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08-14-12 MinutesYELM CITY COUNCIL REGULAR MEETING TUESDAY, AUGUST 14, 2012 MINUTES 1. Mayor Harding called the meeting to order at 6:00 p.m. 2. Roll Call. Present: J.W. Foster, Joe Baker, Bob Isom, Mike McGowan, Tracey Wood, Ken Garmann and Russ Hendrickson. 3. Agenda Approval 12-49 MOTION BY KEN GARMANN APPROVING THE AGENDA AS PRESENTED. CARRIED. 4. Special Presentations - none scheduled 5. Public Comment - none appearing 6. Consent Agenda Minutes - Regular meeting July 24, 2012 & Study Session July 25, 2012. Payables - Checks #58536-#58658, Totaling $540,307.01. YCP, Car Show, John Thomson, Veterans of Foreign Wars, Saturday, September 1, 2012, #300. 12-50 MOTION BY BOB ISOM APPROVING THE CONSENT AGENDA AS PRESENTED. CARRIED. 7. Public Hearing - none scheduled 8. New Business - a. Interlocal Agreement (ILA) between the cities of Yelm, Olympia and Lacey for Implementing the Deschutes River Water Rights Mitigation Strategy - Phase III Shelly Badger stated that for several years, the cities of Yelm, Olympia and Lacey have worked together to develop collaborative mitigation strategies for the Deschutes River Basin associated with their applications for new water rights. These strategies include water rights acquisition, land acquisition and habitat restoration and are outlined in each city's mitigation plans as approved by the Washington Department of Ecology. Two phases of the work have been completed through interlocal agreements approved in 2007 and 2010. The purpose of this Interlocal Agreement (ILA) is to initiate Phase III work on the Deschutes River farm by completing 60% design for the habitat restoration projects identified in the cities' approved mitigation plans, hiring property and project management services, and construction of fencing. It also authorizes expenditures for survey, legal consultation, and retirement of the acquired water rights. The cities will equally divide the cost of work performed under the ILA, which is not to exceed$240,000. Yelm's share ($80,000) will be paid out of the Water Capital Improvement Fund (#431) from the water revenue bond proceeds. Further, the ILA confirms expenditures of the cities in excess of the amount budgeted under Phase II which do not exceed $10,500 (Yelm's share was 1/3). 12-51 MOTION BY MIKE MCGOWAN TO APPROVE THE DESCHUTES WATER RIGHTS MITIGATION STRATEGY -PHASE III AND AUTHORIZE MAYOR HARDING TO SIGN THE INTERLOCAL AGREEMENT BETWEEN THE CITIES OF YELM, OLYMPIA AND LACEY. CARRIED. Page 1 of 2 b. Purchase and Sale Agreement - City of Yelm and Reichel Hacienda's LLC Shelly Badger explained the City desires to obtain ownership of the parcel known as 205 and 207 Second Street SE, for future master planning and renewal of the Yelm City Park. Mayor Harding and staff have negotiated a Purchase and Sale Agreement with Reichel Hacienda's LLC for the purchase price of $150,000; $110,000 cash and $40,000 financed over 5 years at 4% interest. Fund 118- Park Fee -in -Lieu of fund has a current balance of $108,116.61 that will be used towards the cash payment and the fund closed. The balance of the cash payment and closing costs will come from Fund 104- Cumulative Reserve. The monthly payments for the financed portion of the Purchase Sale Agreement (PSA) will come from this fund. The PSA has been reviewed and approved by Brent Dille, the City's legal counsel and was signed by Jan Reichel on August 7, 2012. 12-52 MOTION BY BOB ISOM TO APPROVE THE REAL ESTATE PURCHASE AND SALE AGREEMENT BETWEEN THE CITY OF YELM AND REICHEL HACIENDA'S LLC FOR PROPERTY LOCATED AT 205 AND 207 SECOND STREET IN THE AMOUNT OF $150,000, WITH EXPENDITURES AUTHORIZED FROM FUND 118 -PARK FEE -IN -LIEU OF FUND AND FUND 104 -CUMULATIVE RESERVE. CARRIED. 9. Old Business - none scheduled 10. Mayor and Council Initiatives Councilmember Foster attended the Thurston County Solid Waste Advisory Committee (SWAC) where they discussed the plastic bag issue. Councilmember Foster learned very valuable information on the issue. Thurston County Solid Waste will hold a Community meeting August 22, 2012 at 6:00 pm at Gordon's Garden Center. Also attended the La Grande Dam Celebration and learned of the importance of the dam. Councilmember McGowan attended the Thurston County HOME Consortium planned retreat. It was a full agenda where some of the topics included funding sources and management. Mayor Harding discussed the Thurston County CDBG Entitlement Grant program and some of the ways it would affect Yelm. Mayor Harding will bring more information forward as it becomes available. 11. EXECUTIVE SESSION - none scheduled 12. Correspondence included - Olympia, Lacey, Tumwater Visitor & Convention Bureau, August 1, 2012 Nisqually Land Trust periodical, Summer 2012 Thurston County Solid Waste, Community Meeting schedule, August -September, issues related to plastic bag use. (Yelm at Grange Hall, August 22, 2012). Intercity Transit, newsletter, Volume 19, August 2012 Letter dated August 8, 2012 from Steve Klein RE: May 8, 2012 Executive Session 13. Adjourn 6:38 pm. I Attest: 2�v� � ing, Mayor , Depaiy Jchn,�o,, 64 &AA- Page 2 of 2