lots and others that had long laterals and have to pump, is because they do have a power to acquire an easement through private right of condemnation. If they cannot negotiate an easement for those laterals, they can obtain a court order. It is not an impossibility to reach the sewer main in the right-of-way. Mr. McConnell questioned if such action would be at an additional cost to the property owner? Mr. Sievers stated if an agreement could not be worked out, it could mean additional cost. M/S/C/U(Montgomery/Colvin) to approve ordinance on first reading adopting and confirming the assessment roll for Utility Local Improvement District No. 327 providing for the improvements by extension of sanitary sewer in Northlake Way and Kitsap Lake Road as described in Ordinance 4450 providing for the levying and assessing for the costs and expense thereof against the parcels and lots of land within the boundaries of said improvement district; providing for the collection thereof; creating and establishing a special fund therefore. Mr. Witt announced the Department Of Ecology notified the City it will receive funding from the Water Pollution Control Revolving Fund for the Callow Avenue Basin Priority 2 design with "0" percent loan for a 5-year period in the amount of $828,000. President Law thanked the TV camera crew for their services: Dave Noble, James Noble, Trisha Mathes and Nadine Price. With no further business meeting adjourned at 7:40 P.M. KATHLEEN L. McCLUSKEY, City Clerk J E. LAW, Council President Bremerton KLM/JL/me cc: Normal Distribution File/Vault