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10/13/1999 Minutes CITY OF YELM CITY COUNCIL MINUTES" OCTOBER 13, 1999,7:30 P.M. . YELM CITY HALL COUNCIL CHAMBERS , , 1. Mayor W olt called the meeting to order at 7:30 p.m. All present joined in the flag salute. 2. 99-172, 3. 99-173 ' 4; 99-174 5. 99-175 6. Council present: Don Miller, Martha Parsons, Velma Curryl Glen Cunningham and Adam ~~ .' Guests: Duane King, Cliff Billingslea, Debbie Draper, Eve Burdett, Ken Bragg, 'Don Hewitt, Mike Malan, Bev Malan, and John Thompson. Staff: Shelly Badger, Cathie Carlson, Ken Garmann, Brian Asmus, Glenn Dunnam and Agnes. Benn~k ' Agenda Approval; MOTION BY VELMA CURRY,. SECONDED BY ADAM RIVAS APPROVING THE AGENDA WITH ITEM 7.b. TABLED (UCBO) TO THE OCTOBER 27, 1999 MEETING. CARRIED. - Minutes Approval. , MOTION BY MARTHA PARSONS, SECONDED BY VELMA CURRY APPROVING THE ,MINUTES OF THE SEPTEMBER 29 REGULAR AND OCTOBER 4, BUDGET WORK SESSION AS PRINTED. CARRIED. . Voucher Approval. MOTION BY MARTHA PARSONS, SECONDED BY GLEN CUNNINGHAM: , , APPROVING PAYMENT OF CHECKS 11566-11657l TOTALING $212,548.39. CARRIED. Payroll Approval. MOTION BY MARTHA PARSONS, SECONDED BY VELMA CURRY APPROVING THE SEPTEMBER 1999 FINAL PAYROLL. CARRIED. Public Comment/Questions. Duane King, Olympia - addressed Council explaining that he has been active in library issues for ten years and is aware of the situation and problems facing libraries in'this area ofthe county. King stated that over the years he has become increasingly critical of Timherland'-s policies and increasing fiustrated with ITS shifting policies. According' to King, when he was fIrst involved in trying to obtain library facilities for the City of ' , Olympia, the Director of the Timberland Regional Library System testified before the Olympia City Council that it was not Timberland's 'policy to own or build library buildings. At that same time Timberland was planning on building and owning libraries throughout the system, . except in Thurston County. King believes the issue isn't between incorporated/unincorporated areas, or cities and rural areas, but between citizens of Thurston County and the other counties. Timberland has . revealed that they have spent considerable sums on libraries in the other four counties of the district However, they have spent zero on expansion or building librmyfacilities in Thurston County, even though half of the system's population resides here. Since failure of the Olympia library bond issue, Timberland has shown movement towards' recognition of their responsibility to provide library facilities for all residents of Timberland's system. However, Timberland's Board still has a minority 'of members committed to providing facilities for.Thurston County. The majority of members remain opposed to spending money. Yelm City Council Minutes City councillcc.99/LO-13-99 1 for library facilities in Thurston County, whereas they have agreed to do so in Mason, Pacific and Lewis Counties and other areas, still claiming to hold to the idea that they are a rural library district. King encouraged the citizens ofYelm to continue to struggle and fight for fair treatment by the Timberlan.d Regional Library Board and to unite with other Thurston County City Council's. in this effort.' . Mayor Wolf indicated that Council would be deciding if they wanted to address the issues in a resolution or letter and that if time allowed she would. allow Mr. Bragg to speak during the Library Report. . .7. New Business: a. Water System Improvement Bid Award. Ken Garmann reported that 11 bids had been . received and requested approval of the low bid for corrosion control for wells #1 and #2. This' is the final phase of the CDBG Grant project. Pape and Sons of Gig Harbor submitted the low b~d of $254,263.65. Councilmember Cunningham ,asked about sand filters? - Garmann responded that the sand filtration had been applied to well3A and will be tested for one year. Mayor Wolf asked if this . would deplete the grant funds? Garmann responded that it would dej>lete grant fimds and also use City funds. 99-176, MOTION BY DON MILLER, SECONDED BY GLEN CUNNINGHAM A WARDING THE CITY OF YELM WATER SYSTEM IMPROVEMENT CHLORINE CONTACT LINE AND SODJUM HYDROXIDE FACILITY PROJECT BID OF $254,263.65 TO P APE AND SONS CONSTRUCTION OF GIG HARBOR. CARRIED. b. UCBO Loan Approval Request - Tabled to 10/27/99 8. Old Business. . a. Development and Impact Fee Comparison - Cathie Carlson explained that she found too many variables to include commercial fees so the comparison was limited to residential fees. Adjacentcbmmunities as well as some that were close either geographically or by population were inCluded ill the comparison. Basic fees rangedfrom a low bf$4~525, (with an anticipated $3,000 increase planned for this year) to a high of$12, 181. Yelm's fee was $7,850. Fees might be higher depending upon the lot's characteristics, distance from utility lmes, etc. Mayor Wolf invited audience participation and requested that speakers address Council from the microphone and identify themselves for the record. Cliff Billingslea -had two projects planed for Yelm last year, one was a 24 town home development on Mt. View Road. He was shocked by the amount he would have to pay up . front for City fees. He was unable to move forward with the projectand is trying to sell the land. Another project, a. 58-unit mobile home park on Middle Road would have required almost $500,000 in permit fees.' Billingslea requested that Council look, not at what it costs to develop, but what can be done for developers to perhaps reduce some of the up front costs. He'emphasized that he was not requesting reductions, but changing the method of collection so it's not all put on the developer up front. He suggested raising the ongoing yearly taxes so in some way we (developers) can create homes and bring new people into town. He questioned what Yelm has to offer in comparison to Olympia and believes that in the past people came here because of lower costs. Debbie Draoer, Windermere Real Estate - noted that the comparison's fees for Yelm did not include $4,000 that, is tacked onto development fees because of the STEP sewer system. This. Yelm City Council Minutes City council/cc.99/10-13-99 2 I charge does not apply to the other areas and in fact places Yelm' s costs above those of Olympia. Draper pointed out that the same 1500-sq; ft. home in Olympia will sell for $20- 30,000 more than it would in Yelm. She would like to see fees structured differently. Councilmember Miller - what are other cities doing? Are these all up front fees? Carlson - most of the fees are due when the building permit is issued. There are some initial development costs for platting and infrastructure costs. The'next step is a building permit for each lot, followed by an approximate 6-month construction period. Issuing the building permit is our last contact with the builder/developer, as residential construction doesn't require an o~cupancy permit. Carlson was unaware of any jurisdiction doing this differently. ~ Billin~slea - spoke about the cost ofERU (sewer) fees and again requested spreading out some, of the fees and used the LID as an example. Shelly Badger pointed out that there may be an opportunity for developers to make a deal with people that signed up for ERU s and now don't want to be part of the LID. She also pointed out that sometimes property is located a distance from existing utility lines and that would also add to development costs. Carlson used parks as - an example; the City allows a fee in lieu of dedicating open space within a development. This fee is due at the time the permit is issued, but can become a lien against the property. Carlson pointed out that concurrency is required under the Growth Management Act (GMA), and that the GMA requires the City to provide public facilities, concurrent with development. Councilmember Riv~s - the GMA is where this started. In response to Billilngslea's lettef suggesting lowering fees and raising taxes, Rivas pointed out that 1-695 is in front of us because people are tired of taxes. And that if the City had not expanded its -sewer " _ treatment/reuse facilities a moratorium would have been placed on building in yehn: ,He , stressed that costs need to be funded either by fees or by taxes and that it would be great it we didn't need to have fees, but that's not reality. He added that the City already has a great deal of affordable housing. Billingslea responded that he built a'higher cost house out by Lake Lawrence and had difficulty selling it. _ There was some discussion concerning SEP A fees. Mike Malan - Suggested that the City get togeth~r with local builders, developers and real _ estate agents to see what ideas they can come up with. Councilmember Cunningham pointed out that when Safewaycame into Yelm, council's voted reflected that "'fe are not a rich citY and can't afford to stretch out the payments. We justdon't have the money to cover the costs and try and collect the money later. ' Mayor Wolf asked if Council wanted staff to gather additional information? Councilmember Cunningham asked Gannann if the STEP system actually adds $4000 to a project? Garmann responded that typically it is about$3;000, and that all development is responsible for side , sewers. Garmann pointed out that a gravity system would have involved a lot oflift stations. , Utilizing a STEP system does results in higher onsite costs, but the capital costs of the street hnprovements are lower. Also the STEP system IS maintained by the City saving the , ' homeowner maintenance costs and paying the cost of replacement if the system fails, Shelly Badger added that some ofYelm's fees are tied to debt. The money has been spent on proj ects and now it has to be paid for, so some of the fees don't have a lot offlexibility. ,But ' that the City is open to suggestions on ways to lower the fees. Ben Harper - unintelligible.... Sitting on a piece of ground she can't sell. .... Why have the developer have to payout $50-60,000 and you haven't built it yet? Councilmember Rivas - so would you have the homeowner pay it? ~ - they end up paying ~or it anyway. Shelly Badger responded that if fees are collected from the homeowner, how do you collect? How do you make'sure the homeowner includes the extra costs in their mortgage? Mayor W olfadded that she knows the property Harper is referring to, ,and that property under Growth Management became more developable if it became parf of the City. 'The owner could form - Yelm City Council Minutes City council/cc.99/10-13-99 3 more lots in the City than under the county's 1 dwelling per 5-acre limit. This problem was not created by Yelm, we are also victims, but Council's responsibility is to protect the citizens ofYelm. ' Mayor Wolf asked if Council had any directions for staff or issues needing clarification. Councilmember Miller - is there anyway to do away with fees until the house is built? Carlson responded that you could lien everything and then when the property sells you could collect. But, what happens if the property is leased instead of sold? There's no real estate transaction. . Harper...?.. Carlson - the lien could run for 6 months or for 1 0 years. Carlson offered to check wIth counsel and see if we could withhold a pennit from another person on the property because of an existing lien. Councilmember Parsons - one of counCil's' duties is to make sure tq.at the City's debts are paid; will we have the money when we have to pay? ~- well , that's $650,000 that you're not going to get now. Carlson - can speak with Sandy. Councilmember Miller - let's see if we can't conie up with some sort of plan so that what he wants to do and we want to do can be joined together legally at some point. And so that ifhe wants to develop property we'll meet halfway on how, or who we collect orwhen we collect, can we do that? Carlson - we can check with the City attorney and see ifhe is aware of other jurisdictions and other methods. . Councilmember Rivas - I think we might be talking about two different things. Mr. Billingslea, you're talking about delaying the fees until the house is built? Billingslea - until the house is sold. Rivas - so it still costs you, you either pay it up front ot you pay it in 9 months. Billingslea - I pay it when I have money to pay it. Rivas - so really it comes back to an affordability issue, whether the developer can afford to put the development in verses , whether or not the actual development fees are costly or not costly. Is that correct? Billingslea - that's part of it. Rivas - so either way we're not reducing the fees. Billingslea -,- that's part of it. It also has to do with the costs and are people willing to corne to Yelm. Rivas - that has" nothing to do with whether we collect it now or in 9 months. I can agree if it is that the development fees are too expensive for anyone to come and develop in Yelm. Also, I know that there are other projects here in Yelm thatare coming before council for pennit. They have done feasibility studies saying that they want to come and,put in large developments. Many things are going on in Yelm, they dofeel that things are right to come and build here. So, I want to direct staff to see if the issue is the developer not being able to afford development or if we are we talking about the actual development fees. Billingslea - I was talking about both, but there are two issues here. 'Rivas - to protect the City's interests I have to direct staff to look at whatever is comparable; that some of the other cities are doing; and also make it easier for the developer to develop in Yelm. Staff was given an open-ended timeline to come back to council. if ane} when you have something to bring back. Council consensus agreed with the' directive. Mayor Wolf thanked p~cipants for attending and noted that we do appreciate our business community and what you're trying to do, and that we're also trying to make this a place that people will want to come to. We also must protect the interest of the people that live here. We are open for suggestions. . b. Storm Water Rate Discussion - Ken Garmann presented a table of proposed rates and the revenue to be raised by each. Discussion concerned fee amounts, equitable ~pplication of fees, rates for vacant, residential and commercial property, assessment and collection, fees attached to the parcel, parcel sizes, concerns about adding new taxes/fees, dealing with home . owner associations, fees in other communities, and technical support tohome owners. Mayor Wolf expressed concern about adding more fees to low/fIxed income individuals on top of sewer fees. .' John Dotson - would this fee be applied to every parcel in the City? Why pay for 'something you don't need? It makes you feel like you're being forced out of the community. Mayor Wolf Yelm City Council Minutes City council/cc.99/1 0-13-99 . 4 pointed out that state mandated that cities c?mply with storm water man~gement requirements. John Thomoson - it might be easier to detellnine necessary fees if we knew what it would co~t , to 'fUll the program:' Garmann - the $5 p/month fee, to generates enough revenue to pay a staff person and for equipment costs. Rivas - expressed concern about the enforcement ability and 1-"695, Councilmember Miller -'would normally say 'start out low and increase ifnecess'ary, but with 1-695 we don't have that luxury. " ' Councl1member CUllllingham - how would fees be collected, and what do you do if someone doesn't pay? King - Olympia uses their utility bills which run $60 -'$65 per month, including water, sewer, garbage, and storm water. What does Olyinpia do about vacant lots? : Garmann will bring more information to the next meeting. Badger added that the next edition of the newsletter will provide some basic information to the public and that Council has been looking at the matter for the past 4 meetings with no coverage from the local newspaper. 9.' a. 1. Reports Library, , Draft LetterIResolution - Ken Bragg - read the draft letter and felt it was excellent and , suggested adopting both and attaching the resolution to the letter. Bragg asked that the letter be shared with other cities and pr<?vided a packet of additional information. ' Kristen Blalack:. drafts were reviewed by Ruth Jacobsen (Friend's ofthe Library), she felt either would appropriate and suggested some changes to the letter. The Library Board overwhelming supported the letter and want Timberland and the City to work together. BI~ack added that Timberland has sent out an RFP for afIriancial consultant to look athow to reach goals in the facilities plan, and a larger library for Yelm is the fIrst priority in the 'facilities plan. Mayor Wolf read suggested changes to the letter;, She requested that the letter be t~en to the next Mayors' Fonml. , 99-178 ' MOTION BY VELMA CURRY, SECONDED BY MARTHA PARSONS THAT THE REVISED DRAFT LEITER BE SIGNED AND FORWARDED TO THE TIMBERLAND REGIONAL LIBARRY BOARD. CARRIED. 2., A written report was provided and.Blalack invited Councifto stop'in at the library. b. 99-179 Park/Park Use Requests , MOTION BY MARTHA PARSONS, SECONDED BY ADAM RIVAS APPROVING THE CHRISTMAS IN THE PARK REQUEST. CARRIED. ' , ; , : I' ~ i . ' Councilmember Parsons announced that a letter had been received from the Co'mmunity ,Out~Qor Athletic Fields Advisory Council indicating that a first placerankin:g and funding recominendationwill be submitted to the OffIce of the Interagency Committee for a $234,000 granffor Canal Road Park. ' Mayor Wolf reported that the City is planning a 75.th Anniversary recognition to coincide with Christmas in: the Park. . ~M~ ' "I. ' , Mayor Wolfread an Urban Forestry Month Proclamation. Council consensus favored signing the proclamation. , Mayor Wolf reported on attending a meeting with a real estate group, the Mayors' Forum, and ' a meeting with Olympic Pipeline representatives. Ken Garnlann adqed that OlYmpic Pipeline would like to attend the Council meeting on the 23rd of November for a presentation. Mayor Wolf requested that any presentation to be specific to this area and include information Yelm City Council Minutes CitycounciVcc.99/1 O-13~99 5 t~l j. concerning what potential valves they might be adding for safety. Council would also like to hear what they have to say their plans for this area and possible franchise agreements. Garmann will check with Bennick so see how much time is available for the meeting. d. Counc,il- Councilman Cunillngham attended the Transportation Policy Board meeting, and , announced that we were too far down on the list to get any money. e. Financial- Councilmember Cuny reported that end of the month and quarter information had been distributed and that investment and fund balances look okay. 10. Executive Session - Mayor Wolf closed the meeting at 9:29 and announced that Council would'go to executive session concerning Labor Contract Negotiations for approxiniately 30 minutes and EmployeelPersonnel Issues for approximately 20 minutes. ' Mayor Wolf reopened the meeting at 10:52p~m. and called for a staff recommendation on the EmployeelPersonnel Issues. Chief Dunnam recommended approval of Officer Wood's request subject to contract approval from the union. . 99-180 MOTION BY DON MILLER, SECONDED BY ADAM RIVAS APPROVING OFFICER . ADAM WOOD'S REQUEST FOR A LEAVE OF ABSENCE TO GO TO THE WASHINGTON TRANING COMMISSION AS A T AC OFFICER FOR A PERIOD NOT TO EXCEED THREE YEARS OR UNTIL SUCH TIME AS A CITY POSITION IS'. AVAILABLE AND SUBJECT TO UNION APPROVAL OF THE PROTOTYPE CONTRACT. CARRIED. 11. Correspondence was reviewed. 12. Adjourn 10:54 p.m. ~. ;d;".. ) JJ;,.uJ. Kat. M. ~MaYOr '4 Attest: ku.;O &k~~'"j . A~ s P; Bennick, City Clerk Yelm City Council Minutes City council/cc.99/1 0-13-99 6