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HomeMy WebLinkAbout03/09/94 TAPE #1181 CITY COUNCIL MEETING MINUTES MARCH 9. 1994 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, March 9, 1994, at 5:45 P.M., with Council President Eileen Fitz presiding. Council members present were Richard Neville, Morrie Dawkins, Bob Winters, David Farr, Lon Overson, John Law, A1 Colvin and Sherril Huff-Menees. Also present were city Attorney Ian Sievers and city Clerk Kathleen McCluskey. The meeting opened with the Pledge of Allegiance led by Council President Fitz and Invocation given by Reverend Dan Butcher of New Hope Community Church. CONSENT AGEND~ A. Minutes of Meeting -- February 23, 1994 #AB94-046 #0031 M/S/C/U(Neville/Colvin) to approve the Consent Agenda as presented. CL~IMS/W~RI~tNT 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. #0047 M/S/C/U(Colvin/Farr) on March 9, 1994, the Council does approve for payment those vouchers included and further described as follows: 173482, 173504 through 173673 in the amount of $226,385.25; and Regular Payroll for the period ending 2-28-94, in the amount of $594,582.51. COUNCIL MEMBER REPORTS Mr. Winter thanked everyone, including Councilman Neville, Council President Fitz and Mayor Horton, who attended the POWER fund raising event on March 5. Even though there was a small crowd at that event, he hoped other such events would be held in the future. Mr. Colvin reported he received a letter from a City resident relating a recent sewer back up in her residence. She was not happy about either the sewer back up or the increase in cost of sewer service, however, she was pleased with the City's response and assistance during the sewer back up problem. He extended a challenge to the Kitsap County Commissioners to participate in TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 2 of 14 promoting the new Voter Registration program. An earlier challenge was given to his fellow Council members for their respective Districts. Mr. Law announced the District #3 Neighborhood Meeting will be held March 15, 1994, 7:00 P.M., at the Nipsic Senior Center. The topics for that meeting are (1) streets; (2) concerns over the Manette Bridge; (3) Councilman update and any concerns that district residents want to bring up. PUBLIC RECOGNITION Mayor Lynn Horton reported she attended the POWER fund raising event, which included hearing from the candidates for Kitsap County Prosecutor. She related some statistics from a block watch newsletter titled "BLOCK TALK": 70% of all burglaries reported in the City of Bremerton were residential burglaries. In 62% of the burglaries a door was the point of entry, a window was the point of entry in 26% and 12% per unknown entry. Most items stolen were money, VCRs, jewelry, TV sets, tools. Anyone interested in forming a Neighborhood Block Watch can contact Officer Jon Johnson, Police Department Crime Prevention Officer, or her office 478-5266. Mayor Horton read the following Proclamation: proclaiming the Month of MARCH as AMERICAN RED CR088 MONTH. Ian Sievers, City Attorney, accepted the proclamation on behalf of the Kitsap and Mason Counties Chapter of the American Red Cross. May Horton reminded everyone of the Central Neighborhood Network meeting on Thursday, March 10, 7:00 P.M., at the Neighborhood Christian Church. Don Larson, 135 Rainier Avenue, President Washington Scuba Alliance, announced a Countdown To Earth Day event on April 16 titled "Save Sinclair Saturday", at the First Street Dock in Bremerton. That event will be a shoreline and underwater clean up effort manned by volunteers. Me encouraged the City of Bremerton and citizens to become involved in that event. The Department of Ecology has published an Environmental Action Guide that can be obtained at no cost by calling 1-800-RECYClm. He recommended that the City make a proclamation recognizing a day in April as Earth Day. During the clean up efforts over the past three years,they included an area located at Pacific and Sheldon Blvd.. That particular area has been used as a dumping site for litter and garbage. In the past, Mr. Larson talked with the out-of-state owner of that site and they indicated they were willing to work with the City to clean up the site. Mr. Larson would like to see that area turned into a park. Recently, he talked with the Operations Manager of Brem-Air, who indicated they were cooperating with the City of Bremerton and the Port Of Bremerton on a possible land TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 3 of 14 transfer. Gordy Byrd, P.O. Box 930, talked about the Easter Seal Telethon, Cafe Zoo and his fund raising efforts for the "Byrd's Nest", a shelter for the homeless ($12,344.45). Bett~ Buell, High Avenue, expressed concern over the increased sewer/water billing. She questioned if there was some way to break down the sewer/water payments into two payments (one per month)? Presid®nt Fitz asked Mayor Horton if she could follow up on Mrs. Buell's question. An4¥ p&x~m, 1122 Hayward Avenue, stated users of the sewer system have no choice but to pay the increases. Failure to meet the agreed upon settlements will only cause more lawsuits. He does not believe disincorporation of the City is the answer to that problem. He did believe it could be a very expensive lesson to the Council, that former elected officials (early 1970's) should have and the present elected officials must put their priorities in prospective. He believes correcting potential cost and problems for potential lawsuits should come before "goodies". He referenced statements made in documents provided to the Kitsap County Superior Court that heard the Westhills lawsuit against the city: "that Judge Broz, the mediator, visited the City's treatment plant and received extensive information from both sides"; "that the two settlements (odor and sewer overflows) may reach 35 million dollars over the next twenty years"; "the sewage treatment plant's design dates back to the early 1970's"; "The City appears to have cut costs in regard to odor control when the plant was upgraded. This is seen for example, in the sewer treatment plant's operating manual. The manual specifically recommended the City cover the biotower (note the biotower was not covered)"; "During 1992 and possibly other years, the pre-aeration pump may have not been operated or at least not operated properly". Mr. Parypa made the following recommendation: schedule City Council agenda items in a manner that will provide the City Council time to study the subject matters. Be honest with the public, mistakes are only made by those who are doing something. He asked that the following questions be answered: (1) What is the interest rate on the three payments to the Westhills Association and what will it add to the total cost? (2) Who wrote the sewer treatment plant operating manual? Was the plant design group involved? (3) Who decided to not cover the biotower and why? (4) In the settlement, did the City agree to upgrade the air filtration and cover the headworks and portion where the sludge is thickened, and if this fails, to cover the biotower in early 19957 (5) Would it be prudent to cover the biotower and properly operate the pre-aeration blower first as was apparently recommended? (6) What is the purpose of the holding tank at 13th and Naval and could a pump be used during low sewage TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 4 of 14 flow? (7) Should Shut off valves be considered before another line rupture occurs? (8) While $100,000 is peanuts compared to millions, whose brilliant idea was it to plant trees around the plant with the expectations they would eventually cause an updraft and get rid of the odor (many of the trees appear to be dead)? Navor Horton stated she would have staff provide a written response to Mr. Parypa and read it into the record at the next City Council meeting. ~ar~ Lou Lona, Baymont Place, suggested the City make available to the residents of Bremerton a "flow restriction device", which would cut back the amount of water used in every day water consumption. She raised the question why people within the city, who were using septic systems rather than hooked up to the sewer system, are excluded from paying sewer rates? If the cost of the Westhills lawsuit settlement must be paid by the ratepayers, she believed all residents in the City should be required to pay. She asked Mayor Horton to look into that matter. She then read into the record her responses to Councilman Farr's questionnaire that was given out at his District #6 neighborhood meeting. Mr. Fart thanked Mrs. Long for her input and wanted District #6 residents to know that copies of the questionnaire could be picked up at Rob's Quickstop at 15th and Callow. Mrs. Huff-Menees stated she felt it would have been more appropriate for Mrs. Long to have given her completed questionnaire to Mr. Farr considering it was intended for residents of District #6 and his use in evaluating representation of his district. She did not feel it was appropriate for Mrs. Long to take up time during a City Council meeting to share that information with Mr. Farr. Mrs. Long objected to Mrs. Huff-Menees comment. President Fitz reminded Mrs. Long that comments during Public Recognition are to be limited to three minutes. 6A - BUDOET ADJUSTMENT REQUEST 94-3 FOR AUTHORIZATION TO CALL AND PAY ALL OUTSTANDING REVENUE BONDS OF THE FORMER JENSEN WATER DISTRICT, #AB94-047 Several years ago, in conjunction with the annexation of the neighborhood, the City took over the Jensen Water District which was then disincorporated. At that time, the City water system accepted responsibility for the revenue bonds which had previously been issued by the district. The City will have the ability to call and pay the remaining outstanding bonds as of June 1, 1994. As the bonds bear interest at the rate of 10.875%, it is in the best interest of the City to exercise the call option on these bonds at the earliest date possible. This Budget Adjustment will provide the expenditure authority necessary to pay the bonds when called. Rich Hanna, City Treasurer, emphasized the interest rates on these bonds are considerably above the return that can be achieved TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 5 of 14 through his investment of surplus City funds. It makes good financial sense to call and pay the bonds at the earliest opportunity. There is no incentive for doing this through refunding of the bonds for $45,000, and the overhead cost associated with carrying out refinancing or issuing no debt would consume all savings that could be realized. The Water Utility does have surplus cash available in an amount more than adequate to meet the demands to call and pay these bonds. Gord¥ BYrd, P.O. Box 930, stated he did not understand what this item proposed. Mr. Hanna restated the points outlined in the above noted summary statement #1358 M/S/C/U(Dawkins/Colvin) to approve Budget Adjustment Request 94-3 and directing the Treasurer to call all outstanding bonds of the former Jensen Water District as of June 1, 1994. SB - CONCEBSION AGREEMENT BETWEEN THE CITY OF BREMERTONAND KITSAP COMMUNITY ACTION PROGRAM REGARDING A HEADSTART FACILITY AT EASTPARKt #AB94-048 Kitsap Community Action Program is interested in providing a Headstart Program in East Bremerton, and are requesting the use of a portion of East Park for that purpose. The building (4000 sq. ft. modular unit) would be located on .25 acre in the NE corner of the Park, an area that is currently undeveloped. In addition to the building KCAP's plan includes a pre-school sized outdoor playground and an appropriate amount of parking. The playground would be available to Park users as well as Head Start students. The National Parks Service, the Bremerton Parks and Recreation Commission and the Friends of Bremerton Parks have all voiced their support for the proposal. East Park is one of the facilities included under the Parks Protection Ordinance and therefore approval of this agreement must be by a unanimous vote of the City Council. Vicki Vanneman, Director Of Parks and Recreation, exDlained her department became involved in this issue in June of 1993, and over the past several months both the City and KCAP have taken several small but necessary steps to insure this plan moves forward through a process. Those steps were numerous, including site selection that narrowed it down to a 1/4 acre in East Park, which triggered several other necessary steps, one of which was securing the approval of the concept from the National Parks Service. East Park is one of the properties the City purchased from the government in the early 1960-70's and it has certain conditions imposed upon it due to that relationship. One requirement is the need to inform the government of any change in uses of the facility. The City also needed to inform and get the recommendation of the Parks and TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 6 of 14 Recreation Commission, which was obtained. With the cooperation of the City Attorney's office, a Concession Agreement was developed. The City also notified and solicited the support of the YMCA and the Navy due to the proximity to Navy housing. She emphasized this is the first issue that tests the Parks Protection Ordinance, which established a set of guidelines that protected parks from being encroached upon by non-park use. The proposed educational facility would constitute a significant change in the use of a portion of a park and that is why the Parks Protection Ordinance is triggered. Ms. Vanneman emphasized she is in support of this proposal and views it as a win-win situation for the community. She believes there are two important considerations that influenced her decision to support this request: (1) the fact the new building would affect a very small percentage of the park, and currently that portion is undeveloped; (2) the interest and commitment KCAP has shown in providing a state-of-the-art playground sized for preschoolers. She pointed out the City's current playground equipment in the East Park area is gaged for elementary aged kids. It also pleased her that playground would be available to the public during non- Headstart hours, which are numerous...afternoons, evenings, weekends and summers. In addition to receiving support from the National Parks Service and the Park Commission, she met with Del Knauss, chairman of the Friends of Bremerton Parks, who then talked with other members of his group and their response was recognizing the win-win element of the proposal. When the proposal was presented, all of the groups involved took the matter seriously and were convinced it is a win-win opportunity and in the best interest of the community. She emphasized her trust as well as all the other groups' trust that the city Council and public will not view this as precedent setting. Ms. Vanneman pointed out the agreement spells out if Headstart decides to vacate the site, they will remove everything that isn't permanently installed, such as parking and utilities. Mr. Law noted Fiscal and Budget Committee members were impressed with the amount of planning that had gone into this project. He questioned if this was the first time the City worked with the National Park Service on a project? Ms. Vanneman stated the Parks Department is in contact with the National Parks Service on a fairly regular basis through submittal of bi-annual reports on all facilities (seven sites) purchased from them. Mr. Drouin, resident, raised a point of order regarding comments and questions being made by Council members prior to input from the public. Mr. Neville noted the Concession Agreement states that a portion of the building will also be available for public use during hours not TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 7 of 14 used by the Headstart program. Ms. V&nneman pointed out a meeting room opportunity and the fact KCAP is interested in hosting a variety of public activities in that portion of the building. She emphasized that meeting area would be equipped for use by adults. Mr. Neville questioned how the monetary amount for the lease was dete£mined? I&n Sievers, City Attorney, stated on a lease this size and duration the City does not go to the expense of a full appraisal, but rather uses a "rule of thumb" based on the fair market value. That determination is started by obtaining a legal description from the Engineering Department and their calculation of the square footage (1200 sq. ft.) and obtaining the fair market value from the Kitsap County Assessor's office at $1.20 per square foot. Even though this site is publicly owned, the Assessor is doing current valuation on public property. The "rule of thumb" used was 10-12% of the market value for the annual lease. He reflected that "rule of thumb" was actually dated because in the current climate of low interest rates that is a healthy return on investment. The City used a lower figure in this case because of receiving public return in use of the park facilities and the building during the non-school hours. Mr. Colvin asked that Mr. Drouin's point of order be addressed. presi~ent Fitz asked the City Attorney if Council was in error in asking preliminary questions and taking Council comments prior to public input? Mr. 8ievers stated the staff makes the presentation and Council can ask questions of staff following their presentation and then it can be opened up for public input. Larry Eyer, Director Kitsap Community Action Program, stated the Headstart Pre-school program is a well known quality program that he believes will be with us for quite some time. The focus of that program is to iow-income children and families within the community. It primarily serves 3-4 year old children. KCAP has been operating the Headstart program for well over 25 years. One of the difficulties is finding and locating facilities for the program and that is why this proposal is such a great opportunity. Currently, KCAP does not have any programs in the East Park area and this will allow them to attract Federal funding for purchase and setting up a modular facility on that site, which requires KCAP to have local contributions toward such a project. The facility/program will serve iow-income East Park and Manette residents with young children. Users of this facility will come from a "within walking distance" category, will provide a play area for public use as well as a meeting room for public use. He expressed KCAP's appreciation of the opportunity to work with the City on this project and urged Council's approval. Gor~y Byr~, P.O. Box 930, stated this proposal sounded like one of the best ideas brought to the Council's attention and it would TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 8 of 14 provided a valuable program to little children that will give them a boost in their future years of development. Del F~auss, Chairman Friends of Bremerton Park's and Open Space, stated after studying this proposal he contacted Dusty Rhodes, Pat Carey, fo~mer Mayor Glenn Jarstad, Cecil McConnell, Rick Smith and Andy Parypa and they all feel this project is a compatible use and one they won't have to put up a fight against. His group does not feel threatened or intimidated that it will be a precedent setting issue for the Parks Protection Ordinance. Me urged Council to support this proposal as presented. Jeanie Johnson, Director of KCAP Headstart Program, stated this venture culminates a 3-year long effort aimed at the betterment of families living in the Bremerton/Kitsap County areas. It was not difficult to convince the City of the importance of pre-school for young children and she thanked everyone involved in aiding the development of this project. Mrs. Huff-Menees stated she was very pleased to see this issue before Council and felt it was a wonderful shared use of City resources. She could not think of a better opportunity to expand a very positive program within the Bremerton community. President Fitz pointed out this may be the first of many sharings the City and community will experience. She stressed no one group can afford to put together costly programs and the City will probably have to partner up with other groups, such as the schools, to provide needed services and facilities for the citizens of the City. #2164 M/S/C/U(Colvin/Huff-Menees) to approve the concession agreement between the City of Bremerton and KCAP regarding the siting of Headstart Facility in East Park. 6C - /%MEND OPERATING ~GREEMENT FOR WASTEWATER TREATMENT PLANT, #AB94-049 Bond counsel has suggested clarification of the compensation formula used in the contract with Metcalf & Eddy Services, Inc. to avoid any possibility of non-compliance with Internal Revenue rules for qualifying bonds as tax-exempt. Bonds funding facilities lose their tax-exempt status when the facility is used directly or indirectly in a trade or business by a private party. The City will soon issue bonds for capital improvements to the treatment plant and collection system operated by Metcalf & Eddy. If these bonds do not qualify as tax-exempt, the City would have to pay a significantly higher interest on these bonds. A project might be considered a private-use project if the operator TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 9 of 14 of the facility is not paid a fixed fee for at least 50% of its compensation. The current contract with Metcalf & Eddy, which runs to July 1997, has four components which are combined for total compensation, each with a variable for efficiencies achieved over a base level of expected performance. The amended contract removes a small variable from the Operations & Maintenance (O&M) component and combines it with the more appropriate Electrical Power component. This leaves the O&M component, which comprises approximately two- thirds of the total compensation as a fixed fee only subject to annual CPI adjustments. The reconfigured contract will not change the level of compensation to Metcalf & Eddy, and is satisfactory to bond counsel as clearly within the IRS guidelines for tax-exempt financing for this City facility. Rich Hanna, City Treasurer, explained the delay in getting the agreement to the Council members was due to the fact that it took longer than originally anticipated and that necessitated handing out the signed copy of the document to Council just prior to this meeting. He referenced Attachment D-1 BASE COMPENSATION, which is the proposed amendment to the contract (labeled Amendment #2). The compensation portion of the contract is made up of four parts...labeled Base Cost "A", "B", "C" and "D". He referenced Base Cost "A" - Operations and Maintenance and explained in the previous contract this component of the cost is aggregated with the other three components and the percentage of overhead that is payable to the contractor is calculated on that aggregated base. The modified contract attaches the contractor's Fixed Fee portion at $74,880. Rather than being aggregated into the total and a percentage, which is subject to a variety of variables include the flow through the plant and other components, it is now a "fixed fee". This was the essence of the change to the contract that was necessary in order to clearly satisfy the IRS regulations. The gist of that regulation was that over 50% of the compensation to the service provider needed to be a "fixed" price rather than a margin of profit or a margin on the operation of the plant. He assured Council this does not increase the overall cost of operating the treatment plant and does not increase the compensation to the contractor, however, it does bring the City into compliance with the IRS regulations, which allows the City to issue Revenue Bonds on a tax exempt basis. Mr. Law emphasized if you look at the changes and compute what was paid to the contractor in previous years, it comes out to the exact same amount. Mr. Colvin requested clarification of the following statement: "The owner shall be rebated 50% of all unspent operations and management TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 10 of 14 expenses". Mr. Hanna explained the notation Mr. Colvin referenced was Footnote #1 which refers to the total Base "A" expenses ($780,000), the target number for the total cost of the operation and maintenance of the treatment plant. If the actual costs are less than that figure, then those savings are shared equally between the contractor and the City. Cost sharing does not affect the compensation to the contractor labeled as Base "A" Fixed Fee. Mr. Neville questioned if the City had three times the amount of water flowing into the treatment plant, would the Fixed Fee amount remain the same? Mr. Hanna stated yes, and under the circumstances described the City would anticipate the $780,000 figure would be exceeded. Mr. Neville questioned if the fixed number was determined by an average over the last ten years of operations? Mr. Hanna stated no, it is 9.6% of the target number. Public comment - none. #2594 M/S/C/U(Law/Colvin) to approve the attached amendment. 7A - PUBLIC HE/~RINGANDORDINANCE (FIRST READING) TO ESTABLISH THE ULID FOR PORTIONS OF WEST KITSAP LAKE ROAD AND NORTHLAKE WAY (ULID %327). #AB94-050 The City has received a petition requesting formation of a Utility Local Improvement District (ULID) to fund construction of a sewer extension along portions of West Kitsap Lake Road and Northlake Way. Attached is a ULID boundary map. On February 16, 1994, the City Council passed Resolution #2459 establishing March 9, 1994, as the hearing date on formulation of the ULID. The estimated total project cots are $624.800 of which the City will contribute $300,000 from the Wastewater Utility Fund. The established assessment will be $4,275 per lot. Randy Witt, city Engineer, reviewed the previous events as identified in the Summary Statement. The City received a petition with signatures of over 60% of the people within the subject area supporting the project. The project plans are approximately 80% complete and he anticipates construction in summer of 1994. He did have one recommendation for a change and that was to exclude City owned Lot #30, which is approximately 33 feet wide and serves as an easement for a six inch water line, which is a necessary part of the City's distribution system. It is not intended that Lot #30 be assessed as part of the ULID because it has no existing or potential sewer usage and thus has no basis for a fair share assessment. When the assessment was put together, he assumed governmental properties were exempt from the ULID unless they voluntarily participated. In his discussions with the City Attorney's office about three days ago, his understanding was corrected. To exclude Lot #30 from the description of the ULID TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 11 of 14 area, Section i of the ordinance needs to be modified by the description handed out just prior to this hearing. As he prepared the ULID, assuming that the government property was exempt, he assigned its participation as "0", and the change in boundary will not change the assessment to property owners. Tim Richard, Senior Engineer/Utilities, stated the project consists of running a gravity sewer line in West Kitsap Lake Road from approximately Camp McKean to Northlake Way. From that location, there would be a pump station at the intersection of West Kitsap Lake Road and Northlake Way and there would be a force main in Northlake Way up to an existing gravity system near Kitsap Way. Currently, the plans are 80% complete and recently they evaluated a change from the original project changing from a pump station/force main to a gravity line located along the north shore of the lake. This line would be located between the homes and approximately 30 feet from the lake shoreline. This option was considered due to the fact it would reduce the initial cost and the long term operation and maintenance cost would be eliminated. They evaluated this option and found that the initial cost would compare with the original plan and it would require the city to acquire easements across 10 properties and there may be some objections to these easement. A Shorelines Substantial Development Permit would be required if the shoreline route was used, which would require an additional 90 days to obtain the permit and would include a review by the Department Of Fisheries. Mr. Richard did talk with the Department Of Fisheries regarding this option and learned the City is required to submit alternates to one that impacts the shoreline area and they recommended the City pursue the pump station/force main route because it does not impact the shoreline. If the option method was pursued, it would bring about a one year delay or possibly longer. This project and the alternate route was discussed at a Neighborhood Meeting, conducted by Councilman Bob Winters, on February 28, 1994. At that meeting, they polled the audience twice, following explanation of the alternate route, and both times it came to a tie vote. Considering the time delay for permit acquisition and the need to acquire easements, they decided to continue with the original plan of a gravity/force main system. President Fitz asked the "Appearance Of Fairness/Conflict of Interest" question with all members except Morrie Dawkins being seated. Mr. Winters stated for the record that he does not live in or around the ULID boundary area, however, he has attended meetings and talked with many people and residents in the area as representative of their district. Ian Sievers, City Attorney, stated Mr. Winters was the best judge of any possible conflict and could remain seated. Mr. Neville questioned if he understood correctly that there would TAPE #1181 City Council Reg. Mtg. Minutes March 9, 1994 Page 12 of 14 never be a need for sewer hookup on Lot #30? He also questioned if a homeowner had two pieces of property and they guaranteed the second piece would never be used with a sewer, will they be excluded? Mr. Witt stated because of the size of Lot #30 he could provide the assurance that it would not be suitable for building considering the required setbacks and the fact that a water line runs up the center of the site. He believes no one else within the ULID boundary could made the same statement about their property. Mr. sievers explained if there are two legal parcels under the same legal ownership both pieces of property would benefit from the sewer improvement. Even though there may be only one house that is made more valuable because of the large lot size considering both lots together, it is still receiving benefit being occupied and used because of the sewer connection. TAPE #1181 Mr. Law requested the justification for the City contributing $300,000 to the ULID. Mr. Witt restated for the record the history behind the City's contribution of $300,000 towards this project. There were numerous indicators that early on into the discussion of the proposed ULID the Administration and City Council extended a promise that if enough signatures to form the ULID could be obtained, the City would make the $300,000 contribution. Mr. Colvi~ stated during the earlier discussions the issue of Kitsap Lake being contaminated and the fact it could not be remedied without reduction of septic field use. Mr. Witt confirmed that there was considerable discussion about the lake's condition now and would it continue to degrade and how fast would it degrade. Mr. Colvin emphasized that discussion also included the fact that KitsapLake belongs to all the residents of Bremerton, not just the residents living around the lake. Judy Boller, Kitsap Lake resident, thanked the City Council for their consideration of the ULID project and the $300,000 City contribution. She handed out copies of a letter dated August 24, 1992, that stated a second meeting of the Kitsap Lake community was held on this proposed project and at that meeting City staff stated the City of Bremerton would contribute $300,000. Previously, she provided the City Council office copies of that letter and she was concerned whether or not the Council members received it. Alioe ¥iera, 4847 NW Leber Lane, handed out a sketch of her property and requested that she and her husband's property be excluded from the ULID boundary. Her reasons for exclusion are: (1) residence faces Leber Lane, not Northlake Way; (2) end of sewer line will be behind their residence and they would not be able to access sewer line without creating a lot of expense; (3) their property is not in the Kitsap Lake drainage basin. Mr. Winters TAPE ~1182 City Council Reg. Mtg. Minutes March 9, 1994 Page 13 of 14 questioned a notation on the drawing" 10 Year Old Septic (1100 gallon) Added monthly cost of sewer $68.90"? Mrs. ¥iera stated she just wanted to show what it would cost her under the sewer rate structure as well as the fact that their septic system is fairly new. Jack Lefcoski, West Kitsap Lake, stated he agreed with Mrs. Viera that their property is not in the KitsapLake Watershed and that it drains away from the lake. He asked Council to please consider that in their evaluation. In his opinion, the Viera's would not have a problem pumping up their sewage to the proposed sewer line behind their residence. Mr. Overso~ pointed out that the Viera's property does drain into Chico Creek. Mr. Lefcoski noted they actually drain into Dickerson Creek. He emphasized 62% of the residents in the ULID boundary area signed a petition and 62% of those people either have a drain field problem that must be fixed in the future or they fully realize Kitsap Lake is deteriorating. He emphasized Kitsap Lake is a City park and felt the $300,000 was "peanuts" compared to what it would cost to address resolving lake contamination. Environmental groups are focusing their concern on Sinclair Inlet, Port Washington Narrows and Dyes Inlet and once they have addressed those water pollution problems he believes they will focus their attention on fresh water resources. He does favor the optional plan for the sewer project that would extended a gravity system that would run along the lake shoreline. The main reason he supports that method is the high cost of maintenance for a pump system. Mr. Overson questioned if it was intended to revisit some of the old concerns, one of them being the Viera concern that Council discussed and elected to include them in the ULID boundary? He emphasized the Viera's own the largest piece of property on the lake and their property will gain significantly from this improvement. In regard to the $300,000 contribution by the City, he believed the primary reason for granting those funds was the fact that the City had made a promise and the whole ULID was based on that promise. On the issue of going gravity or pump system, he believed that decision needed to be made by the engineers. #0426 M/S/C(Winters/Colvin) to approve Ordinance, on first reading, establishing the West Kitsap Lake Road Sewer Extension Local Improvement District (ULID #327) modifying the district boundary to exclude Lot Number 30. Vote on motion: In Favor: Overson, Neville, Farr, Fitz, Huff-Menees, Dawkins, Colvin, Winters Opposed: Law TAPE #1182 City Council Reg. Mtg. Minutes March 9, 1994 Page 14 of 14 With no further business meeting adjourned at 7:55 P.M. KATHLEEN L. McCLUSKEY, Cit~ Clerk City of Bremerton KLM/EF/me cc: Normal Distribution File/Vault