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2013-08-19 City Council - Public Agenda-1510EDto o - 1 9 AGENDA EDMONDS CITY COUNCIL Fourtner Meeting Room — City Hall 121 5th Avenue North, Edmonds City Council Public Safety and Personnel Committee Special Meeting Monday, August 19, 2013 9:00 a.m. The City Council Committee meetings are work sessions for the City Council and staff. Members of the public are welcome to observe the meeting, but public participation is limited to making comments at the end of the meeting with a 3 minute limit per person. 1. (5 Minutes) Transfer and Hold Harmless Agreement for Police Dog Dash to Sergeant Josh McClure. 2. (30 Minutes) Discussion: Edmonds City Code Chapter 2.10 Revisions 3. (15 MinuteS) Discussion regarding authorization to recruit for Development Services Director. 4. (10 Minutes) Public Comments (3 Minute Limit Per Person) ADJOURN Packet Page 1 of 33 AM-6011 City Council Public Safety & Personnel Committee Meeting Date: 08/19/2013 Time: 5 Minutes Submitted By: James Lawless Department: Police Department Committee: Public Safety, Personnel Type: Action Information Subject Title Transfer and Hold Harmless Agreement for Police Dog Dash to Sergeant Josh McClure. 1. Recommendation It is the staff recommendation that the Public Safety Committee forward this as a consent agenda item for the August 20, 2013 Council meeting for full Council approval. Previous Council Action n/a Narrative Police Dog Dash started with the police department in 2006. He was assigned to Officer Josh McClure as his handler. During Dash's seven year career, he was not only an asset to the community, but became a family member to the McClure family. In late 2012, Dash began to to experience medical conditions that indicate he is approaching the end of his working career. It is not cost effective to select another handler to work with him for a limited time, as it is likely that by the time the new handler is trained, that Dash will be unable to work. In addition, Josh McClure was promoted to Sergeant on July 1, 2013, and with that promotion ceased work as a K9 handler. The Edmonds Police Foundation is in the midst of a fund-raising campaign to purchase Dash's successor. The past practice has been to sell the retiring police dog to their last handler for $1.00. In additional, the officer retaining the retiring police dog signs a Hold Harmless Agreement with the City of Edmonds. The Department is asking that the Council approve the sale and Hold Harmless Agreement between Josh McClure and the City of Edmonds. The City Attorney has approved the Hold Harmless Agreement as to form. Exhibit 1 - Hold Harless Agreement - Police Do,g Dash Inbox Reviewed By City Clerk Sandy Chase Mayor Dave Earling Finalize for Agenda Sandy Chase Form Started By: James Lawless Final Approval Date: 08/08/2013 Attachments Form Review Date 08/07/2013 02:35 PM 08/08/2013 11:37 AM 08/08/2013 11:40 AM Started On: 08/07/2013 11:24 AM Packet Page 2 of 33 HOLD HARMLESS AGREEMENT AND RELEASE FROM LIABILITY IN ACCEPTING transfer from the Edmonds Police Department of the following described canine, to wit: Dash, a black and tan male, German Shepherd dog, date of birth 6/27/05, after the payment of $1.00 to the City of Edmonds, the undersigned, Joshua D. McClure, recognizes that said animal has received training in police canine procedures and tactics, including, but not limited to, attack training and other forms of aggressive conduct, and by acceptance of this animal that has been retired from use for medical reasons by the Edmonds Police Department as one of its police canines, the undersigned, for and in consideration of the transfer to him of Dash, agrees as evidenced by his signature hereto to indemnify, defend and hold harmless the City of Edmonds, the Edmonds Police Department and its employees and agents from any and all liability whatsoever including all costs and attorneys fees that might arise from any acts engaged in by the aforesaid canine resulting from his training as herein described as well as any other acts of said canine whether or not attributable to such training. The undersigned further more agrees to waive any and all claims of liability insofar as the City of Edmonds, the Edmonds Police Department, its employees and agents are concerned that might arise as a result of his use and/or possession of said animal. Moreover, it is understood by the undersigned that in consideration of this transfer, the Edmonds Police Department surrenders all responsibility and obligation for the condition of, care of and acts of said animal. By signing this instrument, the undersigned acknowledges his full understanding of all of the language contained herein and specifically agrees to all of the terms of this document. DATE: NAME: ADDRESS: STATE OF WASHINGTON ) COUNTY OF SNOHOMISH ) On this day personally appeared before me , to me known to be the individual described in and who executed the within and foregoing instrument, and acknowledged that signed the same as free and voluntary act and deed for the uses and purposes therein mentioned. GIVEN under my hand and official seal this day of 12013. NOTARY PUBLIC in and for the State of Washington, residing at Packet Page 3 of 33 AM-6006 City Council Public Safety & Personnel Committee Meeting Date: 08/19/2013 Time: 30 Minutes Submitted For: Council President Petso Department: City Council Committee: Public Safety, Personnel Subject Title Discussion: Edmonds City Code Chapter 2.10 Revisions Submitted By: Jana Spellman Tyne: Information Information 2. Recommendation Review the latest draft revisions to certain chapter 2.10 ECC, deliberate, and give additional direction to the City Attorney. Previous Council Action In 2012, during the confirmation of Rob Chave as acting Development Services Director, it became clear that chapter 2.10 ECC did not adequately address the confirmation of acting directors and whether the City Council sought to confirm such acting appointments. On March 6, 2012, the City Council requested that an amendment to chapter 2.10 ECC be sent to committee for review and discussion. The City Council did not give clear direction about the amendments it wanted to see in chapter 2.10 ECC. On March 13, 2012, the Planning, Parks and Public Works committee considered proposed revisions to chapter 2.10 ECC. The committee requested that the scope of the code update be extended beyond chapter 2.10 ECC. Additional revisions to a large portion of Title 2 were brought to the committee for review during the April and May 2012 committee meetings. The City Attorney is recommending that the revisions to Title 2 be considered in smaller chunks, perhaps one chapter at a time. Hence, only revisions to chapter 2.10 ECC has been included in the council packet. The City Attorney reviewed the minutes from the July 2013 PS&P committee and incorporated revisions where the committee had directed that revisions be made. Narrative The attached revisions to chapter 2.10 ECC are intended as a guide to discussion of possible revisions to this chapter. One issue addressed in these revisions is the one that was initially in mind when the City Council referred this matter to committee: the acting director issue. The attached revisions represent one possible approach to the confirmation of acting directors, but the City Council has the authority to require confirmation even of acting directors if it chooses to do so. July 9.2013 Public Safety/Personal Committee Minutes 2013-08-08 Revisions to Chapter 2.10 ECC Inbox Reviewed By City Clerk Sandy Chase Mayor Dave Earling Finalize for Agenda Sandy Chase Form Started By: Jana Spellman Final Approval Date: 08/09/2013 Attachments Form Review Date 08/08/2013 11:31 AM 08/09/2013 09:36 AM 08/09/2013 10:02 AM Started On: 08/05/2013 02:42 PM Packet Page 4 of 33 Packet Page 5 of 33 B. Reinstating Clerk Position Judge Fair explained that case loads continue to increase in the court. As a result of the increased work load and the fact that funds are available, he was requesting reinstating the clerk position in Municipal Court. Responding to questions, Judge Fair stated that funds are available in the non departmental budget (unallocated portion of the public defender contract). The committee members agreed to place approval of reinstating the clerk position on the City Council Consent Agenda. C. L & I Claims Management Mary Ann Hardie, Human Resources Manager, referred to the memo provided to the City Council on this topic. She explained that her department analyzed options related to managing the city's L & I claims. The analysis came down to looking at a third party to handle the claims. Based on the analysis, costs would be lower using a third party. There is a fee for the services that at a minimum would be a break even cost with the potential of significant savings. Councilmember Peterson asked if the use of a third party would have any effect on labor agreements. Ms. Hardie stated they are having the City Attorney's Office check on this issue, however, they do not believe it is a subject of bargaining. They also did an extensive reference check of the firm being considered and all cities and counties have been very pleased. Responding to further questions, Ms. Hardie stated the third party would provide as much training as needed to employees. Committee members were supportive of moving forward to the next step. A. Discussion: Edmonds City Code Chapter 2 Revisions Councilmember Bloom stated that she discussed a number of issues with the City Attorney today. The first issue is regarding the title of the Chapter "Confirmation and Duties of City Officers." She noted that there is not a definition of a City Officer. She made the assumption that a City Officer is a director level position or all the positions that include over site of code and have to be approved by Council. She believes "City Officer" needs to be defined. Councilmember Bloom also pointed out the Chapter includes reference to the Hearing Examiner, Executive Assistant to Council, and Mayor's Executive Assistant. She noted these positions are not City Officers. Councilmember Peterson suggested the title of the chapter could be changed from the reference to "City Officers" to referencing the positions that are included in the chapter. After discussion, the committee members agreed to request the City Attorney to bring back a definition of City Officer. Public Safety & Personnel Committee July 9, 2013 Page 2 of 5 Packet Page 6 of 33 Councilmember Bloom reported the City Attorney also suggested that the positions of City Clerk and City Engineer be included in this Chapter because they are called out in RCW. She agrees that it makes sense to include these positions as City Officers. Councilmember Peterson expressed wariness that this would add city staff that Council needs to confirm, which may cause more of the line between the legislative branch and the executive branch to get crossed. This would be going beyond confirming director positions. After discussion, the committee members agreed to bring to the City Council for discussion the addition of the City Clerk and City Engineer positions to Chapter 2. The next issue discussed by Councilmember Bloom was related to the Hearing Examiner being included in this Chapter. She questioned why this position is included. (Note: This issue was further discussed later in the meeting.) Next, Councilmember Bloom referred to language proposed for 2.10.010 A, and recommended the following changes: A. Whenever a vacancy occurs in one of the positions listed in this section, the city council may will review the specifications of that position and revise it as needed before acting to confirm a permanent appointment. She further recommended the last sentence be removed as she does not see the need for it. Councilmember Peterson agreed with changing "may" to "will." With regard to removing the last sentence, he questioned if the City Attorney may have included it as a protection. Next, Councilmember Bloom referred to language proposed for 2.10.010 D, and recommended the following changes: D. The mayor shall appoint, subject to council confirmation, the department direGter City Officer positions. The city shall have the following department direGter CitV Officer positions; With regard to the balance of Section D., she suggested the following: "The council shall interview the top three candidates for each position prior to the mayor's final selection, PROVIDED that the city council may waive the three - interview requirement by motion and may opt to interview as few as one two candidates for any vacant position. Councilmember Peterson disagreed commenting that if there is clearly only one qualified candidate it would be forcing the Mayor to have an unqualified candidate be interviewed, which would not be appropriate. It is always the council's option to require an additional candidate, but not always feasible. He believes the current language is fine. Councilmember Bloom stated this topic will be added as a discussion issue before the full council. (Note: This topic was discussed further in the meeting.) Public Safety & Personnel Committee July 9, 2013 Page 3 of 5 Packet Page 7 of 33 Next, Councilmember Bloom discussed 2.10.010 E., and proposed the following "Notwithstanding the provisions of this chapter, the mayor shall have the authority to appoint, without city council confirmation, an acting director to any of the positions set forth in subsection D, above, PROVIDED that a search is initiated immediately to fill the vacancy, and there is budgetary authority to fill the position, AND any such acting directorship shall expire and be deemed vacant six months after the date of the appointment. The city council shall be given written notice about any such acting appointments including the effective date of the appointment. If, in that 6 month period of time, two or more suitable candidates have not been found for Council to interview, the mayor may request an extension of an additional 3 months to continue the search. Any extension of the 6 month initial "acting directorship" appointment shall be subject to city council confirmation." Council President Peterson stated he wants to be sure that if the Mayor finds only two qualified candidates that he is not able to move forward because he does not have three. Carrie Hite, Human Resources Reporting Director, joined the meeting at this time and suggested the committee consider two candidates versus 3, pointing out the recent experience in replacing positions. After discussion, the committee agreed to the language: two or more suitable candidates. Additional discussion was held regarding the Hearing Examiner being included in this Chapter. The committee concluded the City Attorney is to determine if there would be a conflict of interest if the Hearing Examiner is hired by the City Council. In addition, it was recommended to eliminate consideration of including the City Attorney under this chapter. Next, under 2.10.020, Assignment of Duties, Councilmember Bloom recommended: The city council shall define the functions, powers and duties of the city's directors and employees. The mayor s#a4 will direct, supervise, and be in charge of all directors and employees in the performance of their functions powers and duties. Councilmember Bloom also wanted language added that "all city officer job duties and job descriptions shall be reviewed and updated every five years." This would be limited to the City Officer job descriptions. Further, she would like language added that department directors will "assure compliance and accountability with federal, state and local laws and regulations." Councilmember Bloom stated that under 2.01.050, she would like to remove "or his or her designee." She explained there are certain matters such as legal determinations that should only be deferred in certain matters. Ms. Hite pointed out that there needs to be someone who can make decisions in the absence of the director. Public Safety & Personnel Committee July 9, 2013 Page 4 of 5 Packet Page 8 of 33 Councilmember Peterson suggested dropping reference to 2.10.050 in this section of the code. Councilmember Bloom next pointed out that 2.10.050 refers to both finance director and community services director, however the title of the section does not reflect this. Further, Councilmember Bloom believes the positions of Executive Assistant to the Council and the Mayor's Executive Assistant should not be part of this chapter as they are not City Officers. Committee members agreed to request the City Attorney to determine if these positions should be in a different section of the code. D. Discussion regarding Code of Ethics. Committee members discussed ethics policies from Bainbridge Island, Lynnwood and Kirkland. Councilmember Bloom referred to the policy from Bainbridge Island and would like to include the requirement for members to "disclose a conflict of interest" as a standing requirement at all city meetings for all officials. Councilmember Peterson commented that he believes the Council does a good job at this disclosure; however, having it on each agenda is a good reminder. Further discussion occurred related to policies, including the possible consideration of a Code of Ethics Officer. After discussion the committee agreed to forward to the next work session of the City Council the Bellevue and Kirkland ethics policies and the Kirkland Code of Conduct for discussion. The committee also recommended including the statement from Bainbridge Island related to disclosure of conflict of interest for all officials. After full Council discussion, direction can then be given to the City Attorney on how to proceed. Ms. Hite indicated she would bring back information on a Code of Ethics Officer. The meeting adjourned at 8:07 p.m. Public Safety & Personnel Committee July 9, 2013 Page 5 of 5 Packet Page 9 of 33 2.10.050 Definitions. Chapter 2.10 CONFIRMATION AND DUTIES OF QY-APPOINTIVE OFFICERS Sections: 2.10.010 Confirmation process. 2.10.020 Assignment of duties. 2.10.030 Police chief. 2.10.040 Repealed. 2.10.050 References to director of community development. 2.10.060 Executive council assista4JT11. 2.10.070 Mayor's executive assistant.[JT21 2.10.050 Definitions. A. Appointive office�[JT31. For the purposes of this chapter, "appointive officer" means the following city officers that are appointed by the mayor and subject to city council confirmation: all director -level positions in the city's adopted budget, including the police chief. 2.10.010 Confirmation process. A. Whenever a vacancy occurs in one of the positions listed in this section, the city council I illl[mi review the specifications of that position and revise it as needed before the vaeaney is acting to confirm a permanent appointment. Nothing in this subsection shall be construed to prevent the city council from reviewing such specifications at other times, but doing so will not have any effect on previously confirmed permanent appointments. B. The mayor or his/her designee will review all applications and determine the persons with the highest qualifications. Any city council member, upon request to the mayor, may review the applications received for the vacant position. C. The mayor shall appoint, subject to city council confirmation, the positions of judge shearing examiner. The hearing examiner may be removed from his/her position for cause, as determined by the mayor. The judge may be r-emoved f-Fefn his/her- effie . D. The mayor shall appoint, subject to council confirmation, the diFeetor-, development seiwiees direetor, parks and recreation dir-eetor-, public works , and h,,,v,a dir-ee,.*,.,. appointive officers. The city council shall interview the top three candidates for each position prior to the mayor's final selection, PROVIDED that the city council may waive the three -interview requirement by motion and mayopt to interview as few as one candidate for any vacant position. The mayor's appointments to all other employee positions shall not be subject to city council confirmation.40fd-.32944,�r E. Notwithstanding the provisions of this chapter, the mayor shall have the authority to appoint, without city council confirmation, an acting director to any of the positions set (Revised ) 2- Packet Page 10 of 33 forth in subsection D. above. PROVIDED that a search is initiated immediatelv to fill the PROVIDED that any such acting directorship shall expire and be deemed vacant six months after the date of the appointment. The city council shall be given written notice about any such acting appointments including the effective date of the appointment. If, in that six month period of time, two or more suitable candidates have not been found for Council to searchJUT61 Anv extension of the six month initial "acting directorshiD1 [JT71shall be subiect to city council confirmation. Acting directors shall be compensation pursuant to applicable ordinances and personnel policies regarding actingpay. 2.10.020 Assignment of duties. The city council shall define the functions, powers and duties of the city's directors and employees. The mayor shall direct, supervise, and be in charge of all directors and employees in the performance of their functions, powers, and duties. Ddepartment directors shall be responsible for carrying out all directives as assigned by the mayor, including, but not limited to, planning and directing the activities and staff in their respective assigned departments, supervising and evaluating the work processes and assigned staff, controlling the financial integrity of the assigned -departmental budget, and insuring the delivery of quality public services. All department directors shall serve at the pleasure of the mayor. [OFd. 3279 § 1 19991. 2.10.030 Police chief. Pursuant to the authority of RCW 41.12.050(2), the position of police chief has been exempted from civil service. The peliee ehief shall be appointed by the may -of su jeet to eonfifmatierr-vby majority vote of the city council. [Ord. 3279 § i, 1999T 2.10.040 2.10.050 References to director of community development. Wherever references are made in the Edmonds City Code, the Edmonds Communitv Development Code or any ordinance of the city to the_�etor of community development director, said reference shall hereafter be construed to mean the development services depat4fneat director or his/her designee. [^�2'79 , 1, ' °°°].Wherever references are made in the Edmonds Citv Code, the Edmonds Communitv Development Code. or anv ordinance of the city to the administrative services director, said reference shall hereafter be construed to mean the finance director or his/her designee. Packet Page 11 of 33 2.10.060 Executive eou-neil assistant to council. The executive eouneil assistant to council shall be a contract employee hired on an annual basis by the city council. The terms and conditions of employment for the executive earl assistant to council as well as all benefits shall be governed by the provisions of the contract. Depending on the experience level of the particular person serving in this role, the prefix of "senior" may be added to the title. The contract shall provide for the delegation by the mayor of the direction of this individual to the city council president. In the event that the mayor elects in his or her discretion not to delegate that function, the ciycouncil reserves the right to immediately eliminate the position. [Or-d. 3279 §1, 1999]. Packet Page 12 of 33 2.10.070 2.10.070 Mayor's executive assistant. The position of mayor's executive assistant shall be an at -will position with the executive assistant serving at the pleasure of the mayor. The s 'afy for the pasit ^" is est-ably ishe a by the annual sa4ar-y or-dinanee. The terms and conditions of employment as well as job duties being set forth in a job description developed by the mayor with the concurrence of the city council. {Ord. 3279-§-1 'ter (Revised ) Packet Page 13 of 33 2- AM-6024 City Council Public Safety & Personnel Committee Meeting Date: 08/19/2013 Time: 15 Minutes Submitted For: Councilmember Bloom Department: City Council Committee: Public Safety, Personnel Submitted By. Jana Spellman Tyne: Information Subject Title Discussion regarding authorization to recruit for Development Services Director. Recommendation Previous Council Action Information 3. July 9, 2013 Finance Committee: The Finance Committee discussed considering a budget amendment to fund the Development Services Director position in 2013 rather than delay funding of this position until the 2014 budget (minutes attached.) August 6. 2013 Council Meeting_ The full Council discussed this topic (minutes attached). During that meeting, Council member Bloom requested that Council discuss recruitment for the Development Services Director to begin as soon as possible. Given the previous difficulty in recruiting a suitable candidate to fill the position, it is likely that the recruitment process will take several months Narrative The Development Services Director position has remained vacant since March 31, 2009, the former director's last day of employment. Since that time, two to three searches for a replacement have been launched, but none have resulted in filling the position. The third posting file may likely have been a combined posting file from 2010 (from the #10-15 pool) given the length of the posting: #09-15 — 45 applicants. Posted March 9, 2009. Closed April 2, 2009. #10-15 — 54 applicants (many of whom were from the 09-15 pool). Posted March 2, 2010. Closed April 30, 2009. There were also several rounds of interview — 7 interviewed from the#09-15 pool and 6 interviewed from the #10-15 pool (with a second round of interviews of 3 from the #10-15 pool). Planning Manager, Rob Chave, was appointed as Acting Development Services Director on March 6, 2012. The Development Services Director oversees the Development Services Department which includes 13 other positions. This key director position also oversees five chapters of our city code, and we are currently in the process of a long overdue code re -write. Only the additional pay for the acting position was included in the 2013 budget. The Development Services Director position was not funded in 2013. Mr. Chave continues to serve as the Acting Development Services Director and as Planning Manager of the Development Services Department. This topic has been placed on both the Finance and Public Safety/Personnel Committees for discussion. Attachments Attachl: April 7, 2009 Approved Council Minutes Attach 2: June 16, 2009 Al2proved Council Minutes Packet Page 14 of 33 Attach 3: Au! 31, 2010 Approved Council Minutes Attach 4: 2011 Approved Council Retreat Minutes Attach 5: April 26, 2011 Approved Council Minutes Attach 6: Nov. 6.2011 Approved Council Minutes Attach 7: July 9. 2013 Finance Committee Minutes Attach 8: Roger Neumaier, Finance Director, Memo Attach 9: Aug. 6.2013 Draft Council Minutes Attach 10: Development Services Director Job Description Inbox Reviewed By City Clerk Sandy Chase Mayor Dave Earling Finalize for Agenda Sandy Chase Form Started By: Jana Spellman Final Approval Date: 08/08/2013 Form Review Date 08/08/2013 11:54 AM 08/08/2013 01:34 PM 08/08/2013 02:24 PM Started On: 08/08/2013 11:49 AM Packet Page 15 of 33 BE IT FURTHER RESOLVED, That copies of this resolution be transmitted by the Secretary of the Senate to Peggy Pritchard Olson and to Gary Haakenson, the Mayor of Edmonds. Senator Shin presented the Senate Resolution to Councilmember Olson. 8. UPDATE ON BUDGET BY MAYOR HAAKENSON. Mayor Haakenson recalled when he last updated the Council on the ending cash balance, he explained continued declines in revenue required him to make the budget cuts that he announced in mid -March that totaled over $300,000. The yearend cash balance was projected to fall as low as $250,000 at that time, $1 million less than the Council approved in the budget. He reported through a series of actions it has now been possible to increase the 2009 projected yearend cash balance to approximately $1.75 million. First, the budget cuts of $300,000 that he announced previously. Second, he planned to leave three additional positions vacant for the balance of 2009 including the Development Services Director position, creating a savings of an additional $300,000. Third, a decision was made not to make the annual contribution from the General Fund to the vehicle replacement fund, saving $300,000. Fourth, through a combination of furloughs and contract adjustments, the City's labor force has agreed to cuts totaling over $600,000. He summarized these actions would carry the City through 2009, even though the ending cash balance would be $1 million below the target. He explained that was the good news; the bad news was the City returns to a deficit position in 2010 and by 2014 would be $9 million in the red. While 2009 appears to be stable; immediate action in the form of some combination of new revenues or budget cuts would be required before the end of 2009. He advised revenue estimates had not been revised since the last update; although the trend was still downward, it was not reason enough to think the current projections were off base. He advised Finance Director Kathleen Junglov would provide a monthly update to the Finance Committee next Tuesday. He provided the Council a handout with the current forecasts. Council President Wilson asked Mayor Haakenson to describe the labor cuts that totaled $600,000. Mayor Haakenson explained each of the labor groups agreed to 3-5% pay decreases. The non -represented employees volunteered nine furlough days for the reminder of 2009. The SEIU agreed to nine furlough days. The Teamsters agreed to nine furlough days but are still working out the details. Because it is extremely difficult for the Police and Fire Unions to take furlough days and would require someone taking a furlough day to be backfilled with overtime, they agreed to give up the holiday buyback program which totals approximately $200,000 for each union. Council President Wilson recalled there had been demands by Councilmembers and citizens for the City's employees to give back. He expressed his appreciation to the City's employees for the votes they took to help the City during these difficult times. He recognized the employees did not agree to those pay cuts to support the flower program or to put new carpet in Council Chambers but to keep the lights on and the doors open. He commented on the difficult time Snohomish County was having with their labor unions, noting in Edmonds, Mayor Haakenson asked and the unions and non -represented employees gave back. He requested Mayor Haakenson invite each union and a member of the non -represented employees to speak to the Council on April 21 when the Citizens Levy Review Committee will make their presentation to the Council. Mayor Haakenson referred to Council President Wilson's comment that the employees agreed to pay cuts to keep the lights on and the doors open, clarifying the employees agreed to pay cuts and furloughs to avoid losing jobs. Edmonds City Council Approved Minutes April 7, 2009 Page 8 Packet Page 16 of 33 of items to be included in the levy and a list of starting point cuts should the levy fail. If there were items in the levy request that the Council was uncomfortable with, he anticipated they would simply be removed by the Council or other items added. With regard to a title or a name for the levy, staff deferred to the Council's wisdom. Any levy proposal taken to the voters should accurately and completely detail what voters are getting with a yes vote and that voters should have a good understanding of what is at stake if the levy fails. He pointed out it could easily be assumed that if voters were asked to reinstate certain budgeted items, a levy failure would most likely mean the continued loss of those services. The likelihood of suggested budget cuts today being the same budget cuts six months from now, should the levy fail, was very high but not a certainty. The Council will make the final decision following the levy vote. Should the levy fail, he assumed City Departments will remain at 2009 levels, underfunded and understaffed. He explained significant adjustments had been made to the 2009-2010 budget allowing the City to survive this year's budget deficit. Many of those adjustments will not be available in 2010 should the levy fail. Programmatic cuts made in March to the parks department and police department would not be reinstated to the 2010 budget should the levy fail. Therefore the return of Yost Pool, Parks Maintenance, Crime Prevention, DARE and other similar programs would be highly unlikely. Furloughs and other labor givebacks that saved the city from layoffs will not be possible in 2010. He expected many positions would be eliminated from every department in the City. He explained it may be easier to consider the deficit the City would face if the levy were to fail. The current forecast shows a surplus in 2010 due to the measures put in place this year and three other changes. He pointed out any budget cuts had a residual effect on future years. The City would quickly drop off to a $750,000 balance in 2011 and then over a million dollar deficit in 2012 with the following years spiraling downward. The 2010 forecast does not include any furloughs, wage concessions, or layoffs and does include all the budgeted items that were cut for 2009. It includes the Development Services Director position open until the results of the levy vote are known or building activity increases. Staff believes the City can go another year without funding the vehicle replacement fund from the general fund and the projection includes revenue from red light camera fines, an item on tonight's agenda. A loss of that projected revenue would equate to a similar reduction in the ending cash balance for year end 2010. He noted all the Parks and Police programs that were cut in 2009 were back in the 2010 budget and would remain if the levy passed. Conversely, should the levy fail, they would once again be eliminated from the budget. If the levy fails, an orderly budget process will begin to make many of the same cuts that were made in 2009 plus additional layoffs, the only alternative to survive 2011. Budget year 2012 will see a much bigger reduction in work force; fewer employees will result in a loss of services and programs. The Citizen Levy Review Committee did their work predicated on a levy amount of $4.3 million. The dollar amount the Council selected in their resolution, $3.75 million, will allow the City's financial picture to stabilize until budget cycle 2015-2016 at which time the same pattern of deficit occurs. The Mayor recalled Council chose to include in the levy dollars a cash infusion to the ending balance fund. He suggested Council consider placing a high and low lid on that fund and if those amounts were reached, certain predetermined actions will take place. He estimated a cash infusion from the levy of $2.2 million into the ending cash balance fund. Edmonds City Council Approved Minutes June 16, 2009 Page 11 Packet Page 17 of 33 Council President Wilson commented the course of moving toward a levy has been a lengthy one, beginning in October with the creation of a revenue work group, the Council's unanimous decision in November to include a budget note that a levy would be placed on the ballot in fall 2009 knowing that it was a terrible economic climate, the Council's affirmation in February of a timeline that culminated with a levy this fall, the formation of the Citizens Levy Review Committee, and presentations from the CLRC that unanimously supported a fall levy. He agreed the Council needed to discuss consolidation/contracting with Fire District One, anticipating the Council would not complete discussions regarding fire consolidation before the July 28 deadline to place the levy on the November ballot. He summarized there was not a great deal of time to preempt the levy decision and suggested they be considered in parallel tracks. Councilmember Orvis agreed with Councilmembers Plunkett and Wambolt that the Council needed more information regarding fire consolidation before moving forward with the levy. Councilmember Plunkett asked whether the adjustments Mayor Haakenson made to the budget recently gave him more confidence that the City could get through 2010. Mayor Haakenson responded as a result of severe actions such as budget cuts and City employees taking furloughs, dollars saved in 2009 had an accumulative effect in 2010 which improved the ending cash balance for 2010. Councilmember Peterson agreed with the suggestion to discuss the levy and fire consolidation on parallel tracks. With the new information regarding fire consolidation, he was open to considering a levy this year or next year. Whether the levy was this year or next, the City still had very serious revenue issues. If the Council chose not to place a levy on the ballot this year, it must be for the right reasons. Council President Wilson commented he had hoped the Council would reach a preferred levy option at the next Council meeting with a final decision on July 21. He suggested a presentation and discussion on the Fire District One contracting at the July 7 meeting. Mayor Haakenson advised staff was meeting with Fire District One on June 25 and could have information to present to the Council by the July 7 meeting. Councilmember Plunkett expressed his preference to wait until after the fire consolidation presentation/discussion to make a decision regarding the levy. Councilmember Wambolt agreed with Councilmember Plunkett, commenting fire consolidation was not necessary to delay the levy until 2010. Council President Wilson pointed out although there was an adequate ending cash balance into 2010, delaying the levy means there was no Development Services Director, a short-staffed City Clerk's Office, and no clear plan to fund Yost Pool. Mayor Haakenson pointed out a levy was needed; whether it was in November 2009 or in 2010 was up to the Council. A levy was needed even if the city contracted for fire services with Fire District One; those were two separate issues. He did not anticipate a substantial increase in building activity that would require hiring a Development Services Director in the near future. With regard to Yost Pool, staff intends to issues a RFP this summer to identify parties interested in operating Yost Pool via a public/private partnership. He expressed concern the Council would shortchange themselves if they waited until July 21 to discuss the levy proposal and make a final decision July 28. He suggested discussing the levy proposal at next week's meeting including what items would be included in the levy, the levy title, etc. Alternatively he suggested the Council discuss at next week's meeting whether to proceed with a levy this year or delay it until next year. Councilmember Wambolt agreed with Mayor Haakenson's suggestion to discuss at next week's meeting whether to proceed with a levy this year. Edmonds City Council Approved Minutes June 16, 2009 Page 15 Packet Page 18 of 33 Mr. Yarberry reviewed a comparison of building permit revenues 2005-2010 (YTD and estimate) and a comparison of single family permits 2006-2010 YTD. He reviewed proposed changes in the 2011 Development Services budget: • Reductions o Administration — reduced supplies: ($4,700) o Building — reduced professional services, repairs/maintenance: ($67,800) o Planning — reduced professional Services: ($20,000) • One time addition o Planning — Professional Services UW Study: $31,550 Councilmember Plunkett inquired about the savings in the Administration line of the Development Services 2010 budget. Mr. Chave advised the majority of the savings was the Development Services Director salary and benefits; there were also savings in professional services. He advised the 2011 budget includes the Development Services Director position. Mayor Cooper explained his plan was to discuss advertising for that position with staff within the next month. The last recruitment effort did not result in a candidate that was acceptable to the former Mayor. Councilmember Plunkett suggested Mayor Cooper first confer with the Council regarding whether they wanted to fund that position. Councilmember Plunkett inquired about contracting out permitting. Mr. Chave answered Planning experimented with contracting with professional consultants during the period of high permit activity and found it was more expensive. Hiring temporary planning assistance during the peak period cost less than half the cost of contracting. Mr. Yarberry responded contracting out permitting was a model that some cities utilized and many of the standard building code inspections could be done in that manner. The difficulty in contracting for those services was obtaining the same level of service for review of items specific to Edmonds such as setbacks, height, etc. If the Council chose to use that model, the fees likely would need to be adjusted. Councilmember Plunkett acknowledged the graph illustrated the number of employees has tracked with the population, relaying a question that is often asked, why the City has not laid off staff in the Development Services Department during this recession. Mr. Chave answered staffing was never increased during recent peaks in development activity. Staff worked very hard to keep up during that time and it was very stressful. He concluded the department was now staffed appropriately. Councilmember Plunkett asked whether the Department was charging as much as it could. Mr. Chave answered it was time to do a thorough analysis of the City's fees. The City has done a good job recovering building fees but there is a great deal of room left. Planning fees legislatively have been kept somewhat lower. Councilmember Plunkett commented Seattle's expenses are covered by fees. Mr. Chave explained some services are not covered by fees such as public information, compliance with GMA, etc. Councilmember Plunkett suggested the cost of a building permit should cover the cost. Mr. Chave agreed, noting the policy has been to achieve close to 100% recovery. To maintain that recovery over time, the fees may need to be increased especially for building permits, planning permits, etc. Councilmember Plunkett asked whether an analysis of the fees could be completed in time for the upcoming budget. Mr. Chave did not think so. Councilmember Buckshnis advised the Citizens Levy Committee was reviewing the City's overall use of consultants. She inquired about the $350,000 for professional services for Development Services in the budget book. Mr. Chave answered Planning's professional services include Hearing Examiner and a professional minute taker for several Boards and Commissions. The Administration professional services budget is quite small. Edmonds City Council Approved Minutes August 31, 2010 Page 13 Packet Page 19 of 33 committee or they could proceed to the end of the process and then decide they do not want to participate. The planning committee plans to meet in March. He explained Kent had an intensive 2-year planning process prior to placing the RFA on the ballot as well as a 6-month outreach/public education process before the vote occurred. Because it is a 2-3 year process, the RFA discussions are not competing with the current discussions regarding a levy. He acknowledged a RFA would result in a tax increase but the City would no longer be spending General Fund money for fire protection and it would save the City's budget approximately $3.2 million/year. He advised Councilmembers Wilson, Petso and he are participating on the RFA planning committee. Discussion continued regarding definition of a region (at least two jurisdictions with contiguous boundaries), State law regarding formation of a RFA, guarantees that individual cities could request, equivalent tax rate of jurisdictions, cities and districts interested in participating in the planning committee, ability to have an advisory vote prior to the ballot measure, and FD1's consideration of a contractual consolidation with FD7. DIRECTORS' REPORTS (Con't) City Clerk As City Clerk Sandy Chase is on vacation, Mayor Cooper suggested Councilmembers review the information in the PowerPoint slides, and direct any questions to Ms. Chase. Human Resources Human Resources Director Debi Humann explained the Human Resources Department consists of Human Resources Assistant Mary Ann Hardie and herself. She briefly reviewed their backgrounds, education, and certifications. She described the Human Resources Department's responsibilities, summarizing she and Ms. Hardie are involved in all aspects of Human Resources from hiring to resignation/retirement/termination. Ms. Humann reviewed statistics since 2004 for L&I (workman's compensation), Family Medical Leave, and costs associated with the Disability Board (LEOFF 1). She emphasized the minimal staffing in Edmonds makes it difficult for staff to get their work done; this is particularly challenging in Human Resources with only two staff members. She provided a comparison of FTE to Human Resources staff in Edmonds and other cities. Ms. Humann reviewed 2011 Work Priorities/Opportunities: • Complete Hearing Examiner process • Assist Council with City Attorney process • Public Defender contract • Update City job descriptions (WCIA mandate) • Update City policies (WCIA mandate) • Recruitment for Development Services Director • Transition to new medical plans • Compensation Consultant process • Partner with PD on Corporal Assessment Center • LEOFF 1 records issues • Completion of union negotiations • Create job descriptions for new positions and negotiate with unions Ms. Humann reviewed 2011 projects that may not be completed: • Citywide accident prevention plan (OSHA requirement) • Website update • Emergency Operations Committee (EOC) Edmonds City Council Retreat Approved Minutes February 4-5, 2011 Page 8 Packet Page 20 of 33 Roger Hertrich, Edmonds, commented since Mayor Cooper arrived, there had not been any reductions in staff. He cited an example in the Planning and Building Department where two inspectors compete in the field because there are too many personnel and not enough work. He relayed comments from a developer who found it very confusing to have two inspectors on a project. He suggested Mayor Cooper reduce labor as a way to trim the budget as much as possible to avoid a levy. He suggested the TBD Board pursue funding for roads. He inquired about the status of the City's finances, commenting he was uncomfortable with increasing taxes until he knew more about the City's financial situation. Al Rutledge, Edmonds, suggested bringing in special events to generate revenue, citing the opening of Lynnwood Recreation Center. He suggested the City purchase Al Dyke's property and construct an entertainment center that would attract visitors and generate revenue. He suggested the answer may be a new pool in Edmonds. Councilmember Bernheim asked Mayor Cooper to comment on allegations that Development Services is over staffed and how he justified the $1.5 million paid in salaries and benefits to the 16 employees. Mayor Cooper explained the FTE in that department had been stable even during the boom years; staff was not added in that department during the boom years and the City received a lot of complaints about long lines and delays. Previous Councils and the Mayor did not reduce staffing because staff had not been added during the boom years. For at least the last 11/2 years the Council and Mayor made a conscious decision not to fill the Development Services Director position, resulting in salary savings for a job that pays in excess of $120,000/year. Councilmember Bernheim asked Mayor Cooper to comment on the current workload of employees in the Development Services Department; how the City was benefiting from their work if they are not processing applications for new development. Mayor Cooper offered to confer with Mr. Clifton regarding the number of FTEs in the department during the boom years and now and the workloads of each individual. During preparation of the 2011 budget, a decision was made to present a budget that left the Development Services Director position vacant for part of 2011 rather than reduce staffing elsewhere in the department. A code rewrite is needed and perhaps some reorganization is warranted to get that work done. He was uncertain the result would be fewer FTEs; it may result in employees doing different work. Councilmember Buckshnis inquired about the timeline for hiring a new Finance Director and possibly changing from an Administrative Assistant to a second Finance Director to assist with providing accurate and timely financials. Mayor Cooper responded the application period for a Finance Director closes Friday, April 29. On Monday, May 2, he will begin reviewing applications with the Human Resources Director and other staff members. They will narrow down the applicants and begin the interview process. If there is a pool of qualified applicants, his goal is to have the Council interview three finalists in time to make a decision in late May/early June. With regard to an Administrative Assistant, once a new Finance Director is hired, a holistic look will be given to reorganization. He has discussed reorganization citywide with other Directors. Councilmember Wilson advised the former Development Services Director Duane Bowman left April 1, 2008; the position has been vacant for over 3 years. In response to Mr. Wambolt, Councilmember Wilson explained Councilmember Buckshnis and he via the Public Safety & Human Resources Committee have been reviewing employee benefits at the direction of the City Council. It is not the Council's responsibility to renegotiate contracts with labor organizations and soliciting furloughs is the Mayor's responsibility. The Council's responsibility is the policy. Both Councilmember Buckshnis and he are up for re-election this year and he noted there was no political benefit to reviewing employee benefits. He pointed out many people, including possibly Mr. Wambolt, supported a $3.75 million levy a few years ago. The Mayor's proposal and the Council's discussions are clearly sensitive to the current economy. He agreed the financials were frustrating to everyone, but regardless of whether they were off by 5% or 10%, the City has a revenue problem not an expense problem. Edmonds City Council Approved Minutes April 26, 2011 Page 10 Packet Page 21 of 33 2. Reduced capabilities for code revisions 3. Status quo permit system, service and fee structure Councilmember Buckshnis observed the Development Services 2009, 2010 and 2011 budgets included approximately $173,000 for this position. Mr. Yarberry advised the funds had been budgeted and not used. Councilmember Buckshnis asked whether the Council could authorize not filling the position. Mayor Cooper advised the Council could decline to budget for the FIFE in the 2012 budget. He pointed out although the position had not been filled, some of the monies have been spent. Mr. Clifton explained some of the salary savings were spent on the Five Corners and Westgate plans and the Strategic Plan. Ms. Humann advised three postings have been done to fill the Development Services Director position but the responses have not resulted in an acceptable applicant. Councilmember Buckshnis questioned whether the position needed to be filled. She expressed her preference for budgeting in the appropriate category rather than transferring from a "salary slush fund." Mayor Cooper advised the Council approved funding for the Five Corners and Westgate Plans and the Strategic Plan during the budget process using the salary savings. His preliminary budget will have a recommendation regarding funding for this position. Councilmember Petso inquired about the other unfilled positions. Mayor Cooper listed the vacancies covered by his hiring freeze, advising the positions are included in the 2012 projection: Development Services Director — 1 Police Officer — 1 Permit Coordinator — 1 Custodian —1 Clerk's Office — 1 Seasonal Parks — 2 Councilmember Wilson asked whether it would be appropriate to combine Economic Development and Community Services into Development Services. With regard to code revisions, he suggested utilizing the City Attorney's office. Public Works Public Works Director Phil Williams provided the following information: • Projected 2012 Expenditure Budget: $3,040,367 • 2% Reduction $ 60,807 Account 2012 Projected 2012 Projected Proposed (Reductions)/ Expenses Revenue Revenue Increases Salaries & Benefits (leave one $1,762,107 ($61,100) one custodial position vacant) Professional Services — $5,000 ($ 5,000) Engineering Minor Equipment — $3,100 ($ 2,150) Engineering Miscellaneous - Engineering $9,600 ($ 4,320) Overtime $5,000 ($ 1,673) Total Budget Reduction/Increase Revenue $74,243 (2.44%) Edmonds City Council Approved Minutes September 6, 2011 Page 12 Packet Page 22 of 33 07-09-13 Finance Committee Minutes, Page 2 F. Authorization to Contract with James G. Murphy to Sell Surplus City Vehicles Mr. Williams reported this is a police seizure vehicle, a 1994 Ford Explorer. Funds from the sale of the will be placed in the 511 fund. Action: Schedule on Consent Agenda. G. May 2013 Monthly Financial Report Mr. Neumaier reviewed the May 2013 Monthly Financial Report, explaining the City is on track to achieve the budget and slightly exceed revenues. A more thorough presentation will be made at the time of the quarterly financial report. In response to a question regarding the negative YTD trend in gas utility tax, he offered to review prior years' trends and email Finance Committee members. Action: Schedule on Consent Agenda. E. Discussion Regarding Budget Amendment to Fund the Development Services Director Position. Mr. Neumaier relayed Councilmember Bloom's request to fund the Development Services Director position. He reviewed the history of the Development Services Director position and options for funding the position. Anticipating there may be other items Councilmembers want funded in the 2014 budget, Mr. Neumaier encouraged the Council to make priority decisions as part of the 2014 budget. Mayor Earling explained he met with Councilmember Bloom to discuss her interest in funding the Development Services Director position. Funding that position now would cost $140,000-150,000, he preferred not to obligate those funds this late in the year but would consider it along with other potential staff additions in the 2014 budget. He anticipated a preliminary budget with revenue and expense projections would be available in 2-3 months. Councilmember Yamamoto recommended this be discussed by the Public Safety & Personnel Committee. Councilmember Fraley-Monillas recommended discussion with the full Council. Action: Schedule for Public Safety & Personnel Committee. I. Park Impact Fee Ms. Hite provided an update regarding park impact fees. Mayor Earling vetoed the park impact fee ordinance; the primary concern was change of use, assessing commercial park impact fees at a different rate for retail versus office. The City Attorney has determined from an RCW that exempting change of use is not legal. Staff has worked with the City Attorney and consultant to draft an ordinance that will apply park impact fee to both resident and commercial; commercial will be defined in two categories, manufacturing and office/retail. Under the new ordinance, a park impact fee would only be assessed on new construction; a change of use would not be assessed a park impact fee. Action: Scheduled for full Council on July 23. H. Public Comments Bruce Witenberg, Edmonds, referred to a miscellaneous salary expense in the amount of $33,000 and over $58,000 in attorney fees, costs and pre -imposed judgment interest payable to the law firm of Frank Freed Subit & Thomas that were approved on the June 25 Consent Agenda. No information was provided in the agenda memo. He expressed concern with the lack of transparency and said the Council owes the public a televised explanation regarding the expenditures and why attorney fees exceed the miscellaneous salary expense. Councilmember Fraley-Monillas advised the City Attorney will respond. Ron Wambolt, Edmonds, echoed Mr. Witenberg's concerns. He pointed out the May 2013 Financial Report does not have projections. Councilmember Yamamoto indicated he would reach out to the city attorney to find out how much information can be released. Adjournment —The meeting adjourned at 6:51 p.m. Packet Page 23 of 33 M E M O R A N D U M Date: July 3, 2013 To: Edmonds City Council Finance Committee From: Roger Neumaier, Finance Director Subject: Development Services Director Position Information A Councilmember has proposed that the Development Services Director be funded within the General Fund. The position is currently filled with an acting appointment. I have been asked two questions to which this memo responds. Question #1: If Council decides to fund the Development Services Director position, what alternatives for Funding Exist? Available alternatives for funding the position in the General fund include: 1) Using fund balance. 2) Reducing expenditures elsewhere to achieve funding. 3) Updating revenue projections to create new revenue that can be used to fund the position. In this instance, each of these alternatives could be utilized. Question #2: What is the history of the Development Services Director Position since vacancy in 2009? The Development Services Director position was included in the 2009, 2010 and 2011 budgets. The Salary Budget for 2010 was $292,327. The Salary Budget for 2011 was $283,421. Actual Dollars expended for 2011 were $138,622. The 2010 and 2011 budgets were under -expended for salaries in this area. On page 114 of the 2011 budget, under the Development Services Administration narrative, it states: "Development Services Administration consists of the Director, two part-time Administrative Assistants and the Code Enforcement Officer." The 2012 Budget narrative (page 112) states: "Development Services Administration consists of the Director, two part time Administrative Assistants and the Code Enforcement Officer". I believe that this statement was an oversight error because the Salary Budget for 2012 was $152,794. The Salary Budget for 2013 was $148,131. In the narrative (page 112), it states "Development Services Administration consists of the Director (vacant and not budgeted other than for acting pay), two part time Administrative Assistants and the Code Enforcement Officer". This states the situation that is the case in 2013 and was the case in 2012. So, the change in budgeting staffing occurred during budget development in 2012. I would be pleased to respond to any follow up questions at the Finance Committee Meeting on July 91" City of Edmonds Finance Department Packet Page 24 of 33 Director in place to coordinate it. The position was left vacant to save funds needed during crisis times; that is no longer the case and the Council can budget and hire a responsible director. He questioned how the staff could enjoy working there without a director in charge. Roger Hertrich, Edmonds, commented Council meetings have become boring because the Council continues to discuss the same thing, Harbor Square. The Council has discussed Harbor Square 13 times, plus discussion by the Planning Board and the Port. The Port withdrew their application and he suggested the Council get on with valuable business instead of boring the public. 5. AUTHORIZE THE MAYOR TO SIGN A CONDITIONAL SETTLEMENT AGREEMENT & RELEASE WITH GRAY & OSBORNE, INC. Mr. Williams referred to the Haines Wharf Park and 75`"/76th Walkway project that resulted in improvements as well as difficulties getting the improvements delivered including a protracted conversation with the contractor, Precision Earthworks. Some of Precision's concerns were related to design documents, claims that they were not accurate or did not depict actual conditions in the field. Gray & Osborne was the design firm the City hired to design the park and the walkway. Gray & Osborne helped the City work with Precision to deflect and defend claims throughout the settlement process. When that concluded earlier this year, the City began a conversation with Gray & Osborne to reach a consensus on errors that were made and their impact on the City's project and the finances. He recommended approval of the proposed settlement agreement with Gray & Osborne for a total of $60,000 of which $35,000 is a cash payment from Gray & Osborne to the City and $25,000 is design services provided to the City at no cost during the settlement process with Precision. COUNCILMEMBER BUCKSHNIS MOVED, SECONDED BY COUNCILMEMBER PETERSON, TO AUTHORIZE THE MAYOR TO SIGN A CONDITIONAL SETTLEMENT AGREEMENT WITH GRAY & OSBORNE, INC. MOTION CARRIED UNANIMOUSLY. 6. EDMONDS DOWNTOWN BUSINESS IMPROVEMENT DISTRICT BOARD REQUEST TO AMEND CITY CODE SECTION 3.75.120 - EXTEND DEADLINE FOR SUBMITTING ANNUAL WORK PROGRAMS AND BUDGETS. (Councilmember Yamamoto joined the Council meeting via telephone.) Community Services/Economic Development Director Stephen Clifton explained the Edmonds Downtown Business Improvement District (EDBID) is requesting the submittal deadline for their 2013 work program and budget be changed from September 1 to October 31 and all subsequent annual submittal deadlines be changed from September 1 to October 1. He relayed Finance Director Roger Neumaier's indication that would be workable with regard to the budget. He relayed City Attorney Jeff Taraday's suggestion that to address the request to change the date from September 1 to October 31 this year, the Council delete September and insert October in ECDC Section 3.75.120 and add a sentence at the end, "unless otherwise agreed to by the City Council." COUNCILMEMBER PETERSON MOVED, SECONDED BY COUNCILMEMBER BUCKSHNIS, TO CHANGE THE 2013 DATE TO OCTOBER 31 AND AUTHORIZE THE CITY ATTORNEY TO PREPARE AN ORDINANCE AMENDING CITY CODE SECTION 3.75.120. MOTION CARRIED UNANIMOUSLY. 7. AUTHORIZATION TO RECRUIT FOR DEVELOPMENT SERVICES DIRECTOR Councilmember Bloom provided a history of the position: • Position vacated end of April 2009 • Two searches to locate a qualified Development Services Director were unsuccessful Edmonds City Council Draft Minutes August 6, 2013 Page 3 Packet Page 25 of 33 • Planning Manager Rob Chave appointed Acting Development Services Director on March 6, 2012 • Mr. Chave's appointment renewed in 2013 She relayed Mr. Chave is doing a very good job but she imagined doing two full-time jobs, one of which is supervising himself, is very difficult. The position has been vacated long enough that it has done damage to the operation of the Development Services Department. She acknowledged she missed the fact that the position was not budgeted in the 2013 budget. She relayed Mayor Earling's indication that he made a conscious decision not to present the position as a decision package in the 2013 budget. She concluded this oversight continues to put excessive burden on Mr. Chave and does a disservice to the Development Services Department, employee's workloads and citizens. Councilmember Bloom explained the Development Services Director is a City officer position, a position that requires the Mayor present three qualified candidates to the Council for interview and approval of the final candidate. That process is not required for appointment of an acting director; Mr. Chave has been in the position of Acting Development Services Director longer than the code intends. Councilmember Bloom requested the Council consider passing a resolution to begin recruitment for a Development Services Director position as soon as possible. Anticipating it will take a long time to find a qualified director, she felt it important to begin the search as soon as possible. Council President Petso asked if a resolution was required to begin the process of recruiting for a position or could the Council authorize the Mayor to begin the recruitment process. City Attorney Jeff Taraday answered there currently is no Development Services Director position in the budget. If the Council wanted that recruitment to begin, the Council could ask the Mayor to begin recruitment. He was uncertain the Mayor would be under any obligation to begin the recruitment because there is no position budgeted and the Mayor, as the Chief Executive Officer of the City, controls hiring decisions subject to appointment. The fact that the Council has confirmation authority of the position does not require the Mayor to begin a recruitment process when there is no budgeted position. Council President Petso asked if a resolution was required or could the Council do it by motion. Mr. Taraday said that did not matter. Council President Petso observed it appeared the position had been previously advertised and a decision made not to hire. She asked whether there was a downside to initiating recruitment now and then ceasing recruitment if a decision was made during budget deliberations not to reauthorize the position. Mr. Taraday advised commencing a recruitment process did not obligate the City to hire someone. Councilmember Buckshnis pointed out in the private sector, directors are promoted from within. The Acting Director has been in the position for a long time. She relayed Planning Commissioner Val Stewart's request that if the Acting Director applied for the position, consideration be given to the importance of the historical knowledge of the code, policies and past events along with the skill set and combined experience. Councilmember Buckshnis noted Mr. Chave is highly respected by other cities who participate in Snohomish County Tomorrow. She acknowledged the importance of the Acting Director's knowledge and suggested hiring consultants during busy periods. Councilmember Yamamoto questioned what damage had been done to the department or the community by not having a permanent Development Services Director in place. He agreed Mr. Chave is doing a very good job and suggested placing him into the position of permanent Development Services Director. Councilmember Yamamoto also cited the cost of a search process. He questioned what could be gained by an outside search, commenting Mr. Chave has a great deal of ability, experience and knowledge. Edmonds City Council Draft Minutes August 6, 2013 Page 4 Packet Page 26 of 33 Councilmember Fraley-Monillas commented the decision is to fill the Development Services Director position and the job requirements; the Council has no role in deciding whether Mr. Chave is selected as that is the Mayor's decision. Councilmember Peterson expressed concern with the timing of this item, preferring it be discussed during budget deliberations. To Council President Petso's question about beginning recruiting and then stopping if the position was not authorized during budget deliberations, he commented there may not be any legal issue but from a professional perspective it would bode poorly for the City in future recruitment for this position or other director positions. After the Mayor presents the budget, the Council can make changes to the budget including authorizing this position. He summarized including the position in the budget is the first step; recruiting without a funded position is not a wise course of business action. He agreed filling the position may take a long time but he questioned who will apply if the position is not funded. In response to Councilmember Yamamoto's question about what damage has been done to the department, Councilmember Bloom explained Mr. Chave stepped into the position of Acting Development Services Director after three years without any leadership in the department. The Development Services Director oversees five chapters of code and she assumed many things were not being done when no one was accountable for overseeing the code. She summarized the damage had been done before Mr. Chave was appointed Acting Development Services Director and no one could have corrected the damage caused by that lack of leadership. Councilmember Bloom suggested correcting the damage by beginning to recruit for the position now, relaying her preference that the position had been budgeted for 2013 and that recruitment had begun earlier this year. To Councilmember Fraley-Monillas' comment that it is the Mayor's decision, Councilmember Bloom read from the code regarding city officer positions, "the City Council shall interview the top three candidates for each position prior to the Mayor's final selection provided that the Council may waive the three interview requirement by motion and may opt to interview as few as one candidate for any vacant position. The Mayor's appointments to all other employee positions shall not be subject to City Council confirmation." She noted the Public Safety & Personnel Committee (comprised of Councilmember Peterson and she) are considering amendments to this code section. She clarified not only does the Council interview candidates for all city officer positions, the Council approves the Mayor's appointment and reviews all job descriptions prior to filling the position. She summarized the Council has a very active role in the Development Services Director position. Councilmember Bloom agreed with Councilmember Peterson's concern regarding the timing, commenting the right time was during the last budget cycle. The amendments the Public Safety & Personnel Committee is considering include how acting officer positions are appointed and approved and the length of time before a search is initiated. Councilmember Fraley-Monillas advised the Mayor makes the ultimate selection of officers as was done most recently in the selection of the Finance Director; the Mayor presented two candidates and the Mayor made the decision to hire one of them. She referred to comments made during Audience Comments regarding the need for a Development Services Director to address issues that range from stormwater to assigning job tasks. She agreed with Councilmember Peterson that when recruitment begins, there should be a general idea of whether the position will be filled. A search process requires a great deal of time and money for the Human Resources Department. The cost is unknown as a decision has not yet been made whether the Director position will be an added position or take the place of another position. Councilmember Johnson relayed that the Finance Committee recommended this proposal be sent to the Public Safety and Personnel Committee. She agreed that would be a prudent first step in preparing for the budget decision. Edmonds City Council Draft Minutes August 6, 2013 Page 5 Packet Page 27 of 33 Councilmember Buckshnis said the three years without an Acting Director was due to the actions of previous mayors, not Mayor Earling. If a decision is made to fund the position, she suggested Mayor Earling promote from within. Council President Petso clarified the Finance Committee was split; one Councilmember wanted to refer it to the Public Safety and Personnel Committee and the other wanted it brought to full Council. She made a decision to present it to the full Council for discussion of whether to proceed as Councilmember Bloom proposed, refer it to Public Safety and Personnel Committee or defer it to the budget process. Council President Petso agreed when/if the Council authorizes the process, the Council does not need to state whether to promote from within or conduct a search. The position would be opened to applicants from within and outside the City and the Mayor will select the candidates for Council to interview. She suggested the Council focus on how to proceed, whether to forward it to committee, wait for the budget process or begin advertising the position with the expectation that will help fill the position sooner. Councilmember Peterson preferred to delay further discussion until budget deliberations. He did not want to consider funding this position without considering funding of other positions such as a police officer or funding other cuts that were made. He was aware the Development Services Director position was not funded in the 2013 budget and although he was not happy about it, he was not happy with many of the other cuts that were made but necessary. The appropriate place to consider this position was during budget deliberations when staff and services can be considered as a whole. Based on her reading of the code which requires the Mayor present the top three candidates for interview by the Council, Councilmember Bloom did not feel this was a position that the Mayor can promote from within. She understood the inclination for delaying until budget deliberations but that assumed the Development Services Director position would not be funded and she could not fathom that the Development Services Director position would not be funded. The code states an acting director cannot be in a position on an ongoing basis. She agreed the Public Safety & Personnel Committee could review the job description and the cost of a recruitment process and estimate the time to conduct a search, etc. to provide additional information for the budget process. Even if a process was initiated this year, she felt it unlikely the position would be filled by the end of 2013. She recommended referring the matter to the Public Safety and Personnel Committee and returning to the Council with additional information. Councilmember Yamamoto, a member of the Finance Committee, relayed his supported for forwarding this to the Public Safety and Personnel Committee. Councilmember Buckshnis disagreed with referring it to the Public Safety and Personnel Committee as she viewed this as a finance issue. If a Councilmember feels strongly about filling the position, it should be done via a budget amendment which is reviewed by the Finance Committee. She recalled funding for previous director positions was reviewed by the Finance Committee. Councilmember Fraley-Monillas agreed with Councilmember Buckshnis, noting the Human Resources Department has the job description, costs, etc. The Finance Committee could review a budget amendment to fill the position sooner than the 2014 budget, but she preferred to discuss the position as part of the 2014 budget. Councilmember Bloom commented another pending item is the rewrite of Chapter 2 which discusses acting director and officer positions and how they are filled. That is on the Public Safety and Personnel Committee's agenda and the committee could address this position at the same time. Council President Petso suggested scheduling it on both the Finance Committee and the Public Safety & Personnel Committee's agenda, with each committee addressing relevant aspects of the proposal. Mayor Earling explained, at his request, Planning, Building and Engineering staff have been discussing how to be more user friendly, more productive, and make better decisions. For example the three Edmonds City Council Draft Minutes August 6, 2013 Page 6 Packet Page 28 of 33 divisions did not previously meet on a regular basis to discuss projects; they do now. A group of staff members have held 12 meetings over the last 7-8 months to develop a series of recommendations. Mayor Earling distributed information that includes a memorandum from him with his recommendations, a memo from Mr. Williams regarding the process and a matrix with tasks, purpose/general information, and status. A series of improvements have been made by Planning, Building and Engineering in the past several months to improve the flow of work. There is a sense of camaraderie, working together and understanding of their common mission. At the forefront of that has been Rob Chave. Mr. Chave has done a fabulous job in his role as Acting Development Services Director. With the quality of Mr. Chave's work and interdisciplinary cooperation, Mayor Earling recommended a direct appointment of Mr. Chave as permanent Development Services Director. Mr. Chave is comfortable taking on the director position as well as a fair amount of the Planning Manager role. Mayor Earling relayed his recommendation also includes establishing a new position for Kernen Lien to assume a portion of the Planning Manager's work. Mr. Lien is comfortable and enthusiastic about the opportunity to explore a new responsibility. He provided the following cost comparison: Mayor's Recommendation • Salary increase costs: $23,000 - $27,000 (includes benefits) • Total cost: $23,000 - $27,000 Newly Created Director Position • Salary & benefits costs: $184,000 • Search costs: $20,000 • Total cost: $204,000 Mayor Earling explained initial projections indicate there may be an additional $600,000 for allocation; the $204,000 cost of a newly created director position would substantially reduce that amount. He explained his preliminary 2014 budget will include some one-time costs such as security issues in the IT department at a cost of $50,000 - $70,000. Mayor Earling reiterated Mr. Chave and Mr. Lien have done and will continue to do fabulous work. He looked forward to their direct appointments. Councilmember Fraley-Monillas asked when Mayor Earling wanted the Council to approve/disapprove his proposal. Mayor Earling preferred to move it along as expeditiously as possible such as September or October. Because of the lower dollar amount, it would have considerably less impact on the budget. Councilmember Buckshnis asked how the senior planner's workload would be addressed. She noted Leif Bjorback had done a great job in the Building Official position. Mayor Earling responded Mr. Chave is comfortable with assuming the director position and a portion of the planning manager. Mr. Lien is comfortable with assuming a small amount of the planning manager's duties. In addition, a planner who was on maternity leave returned two weeks ago. Due to increased workloads, he likely will propose utilizing contract staff on an as -needed basis in the amount of $20,000 - $30,000. That will be included as part of the 2014 budget. COUNCIL PRESIDENT PETSO MOVED, SECONDED BY COUNCILMEMBER BLOOM, TO REFER THIS TO THE PUBLIC SAFETY AND PERSONNEL COMMITTEE AND THE FINANCE COMMITTEE FOR CONSIDERATION IN LIGHT OF THE NEW INFORMATION THAT HAS BEEN PROVIDED BY MAYOR EARLING THIS EVENING. MOTION CARRIED UNANIMOUSLY. 8. POTENTIAL ACTION REGARDING A PROPOSED INTERIM ORDINANCE / CRITICAL AREAS 'ALLOWED ACTIVITIES' PROVISIONS Senior Planner Kernen Lien explained the critical area regulations are not completely consistent with the Best Available Science (BAS) report that was prepared as part of the Critical Areas Ordinance (CAO) update in 2004, particularly in regard to allowed activities. Allowed activities are activities that can occur within a critical area or critical area buffer. Allowed activities can be conditioned, but must use best management practices and must not degrade associated critical area. Examples include utility Edmonds City Council Draft Minutes August 6, 2013 Page 7 Packet Page 29 of 33 City of EDMONDS Washington DEVELOPMENT SERVICES DIRECTOR Department: Development Services Pay Grade: NR-20 Bargaining Unit: Non Represented FLSA Status: Exempt Revised Date: November 2012 Reports To: Mayor POSITION PURPOSE: Under administrative direction, directs and administers the planning, organizing, controlling and directing the operations and activities of the Development Services Department including Building and Planning functions. Supervises and evaluates the performance of assigned personnel. Responsible for all functions related to review of proposed development activities. Directors are responsible for the operations of the departments and may delegate signing authority except as limited by the provisions of Edmonds City Code or state or federal law. ESSENTIAL FUNCTIONS AND RESPONSIBILITIES: The following duties ARE NOT intended to serve as a comprehensive list of all duties performed by all employees in this classification, only a representative summary of the primary duties and responsibilities. Incumbent(s) may not be required to perform all duties listed and may be required to perform additional, position -specific duties. • Directs Department operations to maintain effective and efficient programs; ensure compliance and accountability with Federal, State and local regulations, policies and procedures. • Plans, directs, coordinates, monitors and reviews the work of assigned staff ensuring that services and work products meet quality and safety standards; assigns work activities and coordinates schedules, projects and program. • Supervises, coaches, trains and motivates staff; coordinates and/or provides staff training. • Provides constructive feedback to staff, reviews and evaluates work and makes effective suggestions and recommendations. • Directs the Department employment and hiring process and employee relations. • Manages the workflow and prioritization of projects and measures the performance of the Department and all related staff and takes appropriate corrective action when necessary. • Develops, administers, maintains and oversees the Departmental budget including: the annual or bi- annual budget, outside funding, revenues, assists with the Capital Improvement Program and Capital Facilities Program. • Makes recommendations and forecasts for future funds needed for staffing, equipment, materials and supplies; recommends efficiencies to keep costs within established financial guidelines; approves Departmental expenditures and implements adjustments. • Provides advice and coaching to staff; develops work plans for staff. • Implements and / or recommends corrective actions, discipline and termination procedures as appropriate / necessary. • Develops action plans and metrics analyzing operational results and ensures the effective allocation and utilization of resources. Development Services Director November 2012 Packet Page 30 of 33 JOB DESCRIPTION Development Services Director • Serves as staff on a variety of boards, commissions and committees and prepares and presents staff reports and other necessary correspondence. • Develops action plans and metrics; analyzes operational results and assures the effective allocation and utilization of resources. • Attends and participates in professional group meetings maintaining awareness of new trends and developments in the fields related to area of assignment; incorporates new developments as appropriate and ensures processes, policies and practices are interpreted and applied consistently and effectively. • Oversees the preparation and maintenance of a variety of reports, records and files related to assigned activities; prepare and maintain records and reports related to budgets, plans progress, personnel and related activities. • Provides leadership and knowledge on emergency response/emergency operations and recovery activities. • Participates in special assignments or projects as required and as priorities are set by the City Council or Mayor; researches complex issues to specific initiatives; plans, develops and reviews technology improvements and initiatives at the department and city level; collaborates with other departments and IT. • At the direction of the Mayor, work with Council to provide thorough information, analysis, pros/cons, consequences, options and recommendations for Council to make informed decisions. • Develops implementation schedules, approaches and strategies; may present plans, projects, code amendments and historical and regulatory reviews to boards, commissions and City Council; may also present similar concepts to other city staff in order to coordinate and/or provide education on specific topics. • At the direction of the Mayor, works with Council to provide thorough information, analysis, pros/cons, consequences and options on specific topics; and recommendations for Council to make informed decisions. • Plans, organizes and directs a variety of programs, projects and activities related to the Development Services Department including Building and Planning. • Oversees private development and long-range planning activities and assists in the implementation of the City's Capital Improvement Program as directed. • Establishes customer services programs to assure that citizens achieve their objectives in the most timely and efficient manner. • Provides technical expertise, information and assistance to the Mayor regarding assigned functions; assists as needed in the formulation and development. • Plans, organizes and implements long and short-term programs and activities designed to develop assigned facilities and services. • Directs the preparation and maintenance of a variety of narrative and statistical routine and non -routine reports, records and files related to assigned activities and personnel. • Communicates with other administrators, various City departments, city staff, outside organizations and contractors to coordinate activities and programs, resolve issues and conflicts and exchange information. • Develops and prepares the annual preliminary budget for Development Services; analyzes and review budgetary and financial data and control and authorize expenditures in accordance with established limitations. • Assists with related communications and public relations; attends and conducts a variety of meetings as assigned; attends and makes presentations at City Council meetings; represents the City with outside agencies and private parties; facilitates review of public concerns and inquiries, and maintains documentation of such. (Log complaints and resolutions) • Fulfills roles and responsibilities on the EOC team as assigned by the Mayor. • Perform related duties as assigned by Mayor. • Acts as SEPA official. • Continually reviews and makes recommendations for Development code updates. Development Services Director Packet Page 31 of 33 November 2012 JOB DESCRIPTION Development Services Director Required Knowledge of: • City organization, operations, policies and procedures. • Planning, organization and direction of the Development Services Department including Building and Planning functions. • Building, Engineering, and Planning Functions. • Principles and practices of governmental budget preparation and administration. • Structure, organization and interrelationships of city departments, agencies and related governmental agencies and offices affecting assigned functions. • Federal, state, and local laws, rules and regulations related to assigned activities and programs relevant to assigned functions. • Effective oral and written communication principles and practices. • Program/project management techniques and principles. • Research methods and report preparation and presentation. • Modern office procedures, methods, and equipment including computers and computer applications such as: word processing, spreadsheets, and statistical databases. • English usage, spelling, grammar and punctuation. • Principles of business letter writing. • Advanced principles and practices of governmental budget preparation and administration. • Supervisory and training principles, best management practices, methods and techniques. • Contract negotiation and administration. Administrative program / project management techniques and principles. Required Skill in: • Interpreting and applying applicable federal, state and local rules and regulations; administering City and departmental policies and procedures sufficient to administer, discuss, resolve and explain them. • Planning, organizing, controlling and directing the activities and operations of Development Services of the City including Building and Planning functions. • Performing policy analysis, including development of alternatives, cost/benefit and other types of decision analysis. • Administering program goals and objectives; implementing initiatives and recommendations in support of department and City goals. • Utilizing personal computer software programs and other relevant software affecting assigned work and in compiling and preparing spreadsheets. • Analyzing situations accurately and determining an effective course of action; preparing reports including providing and analysis and recommendation and/or options as requested by the Mayor to Council. • Meeting schedules and time lines and working independently with little direction. • Establishing and maintaining effective working relationships with staff, management, vendors, outside agencies, community groups and the general public. • Maintaining confidentiality and communicating with tact and diplomacy. • Applying program/project management techniques and principles. • Developing and monitoring departmental and program/project operating budgets, costs and schedules. • Communicating effectively verbally and in writing, including public relations and public speaking. • Supervising, leading, coaching and using best management practices to improve staff performance; delegating tasks and workload assignments. Development Services Director Packet Page 32 of 33 November 2012 JOB DESCRIPTION Development Services Director MINIMUM QUALIFICATIONS: Education and Experience: Bachelor's Degree in public administration, engineering, planning or related field and seven years of experience with four years of increasingly responsible management experience in the administration of City planning or building functions. Master's Degree or AIC or PE preferred. Required Licenses or Certifications: Valid State of Washington Driver's License. Must be able to successfully complete and pass a background check. WORKING CONDITIONS: Environment: • Office environment. • Constant interruptions. Physical Abilities • Hearing, speaking or otherwise communicating to exchange information in person or on the phone. • Operating a computer keyboard and other office equipment. • Reading and understanding a variety of materials. • Sitting or otherwise remaining in a stationary position for extended periods of time. • Bending at the waist, reaching above shoulder or horizontally or otherwise positioning oneself to accomplish tasks. • Walking or otherwise moving to inspect sites. • Ability to wear appropriate personal protective equipment based on required City Policy. Hazards: • Contact with potentially angry and/or dissatisfied customers. Incumbent Signature: Department Head: Date: Date: Development Services Director Packet Page 33 of 33 November 2012