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HomeMy WebLinkAbout12/22/93'TAPE #1160 UNAPPROVED DRAFT JAN i 1994 CITY COUNCIL MEETING MINUTES DECEMBER 22, 1993 #0057 #0072 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, December 22, 1993, at 5:30 P.M., with Council President Eileen Fitz presiding. Council members present were Richard Neville, Lynn Horton, C.R. "Tiny" Collins, Morrie Dawkins, Russ Johnson, Lon Overson, and A1 Colvin. Councilman Hank Waibel was absent. Also present were Acting City Attorney David Apodaca and City Clerk Kathleen McCluskey. The meeting opened with the Pledge of Allegiance led by Council President Fitz and Invocation given by Reverend Greg Thacher of Abundant Life Foursquare Church. President Fitz announced Agenda Items 6C, 6D and 7E were pulled off the Agenda for one week. During the rate hearing at the Previous Council meeting a number of questions were raised. Mr. Chu, Director Of Public Works and Utilities provided answers to those questions in the form of a handout available at this meeting. She reminded everyone that the Swearing-In ceremony for the new Mayor and several Council members will take place on December 30, 4:00 P. M., in the City Council Chambers. CONSENT AGENDA A. Minutes of Meeting -- December 1, 1993 #AB93-241 M/S/C/U(Horton/Neville) to approve the Consent Agenda as presented. CLAIMS/WARRANT 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/Dawkins) December 22, 1993, the Council does approve for payment those vouchers included and further described as follows: 171769 through 171889 in the total amount of $291,752.80. COUNCIL MEMBER REPORTS MR COLVIN thanked the City employees for their great Christmas Party. At that party he met a gentlemen from Scotland who shared that the greatest concerns in Scotland are youth, gangs, drugs, guns and knives. He also attended a party put on by the Basian Club. He thanked all the citizens of District #1 for their cooperation this past year and he is looking forward to a new TAPE #1160 City Council Reg. Mtg. Minutes December 22, 1993 Page 2 of 15 Mayor-elect to challenge District #1. He indicated he has new respect for the people behind the TVcamera and wanted them to know how much their efforts are appreciated. Lastly, he wished the City Council, and all City employees a Merry Christmas and Happy New Year. Mr. Dawklns echoed Mr. Colvin's Merry Christmas to everyone. Mr. Collins reported over the past few days King, Snohomish and Pierce Counties had a burn ban, but Kitsap County was not included in that ban. He noted years ago Kitsap County would have been included and he felt good that he had something to do with keeping our County out of it. He cautioned that a watch must be made that air pollution is being scrutinized by the Environmental Protection Agency (EPA) and others, who reduce the amount of particulate before they go into a burn ban. They want more stringent controls on air pollution and they can have a tremendous affect upon how we live. Not that it will make the condition of the air a lot better, but they want to basically shut down all fire places and all burning. He emphasized the City and County have people trying to regulated us into total chaos. The two big things that has gotten the city into trouble them year and the last few years have been controls placed by higher authorities. The City had a lawsuit brought against them by a group that doesn't even live in this area or any place on the sound and that lawsuit is costing us over $30 million dollars over the next few years. He raised the question "why is this happening to us?". From his point of view it is happening because we are not watching out for what is going on. We are allowing other people to make some drastic decisions for us and the decisions being made are based on "if you don't vote for what we want then you are against air quality". He questioned how much more could the City and County afford? He urged the members of the City Council to stand up and start screaming to the Legislators when they see something coming that will have an impact on the citizens of the area. Mrs. Horton thanked Councilman Johnson and the Commander at Keyport for the extensive tour of Keyport. She was very impressed with the high tech knowledge of that installation and how they utilize computers for monitoring. She thanked Commander Yount of Puget Sound Naval Shipyard and James Barber for giving her a guided tour of the shipyard. Prior to the Council meeting, she attended a Christmas party sponsored by Youth Care at KCCAP, for kids who are either homeless or their family situations are not good and end up spending a lotof time on the street. It saddened her to see young people who are in need in our community. She hopes there are ways to reach these young people and make their lives better. Lastly, she wished everyone a Merry Christmas and cautioned everyone to please drive safely and if you drink please don't drive. TAPE #1160 City Council Reg. Mtg. Minutes December 22, 1993 Page 3 of 15 Mr. Neville wished everyone a very Merry Christmas. Mr. Overson extended a "Merry Christmas" to everyone. Mrs. Fitz wished everyone a Merry Christmas and hoped everyone will drive safely. PUBLIC RECOGNITION Mayor Mentor reported the Bremerton Garden Club made a significant donation to the 4th Street project. A number of amenities for 4th Street will be in place within 2-3 months. He extended a special "thank you" to the Marines and Marine Reserves for the Toys For Tots program that was held on December 18; and to the Bremerton Elks for their sponsoring a party for the special people in the community, which was held on December 19. He wished everyone a Merry Christmas. Carol Dickinson, Development Manager, reported this week Bremerton and Kitsap County received over $4,000,000 of Federal and State funds to three specific housing projects to provide affordable housing for people in the City and Kitsap County. The State awarded $900,000 to the Kitsap County Housing Authority to build senior housing units adjacent to their administrative facilities in Silverdale; $1,000,000 of State funds to the Catholic Archdiocesan Housing Authority towards their project of purchase and renovation of the Elks Building; Agape Unlimited received Federal funds of over $600,000 to provide five years worth of treatment and operating expenses for their residential facilities. Also, the Catholic Archdiocesan Housing Authority received $1,568,160 from the Federal government towards the Elks building through the Single Room Occupancy Mod Rehab Program. Gordy Byrd, P.O. Box 930, reported on his fund raising activities this past year for his shelter for the homeless. He thanked KCAP, VFW, Bremerton Elks and Bremerton Yacht Club for their assistance, during this holiday season, to people with physical and mental handicaps. Bernie Forte, 807 Broadway delivered a yule tide greeting from he and his family through a Christmas poem written by Amanda Bradley. Ed Rollman, 626 Highland Avenue, stated he is considered disabled/retired from PSNS and believes he qualifies for the City's "special disabled/low income" rate for water. However, when he applied he was told he needed proof other than the physician's report that he submitted. He backed that document up with a Kitsap County Disabled Exempt Property Tax Statement, however, the Utility Department turned him down with the demand for more proof. He was TAPE #1160 City Council Reg. Mtg. Minutes December 22, 1993 Page 4 of 15 told that a Department Of Licensing Disabled Parking Permit would work, which he obtained in November and submitted to the Utility, which was rejected. He did receive a letter from the City Clerk along with an application to appeal the denial at a cost of $25.00. He pointed out a person on low income disability does not have an extra $25.00 to put out on something like an appeal, especially when he believes he is entitled to the low water rate. He felt strongly that the Utility was discriminating against someone on disability and that the City should follow its ordinance as adopted. President Fitz assured Mr. Rollman he would hear from someone from the City this next week. 7C - ORDINANCE (FIRST READING) CHANGING UTILITY RATES, CREATING A STORMWATER FUND, ANDAUTHORIZING GENERAL STORMWATER CHARGES, #AB93- 248 The need for an increase in utility rates has been presented to the City Council in study sessions, and to the public through a public hearing. The proposed Ordinance will increase water rates approximately 2% and wastewater rates approximately 30%. The Ordinance also creates a Stormwater Fund and authorizes a general stormwater rate. Rich Hanna, City Treasurer, made a brief statement about previous discussions on the proposed rate changes. He pointed out the two Ordinances in the Agenda Packet are identical with the exception of the Wastewater rates. The ordinances respectively incorporate what was presented as Option i and Option 2 on the Wastewater rates. Cal Leischman, 205 High Avenue: (1) City Council does not listen to the wishes of the people. (2) As a result of action taken by a previous Council citizens will have to pay abnormally high sewer and water rates. (3) Citizens are faced with 20-30% increases in property valuations, increases in income taxes...where does it end. (4) Elected officials are in their positions to serve the people, not for the people to serve them. (5) Most people in the City have wisdom and it would pay if the City Council paid attention to what they have to say. Vick Larson, ex-candidate for City Council: (1) According to his calculations, everyhousehold owes $2,133.33 just to cover the cost of the recently settled lawsuits. (2) City paid too much to the attorney who represented the City in the lawsuit settlement. (3) Taxes on utilities and sewer levy are pricing residents out of Bremerton. (4) If Council members don't listen to the people, they don't they can be fired or voted out of office. Jack Lefcoski, West KitsapLake: (1) What more do the citizens want the Council to do...the City is in debt and someone has to pay for TAPE #1160 City Council Reg. Mtg. Minutes December 22, 1993 Page 5 of 15 it. (2) Ten years ago the wrong sewer plant design was chosen and the City ended up with a "lemon". (3) To citizens...in stead of complaining come up with some recommendations for resolution of the financial problems. (4) Congressman Norm Dicks has been asked to seek out some federal grant funding, but there is no guarantee he'll find it, which is the City's best hope of outside funding. Roy McInnis, 2711 Maple Street: (1) Cautioned the City Council members, who will carry on into the new year and incoming Mayor, when making decisions that affect the wastewater treatment plant improvements to make sure they know what they are getting. (2) What will the citizens receive in return for their money? (3) How did CH2M Hill get out of having any liability over the odor control problem at the treatment plant? (4) Lawsuit over odor could have been avoided if the City had addressed complaints from the citizens that the treatment plant had an offensive odor just two years after it was built. (5) For 2 1/2 years the City argued against the citizens who filed a lawsuit that there was no odor problem. Rose Kerson: (1) She is confused over how the City calculates billing... she is using $46.50 worth of water and assessed $203.00 for sewer services. Is another 30% going to be added to what she is already paying? (2) Why doesn't the City sueCH2M Hill for the odor problem at the treatment plant. James Kerson: (1) Can the City sell Municipal Bonds to help pay for the debt? Mr. Hanna stated the City expects to finance the majority of the capital construction through the issuance of Municipal Bonds (Water/Sewer Revenue Bonds). President Fitz added the amount of funds raised through the increase rate would go toward the cost of service and debt service. Del Knauss, Olympic Avenue: (1) Challenged City Council's action of presenting an ordinance when two more public hearings were promised by President Fitz at the previous hearing. (2) Would like to see the Water Utility bill broken down to include meter fees, base charge for new sewer fee, etc. (3) Even though there is Option 1 and Option 2, the bottom line dollar amount is the same amount of money. (4) At the previous hearing, the Consultant's handout was broken down bi-monthly and what is proposed at this meeting is shown as monthly. (5) The highest current winter rates is what the residents should base paying in the summer (for the sewer part), not the proposed increase. Mr. Hanna responded that the City has a summer irrigation rate, which applies to only single family and duplex residential customers. The water is paid year around on the actual consumption as read through the water meter. It is not equitable to charge sewer fees for water that is being used to water gardens, lawns, etc. TAPE #1160 City Council Reg. Mtg. Minutes December 22, 1993 Page 6 of 15 Daniel Rickabauah, disabled veteran: (1) How will this increase affect people who are renting? (2) If rents go up due to increased utilities costs, more people may be found living on the street because they can't pay their utility bills. (3) Another $25.00 charge and he and his wife will be out living on the street. President Fitz suggested Mr. Rickabaugh apply for the low income/disabled utilities fee. Elizabeth Buell, High Avenue: (1) The increase won't have as adverse affect as people think. (2) Citizens can reduce their water consumption. Roy McInnis, 2711 Maple Street: (1) Concerned that the City stated, per Mr. Chu's response to questions previously asked, that the City has not identified any design flaw that could be contributed to the designer. Brian Mueller, 1541 Park Avenue: (1) From previous testimony at the earlier hearing, it appears designs for odor control existed in the original plan and if so, maybe there wouldn't be the need for another consultant. (2) If the Council hasn't already made up their minds on the rate increase, what have they done since the last meeting to find out if there another way to avoid the proposed increase. (3) At the previous hearing, he asked that the City to request the State Attorney General do an audit on the funds spent and designs of the wastewater treatment plant and questioned if anyone contacted the State? (4) Has the City Council done anything to help the citizens? Ruth Reese: (1) Who made the decision to accept the settlement of the lawsuit? President Fitz provided a response on the sequence of events up to the point of settlement. (2) City Council needs to be more receptive the citizen concerns and comments. Councilman Collins and Councilman Hotton re-emphasized the position the City is in due to environmental regulations along with the cost of the settlement of the lawsuit. The City is tired of being required to make sewer improvements when portions of METRO in Seattle that are still not hooked up to secondary sewer treatment. It makes one wonder why Bremerton is being hit upon by a group of environmentalist and the federal government to do more and burden the local taxpayers. Until all the people in Bremerton and across the country stand up and say "enough is enough, we aren't going to take the mandates any more until some sanity is put into environmental regulations so that we, the people who pay the bills, can afford them without putting us out of our homes". Generally, the State and Federal government have a lot of ways to make local governments pay even more when someone goes against what they want. In 1994 the Clean Water Act will come before Congress TAPE #1160 City Council Reg. Mtg. Minutes December 22, 1993 Page 7 of 15 and unless the citizens voice their concerns to their Congressional Representatives it is very likely that more mandates will come about. Mr. Johnson stated he was on the City Council at the time the new sewer plant was built and at that time the City did not have a choice due to the moratorium placed on future development. At the time he took office, the plant had already been designed and was ready to go to bid for construction. The designer was a very reputable firm and the Council found no reason to question their ability. He keeps hearing how someone cut out the "odor control" system out of the original design. He does not recall any change order that removed an odor control system. They did delete some gold plating off the plant and cut back some things in the burning of methane. The plant was designed with early 1970's technology and the concern of the citizens at that time was rates, rates, and rates. The City Council does not want to raise rates just to be raising additional funding. The sewer system and plant improvements, in most instances, are being mandated by the State and Federal government. If those mandates are not met by the City at the time they are due, the City could be facing large fines and additional lawsuits. Over the period of time when the lawsuit litigation was going on over the sewer plant odor, the City Council was repeatedly provided odor control abatement plans. That information should be made public now that the lawsuit is settled. In the next few months the State Legislature will be working on legislation that addresses air quality indoors for business and places that have over 20 people employed. Such legislation would required that heating and air cooling systems be certified, report that it is certified and retested in order to mitigate complains. about the environmental condition. Every year the City has fought off having to put a filtration system on the surface water coming from Casad Dam even though the Union River watershed is protected. TAPE #1161 Mrs. Horton stated it was her understanding the reason why the City didn't put in stormwater separation and had everything go through the sewer treatment plant was because at the time the plant was designed the Department Of Ecology said "design it this way do not separate because this is the best technology now". DOE does not grandfather things in and then 5-10 years later they give out mandates. A citizen questioned what would be done with the water once it is separated from flowing into the treatment plant? Mr. Chu stated for clarification the City would not be doing total separation. Total separation would be too costly to upgrade the entire City. The CSO project will take care of most of the stormwater separation TAPE #1161 City Council Reg. Mtg. Minutes December 22, 1993 Page 8 of 15 where it is most appropriate and then provide in-line storage or outside storage so that the City would not experience more than one overflow per year. The separated stormwater will be going directly to the sound 99% of the time. Once a Stormwater Utility is developed, the City will be asking businesses or property owners with large impervious paved areas to provide some kind of water storage and or treatment facility on site, which would be part of an incentive program. Mr. Johnson expressed concern that Mr. Chu was belittling the amount of stormwater separation. After many discussions with consultants over stormwater separation projects, it is a major project costing millions of dollars. Mr. Chu pointed out when looking over 350 miles of pipeline in the City, he did not want to give the impressions that stormwater separation will be carried out throughout the City. Mr. Collins noted the stormwater will not be just dumped into the sound but would require some monitoring. Mr. Chu explained the Utility is monitoring for quantity and doing a typical sampling to report to the State Department OF Ecology what impact those out-falls are having on the sound. Not every discharge point is being sampled for quality. Mr. Overson pointed out other Utilities have used the ULID process for payment, but it is his opinion when reviewing this city's make up of the numbers of rentals and process of establishing a ULID it would probably be more expensive and disruptive than handling it the way Mr. Gould has proposed. Jack Lefcoski, West Kitsap Lake: (1) The City should require that owners of large paved areas with excessive run off put in holding tanks, forget incentive program. Mrs. Horton stated for clarification that currently under "new development" there is a requirement for catch basins. Mr. Chu was referencing properties/developments that already exist. Mr. Montgomery, 605 Cambrian: (1) Department Of Ecology mandates that existing commercial buildings must store and treat stormwater runoff before it flows into the storm sewer line. Mrs. Buell, High Avenue: (1) What about all the cars leaking oil on City streets and where they park? Mrs. Horton urged Mrs. Buell to contact the water quality section of the City Utility to report such conditions. Mrs. Horton stated she was aware Mr. Gould was not tasked to look at anything but a rate structure, but questioned if he was familiar with the method by which the Annapolis Sewer Treatment plant was financed. Mr. Gould stated no. Mrs. Horton asked if he had an opinion how the City might fare over the long haul if an assessment method or a combination of assessment and rates for the City's needs. Mr. Gould stated from a. consumer's prospective he would be TAPE #1161 City Council Reg. Mtg. Minutes December 22, 1993 Page 9 of 15 indifferent. To a certain degree the comments made earlier indicating the trade off of one form of debt for another form. He doubted that a ULID was feasible for what the City is proposing. The only advantage he saw in the tax assessment process was there would not be a problem covering debt service. The use of a General Obligation Bond is a possibility, however, he was not aware of Council's councilmanic authority to issue a GO Bond without the authority of the people. Mr. Johnson asked where in the ordinance did it address summer rates and where could he find the rules on who is eligible for the low income/senior/disabled exemption? Mr. Hanna explained the summer irrigation rate and the low income/senior low income/disabled rate are contained in a different section of Title 15 of the Bremerton Municipal Code. The draft ordinances address only one subset of BMC Title 15 that restricts itself to just rates. The BMC makes reference to a body of State law, RCW Title 74, which relates to a number of State administered social/welfare programs and therein is a very detailed set of instructions. If anyone has concerns or questions about qualifying for that exemption, calls can be directed to the City treasurer's office or the Utility Customer Service personnel. The City has tried to avoid duplicating a complex administrative process that already exists at the State level. Mr. Colvin questioned the need for a $25.00 fee for an appeal? Mr. Hanna explained there is an application fee to file an appeal, which is refunded if the appellant prevails. Such a fee is not to discourage legitimate appeals, but rather to discourage frivolous appeals of issues. Mr. Colvin questioned if people are told that the $25.00 fee will be refunded if they prevail in their appeal? Mr. Hanna stated he believes that information is included in a packet of information that describes the process. Mr. Johnson questioned what the $5.00 charge for administration actually covered? Mr. Hanna stated he believed the charge Mr. Johnson referenced is described in the ordinance as a "duplicate bill" fee. Under Washington law municipal utility bills attach to the property. Mr. Johnson stated he was not talking about a duplicate bill, but rather when there is a change in tenant...the landlord calls the Utility and requests a change. Kathleen McCluskey, City Clerk, stated there is a $5.00 fee for that service. #0772 M/S/C(Overson/Collins) to approve Ordinance, on first reading, applying the Wastewater Rate Option 1 increasing the basic fee to $6.00 bi-monthly. (Ordinance Titled Storm-1) Mrs. Horton stated she will vote no on this proposal because she believes the City needs to send a message to the Legislators and Congressmen saying we aren't going to pay for mandates any more so TAPE #1161 City Council Reg. Mtg. Minutes December 22, 1993 Page 10 of 15 stop shoving it down our throats. Mr. Neville stated he would vote no on the motion because he preferred Option 2 because it would give the consumer who conserves water a better price break and Option 1. Vote on motion: In Favor: Collins, Dawkins, Colvin, Johnson, Overson, Fitz Opposed: Horton, Neville Motion carried. 6A - INTERGOVERNMENTAL AGREEMENT TO PURCHASE ONE 6300/TRB50C JD TRACTOR WITH TIGER MOWER, CAB93-242 The Street Department requests approval for the City of Bremerton to enter into an intergovernmental agreement with Thurston County, Washington, for the purchase of one (1) John Deere Tractor with Tiger mower. Equipment Rental has adequate funds available for purchase of this equipment. It will replace the existing 10 year ole Tiger mower. Ken Brees, Public Works Operations Manager, provided staff input. President Fitz asked the City Treasurer to explain how the Equipment Rental Reserve Fund works for the benefit of the public. Rich Hanna, City Treasurer, outlined the intent and purpose of that fund. Mr. Neville questioned if other attachments were available, other than the mover, that would add to the versatility of the tractor? Mr. Brees stated the only attachment that his department would use would be a brush trimmer, however the Parks Department already has that piece of equipment. Mr. Neville questioned if the tractor had air conditioning? Mr. Brees stated yes, the windows must be closed at all times due to the nature of work it does. Mr. Overson pointed out this item was before both Council committees and discussed thoroughly by committee members. Roy McInnis, 2711 Maple Street, questioned why would there be a debate at the time the Council committee's reviewed this item if the funding for a replacement was already in place? Mr. Overson explained the process intended to take care of the proper use of the Equipment Rental Reserve Fund to purchase such equipment. However, the City Council must budget those funds a year in advance and must review the contract and proposed procurement to insure that it fits into the needs of the City, followed by a vote of the Council approving the contract to purchase. Mr. Johnson noted during Council committee reviews they also ask if the particular #1249 TAPE #1161 City Council Reg. Mtg. Minutes December 22, 1993 Page 11 of 15 item can be purchased in Bremerton, which in this case is not possible because there is no one that provides that type of equipment locally. Jack Lefcoski, West Kitsap Lake, stated he felt $47,000 was a very high price for a mid sized tractor and questioned if the City went out for at least three bids? Mr. Brees stated no, and Mr. Lefcoski was correct that it is a mid sized tractor with a mower attachment. By coming off the Thurston County's bid the requirement for three bids had already taken place when Thurston County went out for bid to get the lowest price. Using this process saves the City time and money. This action is similar to the City purchasing other vehicles off the State Bid List. M/S/C(Horton/Neville) to surplus the existing 1983 tractor w/mower and authorize the Mayor to enter into an intergovernmental agreement betweens the City of Bremerton and Thurston County for the purchase of one John Deere Tractor w/Tiger mower. Vote on motion: In Favor: Overson, Neville, Horton, Fitz, Collins, Dawkins, Johnson Abstain: Colvin Motion carried. 6B - INTERGOVERNMENTAL AGREEMENT TO PURCHASE ONE JD4100D BACKHOE/LOADER WITH OPTIONS, #AB93-243 The Street Department requests approval for the City of Bremerton to enter into an intergovernmental agreement with Lewis County, Washington, for the purchase of one (1) JD4100d Backhoe/Loader with options. Equipment Rental has adequate funds available for purchase of this equipment. It will replace the JD510 Backhoe which is being purchased by the Water Utility from the Street Department as of 01/01/94. Ken Brees, Public Works Operations Manger, provided staff input. Public comment - none. #1332 M/S/C/U (Johnson/Colvin) to authorize the Mayor to enter into an intergovernmental agreement between the City of Bremerton and Lewis County for the purchase of one JD410D Backhoe/Loader with options. 6E -AMENDING CONTRACT FOR CONFIDENTIAL EXECUTIVE SECRETARY, LEGAL ASSISTANT, AND BENEFIT SPECIALIST, #AB93-246 There are five confidential employees not represented by a TAPE #1161 City Council Reg. Mtg. Minutes December 22, 1993 Page 12 of 15 bargaining unit nor included in the Management Compensation Plan. The Payroll Specialist received Counsel approval for the payment in lieu of medical coverage provided for in the Management Compensation Plan. The Legislative Assistant is similarly being provided this benefit in her 1994 contract amendments. The remaining three employees have requested this benefit be added to their contracts. Proposed contract language is attached. Riah Hanna, City Treasurer, explained the cost savings to the City by using this process. The employee must provide proof of the other health insurance coverage and the cash incentive that is offered to the employee is less than the health insurance premiums the City would provide. President Fits questioned the cost of KPS premiums for one month? Mr. Hanna explained there are different plans under the KPS programs, however, using his own coverage as an examples the monthly premium amounts to $125, his spouse is approximately $145.00 and his child is $55.40, amounting to approximately $300.00 in premiums. If circumstances were such that he had an alternative source of health care, the current level of benefits would provide him a cash payment of $80.00 per month should he not elect the City's employee health insurance. Mr. Overson stated the words look good but questioned if the City was responsible for this individual having medical coverage? David Apodaca, Acting City Attorney, stated no, the City would not be liable in essence with the employee taking the option to accept the payment of $80.00 per month in lieu of insurance. He emphasized everyone wants to be insured and the only reason they would be taking this option would be if their spouse was employed and had adequate insurance to cover their family. Mr. Overson questioned what if the level of coverage is less under the spouses insurance plan than what the City would provide? Mr. Apodaca stated he believed if a City employee waived their right to be insured and accepting the option of payment in cash, the City would not be liable. David Boynton, 1747 N. Callow, questioned if the situation occurred where the City employee chose the new option and then their spouse lost their option to have medical coverage for the City employee, would the City employee be allowed to rejoin the City's plan at the end of each month, on an annual basis, quarterly basis, etc? Kathleen McCluskey, City Clerk, explained the retired Police and Fire Officers are allowed to rejoin the KPS plan without any waiting period (at the beginning of the month). For other City employees, she had not addressed that point with KPS, however, she will check out that point prior to second reading of the ordinance. This option is already in place for City managers with many of them #1702 #1851 TAPE #1161 City Council Reg. Mtg. Minutes December 22, 1993 Page 13 of 15 electing the option, and a number of them have come back onto the City's plan as well. President Fitz pointed out this item was not amending an ordinance but amending a contract. M/S/C/U(Collins/Overson) to table this item until the language is made appropriate. 7A - ORDINANCE NO. 4440 (SECOND READING) AMENDING THE DEFINITION OF "STREET" IN THE ZONING ORDINANCE, AND MODIFYING THE REOUIREMENTS FOR THE PUBLIC DEDICATION OF STREETS, #AB93-239 Councilmen Horton and Johnson stepped down from hearing this issue due to their being absent a previous hearings. Let the record not that they remained seated on the dias during the discussion on this issue. Public comment - none. M/S/C(Dawkins/Colvin) to pass Ordinance No. 4440 on second reading amending the definition of "street" in the Zoning ordinance, and modifying the conditions under which a street must be publicly dedicated, and amending Sections 21.02.050 and 21.02.500 of the Bremerton Municipal Code. Vote on motion: In Favor: Overson, Neville, Fitz, Dawkins, Colvin Opposed: Collins Present: Horton, Johnson Motion carried. 7B - ORDINANCE (FIRST READING) AMENDING THE 1993 BUDGET, #AB93-247 Actions taken by the City since passage of the 1993 budget require certain corrections in order that the budget continues to accurately reflect the financial operating plan of the City. Rich Hanna, City Treasurer, pointed out Council was being asked to approve Budget Adjustment #24 (510 Equipment Rental Fund to 451 Wastewater/Interfund Loan $1,000,000 required by the lawsuit settlement agreement); 25 (110 Police Special Project $3,000 - purchase of a copy machine); 26 (Executive - category change $1,500 - purchase copy machine); 27 (110 Police Special Project'S44,000 - increases scope of financial operations for D.A.R.E. Program and Narcotics Enforcement Unit); 28 (Engineering - category change - $20,000 from Salaries to Professional Services necessitated by contract with R.W. Beck), as reflected in the Council's Agenda packet. He noted all proceeding budget adjustments have already been incorporated into the budget with passage of two proceeding amending ordinances. TAPE #1161 City Council Reg. Mtg. Minutes DeceEber 22, 1993 Page 14 of 15 #2071 Mr. Overson stated during the 1994 budget review it was noted that the Fire Department is over expended in their 1993 budget. It was his understanding that a Budget Adjustment would be forthcoming to adjust that department's budget, however, he did not see one included with what was being presented. Mr. Hanna stated there was nothing forthcoming from the Department. He emphasized the Fire Department is not over expended in budget at the moment, however, Mr. Overson's point was well taken and is accurate. There were certain mitigating circumstances in the Fire Department that led to that condition. Mr. Overson stated his biggest concerns are: (1) has the amount of over expenditure been determined, (2) will it have to be absorbed by end of year. Mr. Hanna stated the Fire Department does expect to have an overrun in their current appropriation. Public comment - none. M/S/C/U(Johnson/Colvin) to approve Ordinance, on first reading, amending Ordinance No. 4433 relating to the budget of the City of Bremerton for Fiscal Year 1993. 7D - RESOLUTION NO. 2451, AMENDING VALUE OF SURPLUS UTILITY PROPERTY (MEADOW DALE WELL SITE), #AB93-249 This property was surplused to utility needs in 1985 with the Council requiring sealed bids not less than $135,000.00, the appraised value. The property has not attracted offers approaching this sum and was reappraised at $80,000.00 in early 1992. The proposed resolution is required for sale of surplus utility land and sets the purchase price for sealed bids at $80,000.00. Kathleen McCluskev explained when this property was first appraised, the City went out for bid a couple of time and received no offers. The City also marketed the site through a Real Estate agent, which produced no offers. The site was reappraised at a significantly lower value than the first appraisal, which has to do with the way the land is configured and potential uses. The site is configured with a well in the center of property, which would limit the number of units that could be built. There is one interested party, however, before negotiating a bid the City would like to see what the market would bear at the new appraised price. If no bids are received at that price, then she would look to negotiating a sale with the North Perry Water District. President Fitz questioned if the City was successful in the sale of the site at $80,000 what would happen to those funds? Mrs. McCluskey stated they would be go back to the Utility's capital fund. #2454 TAPE #1161 City Council Reg. Mtg. Minutes December 22, 1993 Page 15 of 15 Mr. Collins pointed out the North Perry Water District purchased the well, which is in the middle of the property, and some time ago had tried to purchase the subject site from the City. He questioned why has the City taken so long to dispose of this site by selling it to North Perry Water District at a negotiated price? Mrs. McCluskey stated up to this point the North Perry Water District has offered to purchase the site at a far lower price than the appraised value. The City Attorney recommended that prior to the City negotiating a sale for something substantially less than the appraised value, the City should see if there is another buyer at the current market price. If the City and North Perry Water District could negotiate a price at or close to the appraised value, she felt it would be a worthwhile effort. Mr. Collins stated it was his understanding that North Perry Water District wants to protect their water source the same as the City protects its water source. Mrs. McCluskey stated City has sold or traded property based on appraisals. Mr. Dawkins commented that from a real estate perspective the property could only support three building sites and doubted that anyone would purchase 2 1/2 acres at the higher price. Mrs. McCluskey noted it does not cost the City very much to put the site out for bid at the lower price and find out what the current market will bear. It had been suggested that the site be reappraised, however, upon checking she found it would be rather costly process. Mr. Dawkins added the acre on top is flat, however, there are a lot of ravens on the site and any building would have to be done in a way that it wouldn't erode properties below the site. Public comment - none. M/S/C(Horton/Dawkins) to approve Resolution No. 2451, amending the sale price of surplus utility property commonly knows as Meadow Dale Well site. Vote on motion: In Favor: Neville, Horton, Dawkins, Colvin, Johnson, Overson, Fitz Opposed: Collins With no further business meeting adjourned at 9:12 P.M. KATHLEEN L. McCLUSKEY, City Clerk EILEEN FITZ, Council President City of Bremerton KLM/EF/me cc: Normal Distribution File/Vault City of Bremerton KLM/EF/me cc: Normal Distribution File/Vault