Mayor Ryder called the meeting to order at 7:00 p.m. A. Ryder, C. Pratt, V. Clarkson, J. Gadman, L. Greenstein, J. Hearn, M.
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1 MINUTES OF A REGULAR MEETING OF THE LACEY CITY COUNCIL HELD THURSDAY, MARCH 10, 2016, IN LACEY COUNCIL CHAMBERS. CALL TO ORDER: Mayor Ryder called the meeting to order at 7:00 p.m. PLEDGE OF ALLEGIANCE: Mayor Ryder led the Pledge of Allegiance. COUNCIL PRESENT: STAFF PRESENT: A. Ryder, C. Pratt, V. Clarkson, J. Gadman, L. Greenstein, J. Hearn, M. Steadman S. Spence, D. Schneider, S. Egger, D. Pierpoint, R. Walk, C. Litten, T. Woo, L. Gotelli, T. Stiles, T. O Neal, P. Brooks APPROVAL OF AGENDA AND CONSENT AGENDA: Consent Agenda Items: A. Worksession minutes of February 4, 2016 B. Council minutes of February 18, 2016 C. A motion to approve payment of claims, wages, and transfers for February 17 March 2, 2016 COUNCILMEMBER GADMAN MOVED TO APPROVE THE CONSENT AGENDA AND AGENDA. DEPUTY MAYOR PRATT SECONDED. MOTION CARRIED. PUBLIC HEARING: Mayor Ryder opened a public hearing at 7:02 p.m. to receive comments on a resolution to approve the Wolff Development Agreement between the City and Wolff Real Estate Partners (WREP) III. The developer has requested a development agreement for their undeveloped property generally located at 8549 Martin Way East, in order to obtain final approval of their Short Plat prior to completion of required infrastructure improvements. The developer intends to develop the three parcels to construct a two-phase multifamily and senior housing project consisting of 488 residential units and associated parking, open spaces, utilities, roadway extensions and offsite improvements. Typically, all conditions of preliminary short plat approval are to be completed prior to final short plat approval. The applicants are intending to develop the three parcels under Page 1 of 7
2 separate LLC and construction financing packages. In order to finance the construction of the required roadway and infrastructure improvements they need to establish three legal parcels to transfer ownership to their separate LLC. However, the City needs to be assured that the three parcels are not sold or transferred to another owner prior to the improvements being completed. Rob Kavanaugh, st Ave SE, Lacey, addressed the Council with concerns about enforcement of the tree city ordinance. Mr. Kavanaugh read several findings of fact related to the decision making process for short plat approval, enforcing forest practices, pre-mature tree clearing, and violating sensitive species requirement. Councilmember Steadman distributed a letter to Council from Terry Malone stating that he is skeptical the housing market will support development. Scott Spence, City Manager, remarked that all developments are vetted through the Site Plan Review process, including forestry practices. He respectfully disagreed with Mr. Kavanaugh s comments. Mayor Ryder closed the public hearing at 7:15 p.m. and reconvened the regular council meeting. RESOLUTIONS: Resolution No declares Technical Systems, Inc. to be a sole source for Control Valve Electrical and RTUs (Remote Terminal Units) Project. Sole sourcing this contract to TSI significantly reduces the potential for system incompatibilities, programming errors/omissions, and general system downtime, while providing consistency across facilities to ease operation and maintenance. COUNCILMEMBER GADMAN MOVED TO APPROVE RESOLUTION NO DECLARING TECHNICAL SYSTEMS, INC. TO BE A SOLE SOURCE FOR THE PURCHASE AND INSTALLATION OF CERTAIN EQUIPMENT (REMOTE TERMINAL UNITS). DEPUTY MAYOR PRATT SECONDED. MOTION CARRIED. Resolution No approves the Development Agreement with Wolff Real Estate Partners (WREP) III. Page 2 of 7
3 The developer has requested a development agreement for their undeveloped property generally located at 8549 Martin Way East. The developers have requested the development agreement for their undeveloped property generally located at 8549 Martin Way East, in order to obtain final approval of their Short Plat prior to completion of required infrastructure improvements. The Short Plat subdivides the original parcel of 32 acres into three parcels. The developer intends to develop the three parcels to construct a two-phase multifamily and senior housing project consisting of 488 residential units and associated parking, open spaces, utilities, roadway extensions and off-site improvements. Typically, all conditions of preliminary short plat approval are to be completed prior to final short plat approval. The applicants are intending to develop the three parcels under separate LLC and construction financing packages. In order to finance the construction of the required roadway and infrastructure improvements they need to establish three legal parcels to transfer ownership to their separate LLC. However, the City needs to be assured that the three parcels are not sold or transferred to another owner prior to the improvements being completed. The development agreement benefits the developer by providing financing options that will allow them to move forward with their proposed project, and provides the option for a shortened time-line for construction. The development agreement also assures the City that the improvements will be completed prior to sale of the parcels to a third property and provides needed multi-family housing for the community. COUNCILMEMBER GREENSTEIN MOVED TO APPROVE RESOLUTION NO RELATED TO THE DEVELOPMENT AGREEMENT WITH WOLFF REAL ESTATE PARTNERS (WREP) III. COUNCILMEMBER GADMAN SECONDED. MOTION CARRIED. MAYOR S REPORT: Mayor Ryder recognized Carolyn Cox, Planning Commission member, in attendance at the Council meeting. CITY MANAGER S REPORT: Peter Brooks, Water Resources Manager, requested Council consideration to reject a bid from H & R Waterworks, Inc. (Meadows Water Company) for the Page 3 of 7
4 Meadows Well #7, and authorize staff to negotiate with H & R Waterworks for the purchase of the well for a price in excess of $25,000. The City Council approved Resolution 1029 on November 12, 2015, to declare the asset to be surplus property. On December 17, 2015, Council approved Resolution 1033 to set the fair market value of the asset at $45,545 and authorized its sale. Since there was only one bidder for the asset, and since the bid price is too low ($5,000) to be accepted since it could be considered a gift of public resources, staff recommends that the bid be rejected and that the Lacey City Council authorize the City Manager, or his designee, to negotiate a sale of the asset with H & R Waterworks, Inc. for a price in excess of $25,000. Council discussed fair market value, setting a minimum value, and decommissioning the well. COUNCILMEMBER GADMAN MOVED TO REJECT THE BID FROM H & R WATERWORKS, INC. (MEADOWS WATER COMPANY) FOR THE MEADOWS WELL #7; AND AUTHORIZE THE CITY MANAGER OR STAFF DESIGNEE TO NEGOTIATE WITH H & R WATERWORKS FOR THE PURCHASE OF THE WELL FOR A PRICE IN EXCESS OF $25,000. COUNCILMEMBER GREENSTEIN SECONDED. Scott Spence, City Manager, presented Council with a request to authorize the Lacey Mayor to sign an amendment of the 1999 Interlocal Agreement concerning LOTT. The proposed amendment would allow LOTT to adopt a biennial budget and capital process. In the current 1999 Interlocal Agreement Concerning LOTT, a biennial budget process is not cited. According to LOTT staff, time and direct costs would be saved by transitioning from an annual budget process to a biennial budget process. DEPUTY MAYOR PRATT MOVED TO AUTHORIZE THE LACEY MAYOR TO SIGN AN AMENDMENT OF THE 1999 INTERLOCAL AGREEMENT CONCERNING LOTT ALLOWING A BIENNIAL BUDGET PROCESS. COUNCILMEMBER CLARKSON SECONDED. MOTION CARRIED. Page 4 of 7
5 GENERAL COMMITTEES: Finance & Economic Development Committee Deputy Mayor Pratt reported the committee met on March 2, 2016, to discuss 2015 budget encumbrance carryovers, and economic indicators. BOARDS &COMMISSIONS: HHSC and Community Investment Partnership Councilmember Clarkson reported the Board is seeking public participation in evaluating RFP applications. JASCOM Councilmember Gadman reported the Board discussed how to integrate bequests to Animal Services into the budget. LOTT Councilmember Gadman reported an executive session was held to discuss the executive director s performance evaluation. A cost of service analysis is being conducted for operating facilities. LOTT continues to monitor water in the south sound for residue from prescription drugs and aerosol chemicals. Mayors Forum Several new mayors introduced themselves and agreed to continue meeting on a monthly basis. ORCAA Councilmember Hearn reported that revenues are projected downward due to low gas prices. The agency may request assistance with funding to continue operations. Solid Waste Advisory Committee Councilmember Greenstein reported the committee is reviewing Chapter 3 of the SWAC Plan. A major construction project is in progress at the waste recovery center, causing limited access to the facility. TCOMM911 Councilmember Greenstein reported that Text 911 has been activated in Thurston County. A subcommittee is studying the current fee schedule. Thurston County Against Human Trafficking Councilmember Hearn announced a 5K fundraiser will be held on April 16, He also reminded Council that the group is seeking security and grant support from the city, and an effort to reach out to the NTPS District to coordinate efforts. Page 5 of 7
6 Thurston Thrives Deputy Mayor Pratt reported that the Economic Action Team provided a presentation on creating a climate of economic resiliency. There needs to be a system that continues to provide employment that will create economic sustainability and security. In other business, the Board has endorsed a letter of support for a federal access land grant program. TRPC Councilmember Clarkson reported the Board received a presentation from SCJ Alliance related to projects in north Lewis County that would encourage economic access to Tenino and Bucoda. Councilmember Hearn reported he reached out to the Islamic Center of Olympia to better understand their issues in the community. Councilmember Clarkson read an open letter to Councilmember Hearn regarding negative comments made about the Muslim community. He expressed his disappointment and noted Mr. Hearn s behavior is a breach of the community s expectation of entrusted leadership. Mayor Ryder commented that Councilmember Hearn s remarks do not represent the City of Lacey as a whole. Lacey is the most diverse city in the county and brings a unique richness to the community. Councilmember Hearn stated he regrets making negative comments in his capacity as an elected official that have hurt people in the community and members of the council. He apologized for his actions, and regretted causing distractions from council business. He extended an invitation to those who would like to discuss the issue further. Mayor Ryder announced that he and Deputy Mayor Pratt have been selected to serve on a new NLC leadership council based on race, equity and leadership. He recognized the Deputy Mayor for her outstanding efforts on behalf of the city. Page 6 of 7
7 ADJOURN: Mayor Ryder recessed the Council meeting at 8:18 p.m. to an Executive Session for 15 minutes to discuss property acquisition. The Council reconvened to a regular council meeting at 8:29 p.m. with no action taken. The meeting was adjourned. MAYOR: ATTESTED BY CITY CLERK: DATE APPROVED: Page 7 of 7
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