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HomeMy WebLinkAbout06/10/92TAPE #1031 UNAPPROVED DRAFT CITY COUNCIL MEETING MINUTES JUL #0032 #0053 Jl:~l'~ 10, 1992 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 10, 1992, at 5:30 p.m., with Council President Lynn Horton presiding. Council members present: Richard Neville, Eileen Fitz Hank Waibel, C. R. "Tiny"Collins, Morrie Dawkins, A1 Colvin and Russ Johnson. Councilman Lon Overson was absent. Also present were City Attorney Ian Sievers and City Clerk, Kathleen L. McCluskey. The meeting opened with the Pledge of Allegiance led by Council President Horton and Invocation given by Councilman A1 Colvin. CONSENT AGENUA A. Minutes Of Meeting - May 20, 1992, AB92-146 B. Minutes Of Meeting - May 27, 1992, AB92-147 M/S/C/U(Waibel/Fitz to approve 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) on June 10, 1992, the Council does approve for payment those vouchers included and further described as follows: 151246, 151247, 151248, 151249, 151267 through 151502 in the total amount of $578,401.42; and Regular Payroll for the period ending May 31, 1992, in the amount of $582,707.86. COUNCIL MEMBER REPORT8 Mr. Johnson stated he had been hearing some talk about future capital projects in various parts of the City and hoped at the time those projects were brought before Council's Fiscal and Budget Committee and Operations Committee they would be well planned. such planning should include having been reviewed by appropriate subordinate groups, i.e., Parks Commission, Planning Commission, etc., and have well thought out financing and construction packages. Richard Chrisinger, Commander VFW #0258 TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 2 of 16 Post 936, provided some historical data, for the past three years, relating to their paper recycling program that included: (1) saved 13,000 trees; (2) diverted approximately $31,000 on landfill and garbage costs. One problem this group is having is dumping of garbage in the paper collection containers and if such dumping is not stopped, they may have to cease their recycling efforts. Mr. Johnson commended the VFW group for doing such a good job. Mr. Colvin attended the Overwater Park Dedication on Saturday, June 6. He passed on to Council President Horton that people were pleased with her comments at that event. He pointed out many people volunteer to help out the City and he felt not enough recognition was given those individuals. He suggested setting aside a specific time each year to express "thanks" to all City volunteers. Mr. Colvin's sister-in-law, who is visiting from California, related to him that their city pays the garbage collection company to keep their City clean and provides a twice yearly opportunity for pickup of mattresses, refrigerators, etc. Payment of garbage services are collected through their tax collection system. Mr. Dawkins stated it was a "great day" for the dedication ceremonies on Saturday. Mr. Collins commended Mayor Mentor, Vicki Vanneman, Parks And Recreation Director and all other staff members who assisted in setting up the Dedication ceremony. He serves on the Committee For Reformation Of The County Government and announced that group held their second meeting on June 9. At that meeting, they met with consultants hired by the County to work with their Committee. He will provide update reports as they progress. His major concern at the present time is "parking" and he recently learned that the Bremerton Municipal Code states: "... that the creation, deletion or boundary changes of Residential Parking Permit areas may be initiated by the Parking Board or upon verified petition by at least 2/3 of the residents of a residential area". A "parking permit" process cannot be implemented for streets in his area that do not have houses facing on them and those are hit hard by commuter parkers. He emphasized in order to move ahead on this project, a Parking Board must take appropriate action and because the City's Parking Board was not active, this brought his parking action to a halt. He suggested using the City's Traffic Safety Committee as an interim board in order to proceed with his parking project. M/S/C(Collins/Waibel) to make the City's Traffic Safety Committee a duel hat, for a period of three months, as the TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 3 of 16 City's Parking Board in the interim until the Mayor can establish a new Parking Board. Mr. Colvin stated he did not have enough information on Mr. Collin's proposal or motion and would cast an abstention vote. Mayor Mentor stated there was a Parking Committee in the past and it has not been needed for a number of months. Since there appears to be a need, he would be willing to reconvene that Committee and recommend members to serve on it. Mr. Johnson pointed out the Parking Board was established by Ordinance and did not "go away". Mr. Waibel stated the Parking Ordinance was rewritten and as a result of that a new Parking Committee was established, but not implemented. Mayor Mentor assured Council he would put together such a committee to look at identifiable parking problems. Mr. Colvln questioned the length of time required for the Mayor to appoint such a committee? President Hotton stated there is a committee already confirmed by Council and she was aware some of those members did resign. Mayor Mentor explained that committee was pretty much disbanded and he would like to start afresh. Some members, who served on the previous committee, were there for specific purposes and may not be interested to continue serving at this time. He anticipated it would take 2-3 months to put that Committee together. Mr. Colvin questioned if the Mayor would like Council to do something in the meantime or would he prefer waiting until the new Committee is appointed? Mayor Mentor stated he didn't know that it was necessary to do anything and Council was welcome to talk with the Traffic Committee without having to implement a resolution or motion. Mr. Collins stated the particular issue is parking in a residential area and the configuration of the overall area. The City Attorney informed him that a Parking Committee was required in order to initiate such action. Mayor Mentor stated he saw no problem getting people together. He did want to review who serves on the Traffic Safety Committee. Mr. Waibel stated the question is are there current issues that need attention faster than a Parking Board could be established? He believed such issues do exist and would support the motion. Mayor Mentor stated there may be members on the Traffic Safety Committee who are not interested in solving problems in residential neighborhoods. If Council would like to give him the authority to make the Safety Committee dual hatted, then he could look into making that happen. Mr. Johnson stressed the other option was to appoint a Parking Board to handle the issues. Mayor Mentor stated if Councilman Collins had come to him earlier they could have worked toward a resolution. Mr. Collins stated he learned of this restriction just prior to the Council meeting. President Horton stated she believed the people who serve on the Traffic TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 4 of 16 Safety Committee have the expertise and interest to handle this issue. Vote on motion - unanimous. Mr. Neville urged citizens to pick up the current Parks and Recreation flyer that outlines summer activities. He pointed out the Parks Board is short two members and has been for several months. He urged Bremerton citizens to consider serving on this committee and if interested, they may pick up an application form at the Mayor's office. Mrs. Fits extended a "welcome" to a new business in Bremerton - Commissary Cash And Carry, wholesale foods at 335 N. Wycoff (former grocery supply store). This past weekend she found a 2-year old girl walking by herself on Sixth Street between Pennsylvania and High Avenue. She was able to reach the little girl before she crossed Sixth and High and then took her to a local business close to that area and called the Police. Through the assistance of people in the neighborhood, Mrs. Fitz was able to reunite the child with her family. She encouraged all parents to pleaseknow where their children are and to be sure and have some type of identification on small children in the event they wander away from home. Mr. Waibel echoed Mrs. Fitz comments and related he had a similar experience with a lost child on Perry Avenue. Today, he had the opportunity to accompany his daughter to Pt. Defience Zoo, along with three bus loads of First Graders. Following up on Mr. Johnson's comments about future capital projects, he met as a liaison with the Park Board, this date, and related progress was being made on the Golf Course Maintenance facility designs. Mrs. Horton stated school classes are fortunate to have parents who take an active roll. She hoped more parents would get involved as it is a rewarding experience for the children and parents. She participated in the Dedication ceremonies for the Overwater Park on Saturday, which was a very nice ceremony. The boardwalk is a lovely addition to Bremerton's waterfront and she commended the Mayor and Parks Department staff for doing an outstanding job of decorating and formal presentation. On Monday, June 8, the Kitsap Regional Planning Council completed the planning policy document with the population projections for the Kitsap County region. After some discussion and give-and-take, she felt some numbers were developed that everyone felt were appropriate. The goal is to prohibit sprawl and try to aggregate the new population into primarily urban areas so that better services can be provided TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 5 of 16 at more efficient costs; and to save the rural Kitsap area. The Policy Plan will be adopted by the Kitsap County Commissioners on Monday, June 29, Kitsap County Courthouse, which is a public hearing and the public will have the opportunity to make comment. PUBLIC RECOGNITION Mayor Mentor read the following Proclamation: 1. FLAG DAY - June 14, 1992. Mayor Mentor announced the actual Flag Day ceremony will be held June 12, 2:45 P.M., at the Overwater Park. Everyone is invited to this event. Mayor Mentor stated the boardwalk Dedication was an exciting day in Bremerton. He thanked everyone who planned and worked on this event. At the previous Council meeting he was remiss in not commenting on Memorial Day ceremonies. He commended all who organized and put on the ceremonies, especially Bob Sauter, Richard Chrisinger and John Eichmann. He announced the Washington State Parks Commission met in the City this past Friday. Parks Directors from all over the State attended that meeting. He attended an AARP dinner on Friday evening where they recognized many volunteers who help with retarded citizens in the Bremerton area. He also enjoyed the Lions Club Installation on Friday evening. Vicki Vanneman, Director of Parks and Recreation, thanked the members of the organizational committee for the dedication ceremonies for the Overwater Park. This event would not have come off as smoothly and as nicely as it did without an enormous amount of work from other people besides City staff. This group included representatives from the Chamber of Commerce - Jerry Reid, Beverly Wood, Betti Sheldon, all three Port of Bremerton Commissioners, Port of Bremerton staff, Turner Joy representatives - Carl Kramer/Earl Smith/Mike Schroeder/Steve Anderson, and most significantly, efforts from the Visitor and Convention Bureau staff and Bremerton Main Street staff. She also commended her Parks Department staff for extending themselves well beyond what they are normally asked to do. Little Britches Rodeo Court: Christie Dano, Little Britches Rodeo Queen, Prince Michelle Baker and Prince Stacy announced the 32nd Annual Little Britches Rodeo will be held at the Kitsap County Fairgrounds June 19-20-21. Each member of the Court told about planned events and invited everyone to the rodeo. TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 6 of 16 MelissaAnderson, Animal Control Officer, presented theAnimal Control "Pet-Of-The-Week", a 4-5 month old male, short haired, tiger stripped cat, who is available for adoption. Carl Kramer, Bremerton Historical Ships/Turner Joy Association, congratulated Mayor Mentor, City staff and City Council on the fine opening ceremonies for the dedication of the Overwater Park. He noted this is the beginning of the waterfront redevelopment, of which the Turner Joy is a part. It is hoped within a few short weeks they will have the opening of the Turner Joy. They have a promotion underway offering pre-sale of tickets for touring the Turner Joy - two for one book, which will be available only until August 1. This booklet contain 10 tickets, at a cost of $20.00. In addition, a membership card for an individual is included, which allows that individual to enter the Turner Joy any time during that year. Mr. Colvin questioned where people could obtain the books? Mr. Kramer stated several members of their organization have them available. Robert Ackerman, 3706 Arsenal Way, stated he was concerned over the use of fireworks. He related he had two fires on the roof of his home last year caused by fireworks and did not want to have a similar experience this year. He urged Council to ban the use of fireworks considering the fact that this area was very dry due to lack of rain. He had another concern that had to do with a street being improperly marked in the Charleston area. Mr. Collins explained on that particular street the yellow line did not line up the full length of the street. Mr. Johnson stated in reference to the fireworks issue, there is a state pre-emption on shooting off fireworks. President Hotton stated other cities have banned the use of fireworks. Mayor Mentor stated he received sample ordinance from cities in Washington, who have or are considering banning fireworks. He forwarded this information on to the City Attorney and Fire Chief and should have their comments in the near future. In regard to Mr. Ackerman's concern about the markings on a street, he will look into this matter. 6A - INFORMATION ITEM - OVERWATER PARK UPDATE REPORT,#AB92-148 Dave Baker, City Engineer, referenced Monthly Report NO. 8 of the Overwater Park project. The most significant work was the readying of the project for the June 6th Dedication ceremony. From all reports he has heard, there have been lots of positive comments about the project. In addition to the groups and individuals recognized for their assistance in the Dedication event, Mr. Baker wanted to acknowledge the construction efforts of Quigg Brothers. TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 7 of 16 Work this week has included placement of the concrete topping almost to the north end of the project. The foundation wall for the Gift Shop building is being poured and topping will be finished within a few days. Finishing the bollards, railing and connection of the gangplank to the Turner Joy is still work to be done. President Hotton questioned on Change Order NO. 2, Item 1A1 - "provide wood frame and deck infill between edge of boardwalk and theWheel House Tavern", since the boardwalk would benefit that commercial establishment, is there the possibility that $2,000 would be paid for by that business? Mr. Baker stated there is always the possibility. The presumption was that an existing door exited onto a walkway area and if some type of connection was not provided it would be the same as "taking a persons access to the right-of-way. Mr. Collins expressed concern over the proposal for installation of the gangway. He could not equate the identified cost ($29,800) for securing the gangway to the Turner Joy. Mr. Baker explained the gangway is in a reverse order of the way gangways are usually installed. The Turner Joy deck was not structurally built to accept the roller end of the gangway and the direction from the Turner Joy group was that the gangway would be pinned at ship end and it would roll on the dock end. There are changes to be made to the gangway itself, sandblasting, repainted, lights attached, gated, old planking removed and new planking installed. What is causing the significant change in cost is the inclusion of utilities to the Turner Joy. Initially, the utilities were not included out to the Turner Joy. Those utilities have been designed from the pump station out to the gangway and then attached to the ship. The other part of the utility expense is the fact that utilities need to be relocated and added to the gift shop building. Mr. Colvin questioned if the gangway was handicap accessible? Mr. Baker stated the gangway itself is just a gangway, but it needs to be placed in such a way that it is handicap accessible, both from a width point of view and slope point of view. Mr. Colvin raised the point of seeing any more changes. Mr. Baker stated he did not foresee any more changes, however, he could not say that there will not be any more changes. Mrs. Fitzquestioned if the City owned the gangway? Mr. Baker stated to his howledge the gangway is owned by Historic Ships. Mrs. Fits questioned if there was a reason Historic Ship group could not help fund hooking up the gangway? Mr. Baker stated he did not have an answer and that question would TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 8 of 16 have to be posed to the Historic Ships organization. Mrs. Fits stated "what about the gift shop"? Mr. Baker stated to his howledge the construction of the gift shop is to be paid for by Historic Ships, and tentatively they are to pay for the change order for the building of the gift shop foundation by Quigg Brothers. Mrs. Fitz questioned if Historic Ships would be responsible for the electricity and water to their gift shop? Mr. Baker stated they would pay for electrical power, but would not be paying for bring those services to their building. Mrs. Fits questioned if at the beginning of the project were those items to be furnished for Historical Ships listed? Mr. Baker stated no, they were not part of the original contract. Mr. Walbel stated there are a number of entities involved in this process, Port of Bremerton, Historic Ships, Turner Joy Association, etc., and the City is doing things to benefits those groups, however, he believed it was the City's intent to get some sort of remuneration in the future. He questioned if there was a process in place to make sure that happens. Ian Sievers, City Attorney, stated the City did have an agreement with Historic Ships and did contribute seed money to their venture. He would have to review documentation to see if the City is unilaterally changing the terms of what the City expected from that original agreement, certainly with the contribution of $195,000 falling through. Maybe something can be negotiated for reimbursement in the future. Mr. Waibel stated he believed "now" was the time to do that before all the work is completed. President Hotton stated she was not sure Council knows what the EDA Grant stipulated the City to provide to the Turner Joy as part of that grant. Mr. Waibel expressed concern that there are still lots of questions needing to be resolved before the City goes forward with payments in those areas. Mr. Baker stated the Port Of Bremerton has agreed to pay for those change order items that are above and beyond what the City would have normally done. President Horton requested the City Attorney look into the City's responsibility. Mr. Johnson stated he was not sure the City was not crossing the threshold of "gifting" of city properties to private businesses and organizations. He strongly supports the Turner Joy project, however, he felt it was getting out-of-hand. He is greatly concerned over the loss of nearly $200,000 plus the City being required to come up with another $70,000 to provide services to the Turner Joy. He felt it was up to the Mayor and Project Manger to negotiate with the Turner Joy group a long term arrangement so that the City receives some kind of remuneration. President Horton stated the terms of the EDA grant may have been that included in the $890,000 was the gangway hook up and/or utilities. TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 9 of 16 That could have been written in and becomes the City's responsibility in accepting the EDA grant. Mr. Johnson stated he did not see why it was the City's responsibility when that group "coped out" on $200,000. President Horton stated she believed those funds needed to be addressed at some point in time. 7A - AMEND PORTICO CONTRACT TO INCLUDE EXTENDED PROJECT TIME, GANGWAY RENOVATION AND UTILITY LOCATION, #AB92-149 The contract with Portico Group was based on hourly rates for a project on which construction was to have been completed by May 5, 1992. Due to the extended time required for change orders No. 1 and No. 2 as well as the time lost due to the Corps Of Engineers work stoppage, Portico's services will be required for an extended time. To pay for the extended time requires an amendment to the present contract. The estimated increase is $51,673.00. Dave Baker, City Engineering, referenced his memo of June 4, 1992, listing the changes to Portico's contract (as listed above). President Hotton stated at the time Council approved the budget adjustment of $673,000, one of the items listed was Change Order 10 for utility changes for $20,000, which is in the update report. Now, there is another item addressing $20,000 construction fee for Turner Joy gangway and utilities. She questioned is there a construction fee of $20,000 for utilities from Quigg and $20,000 for utility design for Portico? If so, why wasn't $40,000 included in the original budget adjustment for utility changes instead of $20,000? Mr. Hanna stated when that budget adjustment was prepared in March, Mr. Baker and he collaborated on that and their attempt was to identify all of the contingencies or change orders "in the pipeline" and those that were described in the memo attached to the budget adjustment were exactly that...their best attempt to identify everything they knew would be coming. From his own standpoint, he was not aware of any changes to this contract that were identifiable at that point in time. The change order listed, at that time, pertained to Quigg Brothers, not Portico's contract. President Hotton emphasized in the current document it says there was project authorization signed by Mayor Mentor on October 28, 1991, which would include it in the "pipeline". Mr. Hanna stated everything known to him was included in the earlier budget adjustment. President Hotton stated now, a statement popped up indicating that at the time of the large budget adjustment of March 5, Council should have known about this second $20,000, which Council did not know. She asked the following TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 10 of 16 question: "what else, if anything, is out there that we don't know about that we've signed letters five months ago indicating there is something else we need to do that just has not risen to the surface yet?" Mr. Hanna stated he could only speak for himself and to reiterate that everything he was aware of at the time of that budget adjustment was included in the memo attached to the budget adjustment request. That included Change Orders No. 4, 5, 9, 10 and 11, totaling a net amount of $64,623.00. President Hotton pointed out the October 28 letter was signed by Mayor Mentor and requested he provided her with a copy. Mr. Baker pointed out there was no "letter", rather a "Project Authorization Client/Owner & The Portico Group" form, dated October 28, 1991. Mr. Johnson questioned if the $20,000 identified in the Agenda Bill had anything to do with the $67,000 in Monthly Report NO. 8 or should that total be $90,0007 Mr. Baker explained the amount would be $90,000...$60,000 contract change for Quigg Brothers, and $20,112 for engineering services by Portico and Art Anderson and Associates. President Hotton referenced a recap sheet handed out by the City Treasurer and stated when Council balanced the fund on March 5, 1992, everything was identified as to what was spent on the project, plus the $195,000 from Turner Joy. Also identified was $64,000 in change orders, as shown in Report #8, plus an extra $60,000; additionally, there was a $100,000 contingency which brought the contingency balance to $164,000. Sales tax on Portico's contract ($2,000) was credited back to the City. On the negative side is the FishPro contract authorizing them to spend $17,000. Yet to be determined is $51,000 to complete the $68,000 contract for FishPro plus Change Order #2 for $127,000, with $29,000 to be rebated back from the Port of Bremerton and Turner Joy. That leaves a residual balance of $20,000, however, the remaining FishPro contract has to be dealt with ($58,000). If every last nickel was spent at this time the City would have a shortfall of $38,000. Mr. Hanna stated President Horton was correct and as was also discussed the administrative staff felt then and now that there was a reasonable contingency account for the boardwalk construction, but the budget as amended shortly after March 5 did not allocate any funding for the mitigation project to include FishPro. This was also discussed at the time the City entered into the contract with FishPro. There was some budgetarycapacity and funds available on a temporary basis in order to move forward to lift the Stop Work Order. It was never contemplated that it was within the City's budgetary ability in the project fund to take on any of the mitigation project, including FishPro work. President Hotton TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 11 of 16 emphasized what has not been dealt with is the FishPro contract or any of the mitigation. For the short term the FishPro contract is what the City has committed to but do not have funding source identified. Mr. Manna stated if nothing further changes, the City would be able to meet current contractual obligations to FishPro and still have a verysmall amount of money left over. Neither he nor Mr. Baker could assure that nothing else would come up that would change that scenario. Mayor Mentor stated for clarification, there was a disagreement with all the different entities about the gangway from the end of the boardwalk to the Turner Joy. He felt expertise was available to accomplish this task. He pointed out the following wording on the Project Authorization form: "This additional work is subject to review of prior contract responsibilities". At that time, all of the entities agreed the project had to move forward and the City Attorney would look into whether there was something in the contract specifically pointing out who was responsible to see the gangway was installed. He did not feel it was the City's responsibility but no one could show him anything different. Mr. Johnson questioned in seven months what is the answer? Mayor Mentor stated he had not received any information back from the City Attorney. Mr. Sievers stated he had not received a request to review that part of the contract, however, he would make a review. President Hotton questioned what was the City's legal obligation to the Project Authorization form signed by the Mayor dated October 28, 19917 Mr. Sievers stated it is a standard formused by Portico Group and has an authorized representative. The Mayor would find his authorization in the Purchasing Ordinances of the City, including provisions for Change Orders and he felt that was how the Mayor's level of authorization would be tested. Mr. Collins stated he felt the caveat, as identified by Mayor Mentor, put the issue into prospective..."work subject to review of prior contract responsibilities". Mr. Waibel stated if Council took action on this item at this time, the City is accepting the responsibility. Mr. Sievers stated this request would be an approval to pay the item subject to reserving the City's rights under the contract and not considered a waiver of those rights. Mr. Waibel stated the City has had plenty of time to sort out this question and by approving this request Council would be accepting responsibility. Mr. Sievers stated Council needs to make the statement of approval. President Horton questioned if the authorization signed by the Mayor in October binding? Mr. Sievers stated he would have to look at the amounts and he had not previously reviewed the Authorization form. President Morton questioned if the Mayor TAPE #1031 City Council Reg. Mtg. Minutes June 10, 1992 Page 12 of 16 has fiscal authorization to sign a contract over and above $10,000. Mr. Sievers states yes, it would be a percentage of the project or a cap, however, there are also some provisions on accumulative change orders that may present a problem. Mr. Waibel stated he recalled the accumulative change order amount was $30,000 or a specific percentage. He believed the accumulative amount on this issue went over that percentage authorization. Mr. Johnson suggested tabling this item one week until Council received some answers. Mr. Sievers agreed that a week's delay would be advisable as the City needed to preserve its rights and he would review the contract to determine the responsible parties. Mr. Colvinquestioned the impact of delaying this item for one week? Mr. Baker stated the impact on this project is the contract with Portico would not be amended. Portico submitted their original proposal assuming a 9-month contract. Obviously, the contract is going over 9-months therefore, Portico could refuse to provide any further services to the City until additional payment is made. There are some authorizations of materials and needed information from the engineer and architect that would either be slowed down or the not provided at all. President Horton questioned what would happen if the Portico contract was amended for everything excluding the $20,000 in question? Mr. Baker stated the impact would be the City could not pay them $20,000. President Hotton stressed the City was showing good faith in paying them for their costs, however, there still was some question over the utilities and gangway portion. TAPE #1032 President Hotton questioned if Mr. Baker felt Portico would stop their portion of work until the disputed $20,000 was resolved? Mr. Baker stated he could not speak for Portico. #0053 M/S/C/U(Waibel/Colvin) to table this item for one week. 7B - BUDGET ADJUSTMENT REOUEST TO FUND MUNICIPAL SERVICES COORDINATOR POSITION FOR SECOND HALF OF 1992, #AB92-150 The Municipal Services Coordinator position was funded for one half year. This adjustment will provide funding and position authorization for the second half of 1992. Mayor Mentor explained the Municipal Services Coordinator is at the mid point of several annexations and more are lined up in the future. He urged Council to approve this proposal in order to keep those projects moving forward. Mr. Johnson stated Fiscal and Budget Committee reviewed this #0170 #0215 TAPE #1032 City Council Reg. Mtg. Minutes June 10, 1922 Pagel3 of 16 proposal and were impressed with the Municipal Services Coordinator's work, the results the City is receiving and agreed the position should be continued the remainder of the year. He noted since the Mayor's budget contained adequate funding from the unfilled Grants Writer position, there would not be a need for increasing budget authority. Mr. Waibel pointed out utilization of those funds would then preclude hiring a Grants Writer without further budget adjustment. President Hotton stated no, the requested funding was for a six month period and the Grants Writer position has been unfilled since early 1992. Public comment - none. M/S/C(Johnson/Colvin) to approve Budget Adjustment Request for $20,200 to provide funding and position authorization for the second half of 1992, with no increase in budget authority. Vote on motion: In Favor: Neville, Fitz, Horton, Collins, Dawkins, Colvin, Johnson Abstain: Waibel Mayor Mentor thanked Council for approving this item, which will give reassurance to the Municipal Services Coordinator that she is doing a "good" job. Mr. Johnson added: "she is doing a super job". 7C - LEASE EXTENSION - FLEET MAINTENANCE FACILITY, 5217 18T STREET, #AB92-151 The City has leased the facility at 5217 1st Street since 1988 to house Fleet Maintenance operations. Upon completion of that portion of the Public Works Complex, the lease will be canceled. The current lease expires April 30, 1992. The requested extension is for one year and includes a 120 day termination clause. Monthly lease payment is$1,925.57, including property tax and insurance. The monthly lease includes a $24.00 increase per month for taxes and insurance. Council member Eileen Fitz stepped down from this issue due to a conflict of interest. Public comment - none. M/S/C/U(Waibel/Dawkins) to approve a one year extension of lease with Fox Brothers Warehouse for facility located at 5217 1st Street, Bremerton, in the amount of $1,925.57 per month. Council member Ellsen Fitz returned to Council Chambers. #0324 TAPE #1032 City Council Reg. Mtg. Minutes June 10, 1922 Pagel4 of 16 7D - AMENDMENT TO FLEET MAINTENANCE CONTRACT, #AB92-152 Section 4.08(a) of the City's Fleet Maintenance contract provides for an annual budget figure to be negotiated. The contractor and staff have reviewed the results of the prior year and agreed on the figures presented. During the negotiating process, it was also tentatively agreed to add accident damage to the list of exclusions for determining the contractor's cost incentive as described in Section 4.07. Rioh Hanna, City Treasurer, stated the initial period of this five year contract has expired and the administration chose to delay the appearing of this Agenda Bill until after Council's Study Session where the broader context of this contract was discussed. A breakdown of costs for the two year period was included in the supportive documentation. The cost of the contract was kept to less than the change in CPI due to two things: (1) accidents damage is no longer included in the budgeted target figures; (2) contractor has been very successful in minimizing the cost experienced in repairing the City's fleet. Mr. Colvin questioned if the contract was for a one year period? Mr. Hanna explained the existing contract runs for a five year period and the proposed budget target figures are for year "2" of the five year contract. The process of renegotiating the dollar figures is an annual process within the context of that longer contract. Public comment - none. M/S/C/U(Dawkins/Colvin) to authorize the Mayor to sign the proposed contract amendment. 7E - LEASE FOR COMMERCIAL SPACE - FOURTH STREET BUILDING, #AB92-153 This is a lease for three offices in the Fourth Street Building. The term is potentially three years (2 years, plus one year option); rent is at market rates. The form is proposed as a standard lease for the commercial space available in this building. Kathleen MoCluskey, City Clerk, explained the lease form has been prepared by the City Attorney along with assistance from Bradley Scott, a Property Management company. Bradley Scott also assisted the City in determining current market rates. It is the administration's intent to use the proposed lease form for future leases. #0525 TAPE #1032 City Council Reg. Mtg. Minutes June 10, 1922 Pagel5 of 16 Parking is being leased separately from office space so that the tenant has the choice of parking behind the 4th Street building or at another location. President Hortonquestioned how the City was doing on a "break even" for this building before and after this lease, excluding debt service? Ms. McCluskey stated without debt service they were doing fine -the cost of maintaining the building versus rents is on a paying basis. When debt service is added in, they have not reached the point of "break even. President Horton stated if we come to the point where increased income brings it to the break even point, she preferred those funds did not get used up in the General Fund but used to meet obligations to that building. Mr. Colvinquestioned if Council should firm up Council's position on that point? President Horton stated after Ms. McCluskey provides some updated information Council could decide if that was needed. Mr. Johnson questioned why did the City want to give the first two months of rent "free"? Ms. McCluskey stated the City is attempting to market the building, which is not easy, and that type of incentive is used as a point of negotiations in order to attract prospective tenants. Currently, there are lots of empty buildings in Bremerton so it takes come compromising to get new tenants. Giving the tenants two months free rent gives them the opportunity to pay their up front costs of moving and an incentive giving them working capital for that business. The market rate of the lease over the two year period is within market range. Mr. Johnson questioned if it was legal for the City to give away 2-months rent? Mr. Sievers stated yes, if the tenant is obligated for a period of lease, giving the City a cause of action to collect for breach of lease. The important factor is whether the City is receiving fair market rent on the average over all the months of that lease. Mrs. Fits questioned what "adequate ventilation" meant under the proposed "tenant's work"? Ms. McCluskey stated one of the three tenants is a beauty parlor and it will be their responsibility to ventilate their space adequately. Public comment - none. M/S/C/U(Waibel/Johnson) to approve lease of office spaces 308, 309 and 310 to Tovi and Richard McMullan. 8A - ORDINANCE NO. 4376 (SECOND READING) APPROXIMATELY 16,14 ACRES KNOWN AS THE NATIONAL ANNEXATION AREA #1 MARION AVENUE AND FIXING THE ANNEXING HEIGHT8 DATE OF #0572 #0600 TAPE #1032 City Council Reg. Mtg. Minutes June 10, 1922 Page16 of 16 ANNEXATION, #AB92-144 Public comment - none. M/S/C/U(Collins/Waibe1) to pass Ordinance #4376, on second reading, annexing approximately 16.14 acres known as the National Heights Annexation Area #1 Marion Avenue which lies south Burwell Avenue along Marion Avenue meeting the City limits north of Arsenal Way into the jurisdictional boundaries of the City of Bremerton and fixing the effective date of annexation. 8B- ORDINANCE NO. 4377 (SECOND READING) ADOPTING RCW 46.61.517, WHICH ALLOWS THE FACT OF A PERSON,S REFUSAL TO SUBMIT TO AN ALCOHOL TEST AS EVIDENCE IN A 8UBSEOUENT DWI TRIAL AND ADOPTING A NEW SECTION TO CHAPTER 10.04 OF THE B.M.C. Public comment - none. M/S/C/U(Waibel/Dawkins) to pass Ordinance No. 4377, adopting RCW 46.61.517 which allows the fact of a person's refusal to submit to an alcohol test as evidence in a subsequent DWI trail and adopting a new section to Chapter 10.04 of the Bremerton Municipal Code. With no further business meeting adjourned at 7:38 p.m. KA~H~EENC~Mc~City Clerk ~ORTON, Council President City of Bremerton KLM/LH/me cc: Normal Distribution File/Vault