10/29/2002 City Councilhange to
Agenda
EDMONDS CITY COUNCIL APPROVED MINUTES
October 29, 2002
The Edmonds City Council meeting was called to order at 7:02 p.m. by Mayor Gary Haakenson in the
Council Chambers, 250 56'Avenue North, Edmonds, followed by the flag salute.
ELECTED OFFICIALS PRESENT
Gary Haakenson, Mayor
Dave Earling, Council President
Jeff Wilson, Councilmember
Michael Plunkett, Councilmember
Lora Petso, Councilmember
Dave Orvis, Councilmember
Richard Marin, Councilmember
Deanna Dawson, Councilmember
ALSO PRESENT
Brandy Grout, Student Representative
1. APPROVAL OF AGENDA
STAFF PRESENT
Tom Tomberg, Fire Chief
David Stern, Chief of Police
Duane Bowman, Development Serv. Director
Stephen Clifton, Community Services Director
Peggy Hetzler, Administrative Services Director
Arvilla Ohlde, Parks and Recreation Director
Noel Miller, Public Works Director
Brent Hunter, Human Resources Director
Rob Chave, Planning Manager
Dave Gebert, City Engineer
Steve Bullock, Senior Planner
Scott Snyder, City Attorney
Sandy Chase, City Clerk
Jana Spellman, Senior Executive Council Asst.
Jeannie Dines, Recorder
COUNCIL PRESIDENT EARLING MOVED, SECONDED BY COUNCILMEMBER MARIN, TO
ADD A "20 MINUTE EXECUTIVE SESSION REGARDING A REAL ESTATE MATTER" TO
THE AGENDA AS ITEM 3 AND MOVE AGENDA ITEM 3 TO ITEM 3A.
Councilmember Petso suggested scheduling the Executive Session after items on the agenda that the
members of the public were present to hear. Council President Earling explained the City Attorney could
be excused following the Executive Session, thereby avoiding payment for his services during the
remainder of the meeting.
MOTION CARRIED UNANIMOUSLY.
COUNCILMEMBER MARIN MOVED, SECONDED BY COUNCILMEMBER ORVIS, FOR
APPROVAL OF THE AGENDA AS AMENDED. MOTION CARRIED UNANIMOUSLY.
2. CONSENT AGENDA ITEMS
Councilmember Petso requested Item E be removed from the Consent Agenda.
COUNCILMEMBER MARIN MOVED, SECONDED BY COUNCILMEMBER WILSON, FOR
APPROVAL OF THE REMAINDER OF THE CONSENT AGENDA. MOTION CARRIED
UNANIMOUSLY. The agenda items approved are as follows:
(A) ROLL CALL
Edmonds City Council Approved Minutes
October 29, 2002
Page 1
[Approve
10/22/02
inutes
(B) APPROVAL OF CITY COUNCIL MEETING MINUTES OF OCTOBER 22, 2002.
Approve
(C) APPROVAL OF CLAIM CHECKS #58683 THROUGH #58847 FOR THE WEEK OF
]aim
Checks
OCTOBER 21, 2002, IN THE AMOUNT OF $279,313.92.
]aims for
(D) ACKNOWLEDGE RECEIPT OF CLAIM FOR DAMAGES FROM PAUL QUAM AND
amages
CYNTHIA QUAM-PATTERSON ($141.53) AND THOMAS STEDMAN ($87.35).
Item E• Approval of Findines of Fact for a Closed Record Review held on October 15, 2002 on the Hearin
Fact —PRD
Examiner's recommendation to approve the application for a six -unit multi -family Planned Residential
Findings D Development (PRD) and subdivision. The site is located at 614 Bell Street and is zoned Multi -Family
Located at Residential (RM -1.5). (Applicant: Garbe/Weller Construction. File Nos. PRD -2002-102 and PRD -2002-103)
614 Bell St.
(Garbe/ Councilmember Petso observed the Findings of Fact state there was no evidence in the record indicating
eller) the proposal did not satisfy the 10% open space requirement. She questioned whether the application
must have evidence indicating the requirement was satisfied. City Attorney Scott Snyder recalled that
although the actual calculation was not in the record, the basis for the mathematical calculation was in
the record. Further, there was nothing in the record to indicate that requirement had not been met. He
explained the intent in the Findings was to indicate the Council was relying on staff s calculation that the
10% open space was provided.
Councilmember Petso asked whether it was the applicant's burden to demonstrate that a requirement of
the ordinance had been met. Mr. Snyder clarified that by providing surveys by a registered land surveyor
and the materials necessary to make that calculation, the application demonstrates the requirement was
met. Councilmember Petso pointed out the calculation was not in the record. Mr. Snyder clarified there
needed to be sufficient facts in the records to make the calculation; the basis was contained in the record
and, although the calculation itself was not in the record, staff has indicated they made that calculation
and the 10% open space requirement was met. He acknowledged that although no mathematical formula
or square footage was provided, there was sufficient basis to make that calculation.
Mr. Snyder assured the findings were based on the vote of the Council. Councilmember Petso
questioned whether the vote of the Council was legal in that the record showed "2,000 something" square
feet of open space but did not show that the open space met the requirements of the ordinance. Mr.
Snyder explained the record must contain substantial and competent evidence to support the decision. It
was his opinion that the record contained substantial and competent evidence to support the Council's
decision. He reiterated the basis for the calculation was in the record and it was his opinion that the
applicant met the burden of proof by providing that.
Councilmember Petso indicated she would vote against approval of the Findings of Fact due to her
concern that the applicant did not show they met the requirements of the ordinance and her concern that
regardless of the square footage provided, the 6 -foot walkway between 30 -foot buildings was not usable
open space, and, in fact, was not open space once it was paved for sidewalks.
COUNCILMEMBER PLUNKETT MOVED, SECONDED BY COUNCILMEMBER ORVIS, FOR
APPROVAL OF ITEM E. MOTION CARRIED (5-2), COUNCILMEMBERS PETSO AND
DAWSON OPPOSED. The agenda item approved is as follows:
(E) APPROVAL OF FINDINGS OF FACT FOR A CLOSED RECORD REVIEW HELD ON
OCTOBER 15, 2002 ON THE HEARING EXAMINER'S RECOMMENDATION TO
APPROVE THE APPLICATION FOR A SIX -UNIT MULTI -FAMILY PLANNED
RESIDENTIAL DEVELOPMENT (PRD) AND SUBDIVISION. THE SITE IS LOCATED
AT 614 BELL STREET AND IS ZONED MULTI -FAMILY RESIDENTIAL (RM -1.5).
(Applicant: Garbe/Weller Construction. File Nos. PRD -2002-102 and P-2002-103)
Edmonds City Council Approved Minutes
October 29, 2002
Page. 2
n- 1cutive 3. EXECUTIVE SESSION REGARDING A REAL ESTATE MATTER
Sion
At 7:10 p.m., Mayor Haakenson recessed the Council to Executive Session for a 20 minute discussion
regarding a real estate matter. At 7:30 p.m., the Executive Session was extended for five minutes. The
meeting was reconvened at 7:35 p.m.
COUNCIL PRESIDENT EARLING MOVED, SECONDED BY COUNCILMEMBER PLUNKETT,
ddition to TO ADD "AN ORDINANCE OF THE CITY OF EDMONDS RELATING TO CONTRACTING
he Agenda INDEBTEDNESS, AUTHORIZING THE ISSUANCE OF LIMITED TAX GENERAL
OBLIGATION BONDS FOR GENERAL CITY PURPOSES" AS AGENDA ITEM 7A. MOTION
CARRIED UNANIMOUSLY.
LInitiative
3A. PROPOSED RESOLUTION OPPOSING INITIATIVE 776, WHICH CONCERNS STATE AND
LOCAL GOVERNMENT CHARGES ON MOTOR VEHICLES. THIS MEASURE WOULD
REQUIRE LICENSE TAB FEES TO BE $30 PER YEAR FOR MOTOR VEHICLES, INCLUDING
LIGHT TRUCKS. CERTAIN LOCAL -OPTION VEHICLE EXCISE TAXES AND FEES USED
FOR ROADS AND TRANSIT WOULD BE REPEALED
Council President Earling read Resolution No. 1030, a Resolution Opposing Initiative 776, into the
record:
WHEREAS, The voters in King, Pierce, and Snohomish Counties voted to impose a Motor Vehicle
Excise Tax (MVET) of up to 0.8% to support the creation of the Sound Transit regional transit authority;
and
WHEREAS, Douglas, King, Pierce, and Snohomish Counties have by statute imposed an optional $15
local options vehicle license fee, a portion of which is distributed to the City of Edmonds to be used
solely for transportation purposes; and
WHEREAS, Initiative 776 takes away local voter control by having voters in all of Washington's 39
counties repeal the above-mentioned funds that were approved locally in four counties; and
WHEREAS, the loss of the revenues voted in by the voters in King, Pierce, and Snohomish Counties will
significantly impact the transportation system in the Puget Sound area including Sound Transit, the
Washington State Ferry system, and the local communities' street capital and maintenance programs; and
WHEREAS, Initiative 776 will significantly impact the City of Edmonds with the loss of approximately
$350,000 per year, which is used for the city's transportation capital fund, including street overlays, and
leads to a potential $2,100,000 negative cash balance in our adopted six-year capital improvement
program; and
WHEREAS, the impact on the City of Edmonds' street overlay program results in over a $1,000,000 cut
in street overlays, which leads to a 53 -year replacement cycle rather than the current 30 -year cycle; and
WHEREAS, the impact on the city's sidewalk and bikeway projects would be over $600,000 over six
years.
NOW THEREFORE BE IT RESOLVED, that the Mayor and City Council oppose Initiative 776.
Councilmember Petso indicated she would abstain from the vote due to her practice of not taking a
position on issues on the ballot.
Mayor Haakenson opened the public participation portion of this item. There were no members of the
public present who wished to address the Council, and Mayor Haakenson closed the public participation
portion.
COUNCIL PRESIDENT EARLING MOVED, SECONDED BY COUNCILMEMBER MARIN,
FOR APPROVAL OF RESOLUTION NO. 1030, A RESOLUTION OPPOSING INITIATIVE 776.
MOTION CARRIED (6-0-1), COUNCILMEMBER PETSO ABSTAINING.
Edmonds City Council Approved Minutes
October 29, 2002
Page 3
003 14. PRESENTATION OF THE 2003 PRELIMINARY BUDGET
udget
Mayor Haakenson explained the same evening he was elected mayor in November 1999, the voters also
approved citizens' Initiative 695. He commented he knew then that the time would eventually come
when he would have to deliver bad news and, although the State Legislature by way of a couple years of
revenue backfill postponed the bad news for awhile, tonight the time had come.
Mayor Haakenson explained the initiative process resulted in the loss of revenues to the City worse than
any recession. The aftereffects of the terrorist attack of September 11b drove the economy into such a
depressed state that it may be years before the economy recovers. The bottom line, he explained, was
that due to these circumstances, the revenues needed to continue the provision of services to citizens have
been severely reduced which will result in severely curtailed city services. He explained Initiative 695
and the subsequent Initiative 747 resulted in the loss of $2 million yearly to the City and there was no
replacing that amount of money.
Mayor Haakenson explained the City's General Fund budget for 2002 was $24.5 million which paid for
the following services among others: Police and Fire Departments ($12.4 million), Parks & Recreation
($2.6 million), Development Services ($2.4 million), Administrative Services ($2.0 million), Public
Works Administration and Facilities Maintenance ($1.3 million) and Non -Departmental ($2.3 million).
He explained Non -Departmental consists of outside agencies to whom the City paid for services such as
the State and County as well as debt service.
Mayor Haakenson clarified the General Fund budget was really the day-to-day budget of the City. The
expenses that make up the General Fund pay for the provision of services that the City offers to its
citizens. The City is a business, a business that offers police and fire protection as well as a wide
assortment of parks and recreation services. The City has the responsibility of making sure buildings are
built to required codes so the City offers Development Services. He explained some services the City
provided were required by law and some were expected by citizens; the City's business was to provide
these services to its customers.
Mayor Haakenson explained that as a service business, the City was heavily reliant on people as people
were required to perform the services the City offers. He pointed out Edmonds did not have as many
people providing services as most cities did. Each Edmonds employee serves 149 citizens whereas each
Lynnwood employee serves 106 citizens and each Kirkland employee serves 120 citizens. He
emphasized the City was not heavy in employees, in fact, the City's employees were asked to do more
than in most cities and their productivity was higher than any other city. He explained any reduction in
employees in the City meant a reduction in service from a workforce that was already stretched to the
breaking point.
Mayor Haakenson explained budget cuts made over the past three years have depleted supplies to bare
bones levels. Travel and training were at minimum, mandatory levels. He emphasized there was no fat
to cut. The only way to reduce the budget, he explained, was to reduce people and thereby reduce service
at the same time.
Mayor Haakenson explained the Edmonds Fire Department budget consists of 91% salaries, overtime
and benefits. The Police Department figure is 87%. Citywide the number is 84%. He noted these were
staggering numbers when one was looking for places to make cuts and the only decision was how many
people to cut and from what areas. He emphasized when an organization was 84% labor intensive with
the service they provided, the result of cuts would be a dramatic drop in service levels. He explained
Edmonds City Council Approved Minutes
October 29, 2002
Page 4
what made the task even more difficult was when employees were cut in some areas to reduce expenses,
the revenue those employees generate in areas where the City charges for service may also be reduced.
Mayor Haakenson noted the 2003 budget had been reduced by 8% over last year in the amount of $2
million and proposed a workforce reduction of 35 employees, 35 employees from an already lean and
overworked workforce. He outlined the areas where the cuts would occur:
Fire Department
The cuts will eliminate the positions of Assistant Fire Chief and Fire Inspector (who will replace one of
the three firefighter positions being cut). Eight reserve firefighters and a 20 -hour administrative support
position will also be cut. This leaves a management staff of the Chief and Fire Marshal, with one
administrative assistant to manage a workforce of 48 employees. The shared position of third floor
receptionist will also be eliminated.
Police Department
The cuts equate to the loss of ten part-time and six fulltime positions. This includes reserves and records
management personnel. There will be no night or weekend employees at the police counter. The Police
Department will lose one animal control officer who has also been responsible for parking enforcement
and the Department will lose its internationally acclaimed Crime Prevention Officer as well as two police
officers (although one will be filled from another of the cuts). These losses will necessitate shuffling
some job assignments. The City will lose the D.A.R.E. program and the Youth Services Sergeant will be
reassigned. With the losses of the D.A.R.E. and Crime Prevention Unit, and all the associated programs,
the City's Police Department will no longer be a proactive Police Department but a reactive one.
Development Services
The cuts amount to the equivalent of five fulltime employees. These include the Administrative
Assistant for the Building Department, an Engineering Inspector, both part-time receptionists on the
second floor, a planner and the accounting coordinator. The immediate impact will be a loss of customer
service with not only the inability to have a receptionist to greet customers and call for staff assistance
but the counter itself will see a reduction in the hours open to the public. Permit reviews and issuance
will take much longer. Accounting duties will be transferred to the Accounting office and all phone calls
will have to be answered by the first floor receptionist. No payments for permits will be taken on the
second floor, customers will have to be referred to the first floor accounting office. Code revision,
mapping updates, code enforcement as well as support help for the Parking Committee and Historic
Preservation Committee will slow to a crawl or in fact, become non-existent. Disaster planning will be
transferred to the Fire Department, but they won't have the manpower to do it either due to cuts in their
department. The reductions in Development Services will have a devastating effect on any proposed
development project in Edmonds and consequently will have a detrimental effect on economic
development and the real estate industry.
Parks & Recreation
Mayor Haakenson noted the effects of the cuts were more noticeable in this area. Yost Pool will be open
for only nine weeks. The Discovery Programs such as Beach Patrols and Ranger Stations are eliminated.
Summer camps will be shortened by a week. The drop-in child care program will no longer exist.
Evening and weekend staff at the Frances Anderson Center will be reduced to bare minimums. All part-
time seasonal staff, 28 in total, in parks maintenance and recreation will be lost. This equates to very
little lawn care, mowing and flower bed maintenance in parks and around city -owned buildings.
Restroom maintenance, trash and litter removal, pathway and trail maintenance will be sporadic. Park
users will be asked to pack out their own trash. As in other departments, all labor previously donated for
Edmonds City Council Approved Minutes
October 29, 2002
Page 5
events such as the 4"' of July, the Arts Festival, and the Taste of Edmonds will not be available or will be
very costly to those non-profit organizations. Reductions in the flower program will be required as well.
The amount of baskets will be reduced by two-thirds and corner parks by half. Mayor Haakenson hoped
there would be enough volunteer help to add more areas as the year progressed.
Public Works Administration and Facilities Maintenance
A custodial position and a maintenance worker will be eliminated. The day custodian will no longer be
provided at the Frances Anderson Center, city building maintenance schedules will be lengthened, and
preventive maintenance for city -owned properties will be noticeably slower. The ability of city staff to
perform projects will be markedly reduced.
Administrative Services Department
The City Hall receptionist position has been eliminated. One of three Information Technology positions
as well as an accounting assistant have been removed as well. The impacts from these changes will be of
a particular burden to staff as Information Technology allows for more productivity. Paychecks may be
issued monthly rather than every other week. Customer service at the front counter for utility payments
will be compromised. The loss of the accounting assistant will slow the process of accounts payable as
well as other accounting activities.
Mayor Haakenson explained there were many reductions in other areas as cuts had been made in every
department. He commented the resulting loss in service was staggering and it would take an entire year
to adjust to the changes that will be necessary to make these cuts work. He explained seniority dictated
that newer employees be let go first which meant an employee who has spent their career in development
services may find themselves working in accounting and will need training to do their new job. The
combination of job loss with new employees learning new skills creates chaos, yet there is no other
choice.
Mayor Haakenson explained the City's property tax revenues were slightly over $9.3 million; the Police
and Fire Department budgets total $12.4 million. He pointed out the obvious fact was that the City's
total property tax revenues did not cover the cost of the City's most basic service, public safety. Even the
maximum amount of property tax revenue increase allowed by law only generated $75,000 in additional
revenue. He clarified a 1% increase in the property taxes would not even pay for a firefighter or police
officer.
Mayor Haakenson acknowledged many may be wondering how the City could provide the necessary
services to the community without raising taxes or cutting employees. He explained staff as well as the
Council in the past have studied almost every conceivable revenue source. Some have been implemented
and some have been turned down because they were not politically acceptable to the Council. He
recalled fee for service for EMS and gambling revenue from casinos as the two most often cited
examples of revenues that past Councils have found distasteful. He noted few options remained.
Mayor Haakenson explained the budget he presented contained no new revenue sources but only kept the
City afloat for the next two years. In order to present a five year budget with a desirable ending cash
balance as he would normally do, it would be necessary to eliminate entire city departments. He
explained that while this budget did not go to those lengths, there were deep cuts included in the budget,
serious service reductions. Staff and he tried to keep direct service immune from cuts where possible,
however, in some areas this was not possible. Staff focused on reductions in programs that have been
"nice to have" but were no longer fiscally feasible. He noted that Councilmembers may feel there are
Edmonds City Council Approved Minutes
October 29, 2002
Page 6
areas that shouldn't be cut but unless new revenue streams were identified, the cuts would remain and
there would be more.
Mayor Haakenson outlined six additional revenue choices that would allow the Council, if they chose all
of them, to replace approximately one quarter of the cuts he identified. He noted the Council's approval
of all six would not only replace one-fourth of the potential job cuts but would continue to keep the city
operational for the next five years.
1. The City still has an additional 5.3% banked capacity of property tax recapture. To bring in this
additional $375,000 would cost the average taxpayer $28 more per year.
2. The City is allowed by law to increase property taxes by 1%. This option brings in $75,000 and
would cost a taxpayer about $6.
3. The City does not have a Business and Occupations Tax nor does the City base its business
license fee on the number of employees in a business. The Council could enact a $25 fee
annually for every employee that a business employs. This is similar to fees collected by the
cities of Lynnwood and Bellevue among many others. This fee would collect in excess of
$200,000 per year.
4. The City has never placed a tax on solid waste utility companies that do business in the City. A
6% tax, like all utilities, is appropriate and would generate $270,000. This fee would of course
be passed on to the consumer and would cost about $31 per year.
5. Taxes are levied on all city -owned utilities except the stormwater utility. The utility tax of 6%
would generate revenue of $80,000 per year and cost each ratepayer $5.
6. Staff would like to impose a franchise fee on Olympic View Water District. Olympic View will
consider the idea if it were tied to their ability to remain an independent operator. Presently,
when 60% of their assessed valuation is within the Edmonds City limits, the city has the right to
take them over and make them our utility. The City is currently at the 57% level. The franchise
fee would be approximately $150,000.
Mayor Haakenson explained these potential revenue sources would generate approximately $1 million
per year in new revenue. The addition of these revenues would allow replacement in the budget of one-
quarter of the proposed budget cuts. Unfortunately, there is no way to replace the other cuts. If all were
enacted, the additional cost to the average taxpayer would be $72 per year.
Mayor Haakenson explained if the Council left the budget as it has been presented, he would begin
immediately to work on additional budget cuts for next year to put the city back on track for an
acceptable five year plan.
Mayor Haakenson explained the Council could add in new revenues without adding back in expenses
which would allow the city to bring the five year plan back in line. Or the Council may choose to do
both, add in new revenues as well as expenses. He explained it was not a one-for-one deal, however, as
$750,000 in new revenue allowed for an additional $250,000 in expenses to be added back in and $1
million in new revenues allowed about $500,000 in additional expenses. He suggested the best choice
was between these two ranges and urged the Council to consider this course of action. He emphasized
what the Council could not do was add back in any of the expense cuts without adding revenue sources.
Mayor Haakenson referred to criticism that arises whenever the budget is discussed regarding the
decision to annex into the Sno-Isle Library System that was accomplished via a vote of the people last
year. He noted if the library were funded from the General Fund today, it would be the first thing on the
list to be cut and would have meant $3 million in cuts instead of $2 million.
Edmonds City Council Approved Minutes
October 29, 2002
Page 7
Mayor Haakenson advised many employees have offered to take pay cuts, noting he had heard
particularly from Directors regarding this issue. He recalled there had also been talk about wage freezes.
He explained those can be good and well meaning options if the problem were short lived, however, it is
not. This is a long term problem that needs a long term solution and only job reduction can save the City
long term. With the proposed position reductions in the budget, employees who stay will be asked to do
even more than they have in the past and he felt they should be paid a fair wage for the work they
performed. He noted morale had been difficult to maintain throughout the budget process but he was
proud of how the employees have handled themselves during these uncertain times.
Mayor Haakenson concluded the choices were few and he had spent months searching for answers which
were also few. After the budget review team met to review the preliminary budget, Mayor Haakenson
noted it was obvious that further cuts were needed in order to present the budget to the Council tonight.
Mayor Haakenson thanked Councilmember Dawson for her help on the review team, noting she offered
many good insights. He commented Council President Earling had scheduled workshops for the Council
over the next few weeks and urged the Council to advise how staff would be of service to them.
Mayor Haakenson explained he invited State elected officials who represent the city to be present this
evening. He thanked Representatives Sullivan and Cooper and Senator Shin for attending tonight to hear
what was happening in Edmonds but undoubtedly elsewhere as well.
Councilmember Petso asked whether the City would be willing if employee groups were interested in
renegotiating their labor contract. Mayor Haakenson advised he had already met with the four unions
that represent city employees and they were aware of the city's problems. The unions were courteous
enough to wait until the budget message was presented this evening before talking to the Council
regarding possible solutions. He noted the unions knew his door was always open and they were
welcome to talk with him.
Council President Earling advised a workshop was scheduled on Saturday, November 9. He suggested
Councilmembers forward any questions to him over the next week so that information could be available
at the November 9 workshop or state questions now.
Council President Earling requested as many directors as possible attend the November 9 workshop and
requested they identify the options they considered when making reductions and the rationale regarding
the specific jobs that could be eliminated. Council President Earling noted at least two more workshops
would be scheduled, either on a Tuesday evening or as a special meeting.
Administrative Services Director Peggy Hetzler distributed budget books to Councilmembers.
Council President Earling acknowledged the process Mayor Haakenson and staff went through was
painful and expressed his appreciation for Mayor Haakenson outlining the magnitude of the problem.
eam 5. PRESENTATION BY TEAM EDMONDS
Edmonds
Ruth Arista, Chair of Team Edmonds, 18431 High Street, Edmonds, noted she was also a business
owner in Edmonds and .85% of her business's excise tax goes to the City. She explained TEAM
(Together for Effective Action Marketing) Edmonds was formed to create an active marketing plan on
the lowest budget but based on a variety of resources. She explained the marketing plan was to promote
Edmonds as a wonderful place to visit, live, work, shop and recreate. TEAM Edmonds chose
Community Marketing as its focus, and the goals are to produce a long-term marketing plan, evaluate
Edmonds City Council Approved Minutes
October 29, 2002
Page 8
results on a yearly basis with interim checkpoints, make the plan SMART (specific, measurable,
achievable, realistic, and time -phased), build upon prior image -development efforts, raise public and
private funds, leverage funds through program coordination, inform with vision, show progress and
results, generate civic pride in the community, and compete with other regional markets to attract new
residents, businesses and consumers.
Ms. Arista described 2002 achievements that include launching the initial fundraising, selecting and
hiring professional expertise, evaluating target markets, determining regional reach and timing,
completing creative process and media selection, beginning the campaign on October 1 (Phase 1 Transit),
and pursuing fund raising (new launch November 7). She recalled when TEAM Edmonds made a
presentation to the Council a year ago asking for financial support, the Council asked TEAM Edmonds to
show what they could get done before they made a contribution. She commented the near-term 2002
Work Plan illustrates what will be done.
Ms. Arista described TEAM Edmonds' near-term 2002 Work Plan, explaining they chose transit
advertising in Snohomish and King Counties because it provides more exposure per dollar. She
displayed several banners that will be used on transit including "Feel Free to Have Fun, It's Edmonds;
Feel Free to Paint the Town, It's Edmonds; and Feel Free to Window Shop, Sugar Plum, It's Edmonds."
Ms. Arista described the near-term 2003 Work Plan which includes continued transit advertising and
studying television and radio ad campaigns. She described fundraising to date including $10,000 from
the Chamber of Commerce, $10,000 from the Alliance, $13,939 from local businesses, $2,600 from
property owners, and $10,400 from the Port of Edmonds. She identified funding sources in 2003 which
include individuals and residents, property owners, local businesses, Chamber of Commerce, Port of
Edmonds, and hopefully the City. She requested a $25,000 contribution from the City, acknowledging
the difficulty of providing funds due to the City's difficult financial situation. She pointed out the
potential increase in revenue to the City from increased economic development. She emphasized the
need to pool resources, acknowledging the City was challenged with a difficult financial situation and
must determine how to finance city jobs and services while maintaining the quality of life in Edmonds.
She explained the community was in competition for consumers' dollars and could attract people from
around the region, increasing the revenue to the City via increased sales. She concluded that when times
were tight, cooperation leveraged dollars. She commented that when the City worked with TEAM
Edmonds, funds were leveraged and the attention on Edmonds was magnified.
6. AUDIENCE COMMENTS
Investing in
Chris Guitton, 1012 Viewland Way, Edmonds, Chamber of Commerce Executive Director,
he Future explained investing in the community's future now was a better option than overtaxing businesses later.
He urged the Council to consider an investment in the community which would result in additional
revenues to the City. Regarding Mayor Haakenson's comments with regard to funding for the 4th of July
Funding the
celebration, Mr. Guitton advised the Chamber of Commerce was committed to organizing the 40, of July
4th of July celebration. He announced a special fund had been established and urged citizens and community
Celebration leaders to contribute to the fund so that the 4th of July traditions could be maintained. He advised
donations should be identified 'Wh of July" and sent to the Edmonds Chamber of Commerce, PO Box
146, Edmonds, WA 98020.
dget - Alan Weiss, 681 157"' Place SW, Edmonds, Principal of Edmonds Woodway High School,
lith ice acknowledged the City's plight in addressing budget cuts. He pointed out the work the Youth Services
rvices Department does on behalf of the youth in Edmonds was critical to what would happen with those
Edmonds City Council Approved Minutes
October 29, 2002
Page 9
students as adults. He noted little problems become large problems, but the interventions by Youth
Services Department in elementary and middle school students reduced the number of incidents at the
high school. He pointed out that intervention services and identification of at -risk students assist by
identifying and providing additional resources. He concluded funds were saved by investing in students
at an earlier stage. He urged the Council to prevent the Youth Services Department from being
disassembled.
Library Alvin Rutledge, 7101 Lake Ballinger Way, Edmonds, commented that via the annexation to Sno-Isle
Library System, $1.2 million was returned to the General Fund and the library remained open. He
advised the Friends of the Library book sale raised $8,600, indicating the citizens support the library. He
noted there was an ongoing book sale at the library.
Budget - Dan Kerege, 7115 210th Street SW, Edmonds, a Crime Prevention Volunteer, voiced his opposition to
Crime any cuts in the Police Department but particularly in the Crime Prevention Unit. He pointed out the
Prevention
Program Blockwatch and Vacation House Watch programs assist the Police Department and were programs that
should be retained. He noted with the loss of the Crime Prevention Unit, the City would lose its
internationally acclaimed Crime Prevention Officer Robin Heslop. He concluded every effort should be
made by the Council and citizenry of Edmonds to retain the Crime Prevention Program.
Rob Michel, 7907 212''' SW #102, Edmonds, noted the Community Services Department was one of the
Budget - few departments that made money for the Ci and an cuts that reduced the income stream would add to
Community 1� Y City Y
Services the problem. He noted the construction industry was the second largest source of sales tax to the City.
epartment He pointed out millions were not accounted for because products are paid for at their source — one way to
capture additional dollars. He pointed out new construction and development resulted in new property
tax revenue, slowing that process would also reduce revenues. He explained many developers would be
willing to pay a higher fee if they were guaranteed their permits would be processed more quickly. He
noted that slowing the process may result in developers pursuing projects in other cities, thereby reducing
revenue to the City. He suggested that code changes, similar to those offered in other cities and the
County, could also add revenues to the City. He concluded revenues sources existed that the City was
not taking advantage of.
Holly Mars, 520 Pine Street, Edmonds, voiced her opposition to the proposed cuts in the Police
Budget - Department, articular) Youth Services. She concurred with the comments of the Edmonds-Woodwa
Police p > particularly Y
Youtb High School Principal regarding why Youth Services are important. She commented on her research
Services over the last two years regarding what works with youth and how to keep them out of the juvenile justice
system and the adult criminal justice system, noting a major component was what was done locally such
as the Youth Services Officer. Although she felt there may be more effective programs than D.A.R.E.,
eliminating the Youth Services Office was not a good option. She referred to the efforts to bring families
to Edmonds, noting many of the youth and families who need services aren't able to speak up for
themselves.
Budget - Lawrence Schweppe, 8524 215th SW, Edmonds, echoed Mr. Kerege's comments regarding the Crime
Crime
Prevention Watch program, commenting it was a program that kept crime down in Edmonds. With regard to sources
Program of revenue, he suggested the Council again consider cardrooms.
arking Rich Demeroutis, 921 Pine Street, Edmonds, referred to the $24,000 the Council approved last week
stuay for a downtown parking study, pointing out this was a frivolous expense, particularly when the City
continues to collect in -lieu -of parking fees. Next, Mr. Demeroutis commented the recreational budget
udget was insignificant as the community would provide activities for children but this was not the case with
Edmonds City Council Approved Minutes
October 29, 2002
Page 10
the Police Department. He suggested consideration be given to an operating bond for Public Safety,
similar to the EMS levy.
Mayor Haakenson declared a brief recess.
Revised 7. COUNCIL DISCUSSION REGARDING THE PUBLIC HEARING HELD ON OCTOBER 1, 2002
Process and CONCERNING THE RECOMMENDATION OF THE PLANNING BOARD TO APPROVE
Guidelines - PROPOSED AMENDMENTS TO TITLE 20 (CHAPTER 20.10 — 20.14, AND 20.60) OF THE
Architectural
Design EDMONDS COMMUNITY DEVELOPMENT CODE IN ORDER TO ESTABLISH A REVISED
Review PROCESS AND GUIDELINES FOR ARCHITECTURAL DESIGN REVIEW. (File Nos. CDC -00-
153 and CDC -01-27).
Mr. Chave recalled the public testimony from the public hearing seemed to target the detail of the
Guidelines and the presumed additional time that would be required for a project to undergo review due
to the detail. He explained there were two competing factors with Design Guidelines — first, the need for
specificity to ensure the Guidelines were legally defensible. The competing factor is allowing flexibility
to ensure design could be creative and could adapt solutions to circumstances, etc. He pointed out the
Planning Board's recommendation was not that the Guidelines be considered final. They recommended
that whatever Guidelines were approved be considered interim and used for a year with the intent that
they would evolve into improved Design Guidelines. He pointed out it was difficult to draft Guidelines
conceptually as the design process was required to prove whether they work.
Mr. Chave explained this was a legislative process and the Council had a great deal of discretion. Staff
requests the Council provide guidance such as that portions of the Guidelines, for example the process or
sign code amendments, could be moved forward for approval or all or part of the Guidelines could be
forwarded to a Council Committee to address specific concerns. He suggested the Guidelines not be
referred back to the Planning Board as they had worked on them for two years and the proposed
Guidelines were their best recommendation.
Mr. Chave explained Mr. Bullock would review three existing projects to illustrate how the proposed
Guidelines worked. Mr. Chave distributed photographs and the checklist used in one of the three
projects. He explained the checklist was developed using specific items from the Guidelines. He
explained Mr. Bullock and he used the checklist to analyze the three projects, a process that took
approximately 2-3 hours per project. This analysis would take much longer without the checklist because
of vagueness in the existing code.
Senior Planner Steve Bullock explained when reviewing a project using the existing Design Guidelines
which do not have many specific, objective measurable standards, the review takes a great deal of time
because approval, denial, or amendment requires that he determine specific reasons for his decision. He
explained this is difficult with the existing Design Guidelines due to the lack of specificity. He explained
the proposed Design Guidelines included measurable standards to determine whether the proposed
project meets those standards.
Mr. Bullock reviewed three examples of existing buildings, 1) a three unit multifamily project (a small
project with a footprint under 10,000 square feet), 2) a mixed use project (a medium project with a
footprint of approximately 11,000 square feet), and 3) a commercial project (a large project with a
footprint over 20,000 square feet). Mr. Bullock reviewed how each project addressed the requirements in
the Guidelines that applied to their project for site design, building form, and building fagade. During his
review, he pointed out building elements that would need minor changes to comply with the building
form requirements.
Edmonds City Council Approved Minutes
October 29, 2002
Page 11
Mr. Bullock explained site design considered access/entry — pedestrian and vehicular, setbacksibuffers,
open space, and building identity; building form considered roof design and height, building massing and
roof and wall modulation; and building fagade considered windows, materials, accent, color and trim.
Council President Earling explained when this issue was removed from the table it was to identify issues
that were of concern to the Council and to determine where to refer the Guidelines to ensure the
Council's questions were addressed. He suggested the Council not micromanage the Guidelines but
identify what issues needed to be addressed before proceeding to a vote. After the issues that were of
concern to the Council had been identified, he suggested referring the Guidelines to the Community
Services Committee.
Council President Earling identified the following issues: 1) staff indicated this would streamline the
process, yet public testimony from several developers indicated their perception was that it would add
time, 2) public comment indicated input submitted to the Planning Board was not incorporated into the
document, and 3) Mr. Thuesen's question regarding whether buildings in Edmonds were improving in
response to market conditions and whether the detail in the Guidelines was necessary.
Councilmember Petso suggested consideration be given to having the Council versus the Hearing
Examiner hear appeals.
Councilmember Marin referred to Mr. Thuesen's comment that the market drives what was built. He
pointed out the importance of both predictability and flexibility so that developers had the latitude to
construct a project that responded to the market as well as was feasible for the individual property. He
suggested the Community Services/Development Services Committee move forward with the items
where there was little concern such as signs. He was uncomfortable with experimenting with areas of the
Guidelines where there were still concerns. He encouraged the Council not to try to force a contrived
solution by fabricating a web of requirements that make it so difficult for a developer that the resulting
project is not the best building for the site.
Councilmember Dawson favored the concept of reviewing the Guidelines section by section but she
questioned why the Design Guidelines were being revised when there had not been objection from the
development community to the existing Guidelines.
Councilmember Orvis suggested the proposed Guidelines be set aside and start over. He preferred an
incremental approach where elements of the ADB process that generated complaints were addressed
first. He also suggested staff provide examples of Design Guidelines from other cities. He suggested
consideration be given to whether architectural design review was necessary for all zones such as a car
dealership along Hwy. 99. He acknowledged architectural design review was appropriate for buildings
downtown.
Councilmember Plunkett indicated he was supportive of the Community Services/Development Services
Committee reviewing the Council's concerns.
Ord#3424 A. AN ORDINANCE OF THE CITY OF EDMONDS RELATING TO CONTRACTING
TGO Bond INDEBTEDNESS, AUTHORIZING THE ISSUANCE OF LIMITED TAX GENERAL
Anticipation OBLIGATION BONDS FOR GENERAL CITY PURPOSES
Note
Council President Earling explained this was a potential device for use in financing and the timing of the
sale of bonds. He explained the ordinance established a methodology for moving quickly to save the
Edmonds City Council Approved Minutes
October 29, 2002
Page 12
Public Facilities District (PFD) and the City substantial amounts depending on interest rate fluctuation in
the bond market.
COUNCIL PRESIDENT EARLING MOVED, SECONDED BY COUNCILMEMBER MARIN,
FOR APPROVAL OF ORDINANCE NO. 3424.
Councilmember Petso advised she would vote against the proposed ordinance because she was not
comfortable with making commitments and passing enabling legislation before the City had its "ducks in
a row."
MOTION CARRIED (6-1), COUNCILMEMBER PETSO OPPOSED. The ordinance reads as
follows:
AN ORDINANCE OF THE CITY OF EDMONDS, WASHINGTON, RELATING TO
CONTRACTING INDEBTEDNESS; AUTHORIZING THE ISSUANCE OF LIMITED TAX
GENERAL OBLIGATION BONDS FOR GENERAL CITY PURPOSES; AUTHORIZING THE
ISSUANCE OF A LIMITED TAX GENERAL OBLIGATION BOND ANTICIPATION NOTE,
2002, IN THE AGGREGATE PRINCIPAL AMOUNT OF NOT TO EXCEED $3,240,000 TO PAY
COSTS OF ACQUIRING PROPERTY FOR AN ARTS CENTER TO BE OWNED BY THE CITY
OR THE EDMONDS PUBLIC FACILITIES DISTRICT, PENDING THE ISSUANCE OF BONDS;
PROVIDING FOR THE DETERMINATION OF THE DATE, INTEREST RATE, FORM,
MATURITY, TERMS AND COVENANTS OF THE NOTE; CREATING A NOTE REDEMPTION
FUND; AND PROVIDING FOR THE DELIVERY OF THAT NOTE TO THE CHURCH
DEVELOPMENT FUND, INC., A CALIFORNIA NONPROFIT CORPORATION.
8. MAYOR'S COMMENTS
Mayor Haakenson had no report.
9. COUNCIL COMMENTS
Councilmember Plunkett expressed his appreciation to Mayor Haakenson for his budget presentation,
noting he had precisely laid out the issues the Council must address.
Councilmember Wilson recalled on October 1 the Council tabled a discussion regarding final
construction costs of the Public Safety Complex to allow the City Engineer to gather additional
information from the Administrative Services Director. Councilmember Wilson advised the City
Engineer and Administrative Services Director had an opportunity to review the information and the item
could be returned to the agenda.
Reporton
Final COUNCILMEMBER WILSON MOVED, SECONDED BY COUNCILMEMBER MARIN, TO
Construction REMOVE "REPORT ON FINAL CONSTRUCTION COSTS FOR THE PUBLIC SAFETY
Costs for the
Public Safety COMPLEX AND COUNCIL ACCEPTANCE OF THE PROJECT" FROM THE TABLE.
Complex MOTION CARRIED UNANIMOUSLY.
Council President Earling requested this be scheduled as a 15 minute item on the November 4 agenda.
With no further business, the Council meeting was adjourned at 9:23 p.m.
SANDRA S. CHASE, CITY CLERK
Edmonds City Council Approved Minutes
October 29, 2002
Page 13
7:00 - 10:00 p.m.
OCTOBER 29, 2002
7:00 p.m. - Call to Order
Flag Salute
1. Approval of Agenda
2. Consent Agenda Items
(A) Roll Call
(B) Approval of City Council Meeting Minutes of October 22, 2002.
(C) Approval of claim checks #58683 through #58847 for the week of October 21,
2002, in the amount of $279,313.92.
(D) Acknowledge receipt of Claim for Damages from Paul Quam and Cynthia Quam-
Patterson ($141.53), and Thomas Stedman ($87.35).
(E) Approval of Findings of Fact for a Closed Record Review held on October 15,
2002 on the Hearing Examiner's recommendation to approve the application
for a six -unit multi -family Planned Residential Development (PRD) and
subdivision. The site is located at 614 Bell Street and is zoned Multiple Family
Residential (RM -1.5). (Applicant: Garbe/Weller Construction. File Nos. PRD -
2002 -102 and P-2002-103).
3. (10 Min.) Proposed Resolution opposing Initiative 776, which concerns state and local
government charges on motor vehicles. This measure would require license
tab fees to be $30 per year for motor vehicles, including light trucks. Certain
local -option vehicle excise taxes and fees used for roads and transit would be
repealed.*
"The City Council invites public comment on this matter.
4. (30 Min.) Presentation of the 2003 Preliminary Budget.
5. (15 Min.) Presentation by Team Edmonds.
Page 1 of 2
CITY COUNCIL MEETING AGENDA
OCTOBER 29, 2002
Page 2 of 2
6. Audience Comments (3 Minute Limit Per Person)*
*Regarding matters not listed as Closed Record Review or as Public Hearings.
7. (45 Min.) Council discussion regarding the Public Hearing held on October 1, 2002
concerning the recommendation of the Planning Board to approve proposed
amendments to Title 20 (Chapters 20.10 - 20.14, and 20.60) of the Edmonds
Community Development Code in order to establish a revised process and
guidelines for architectural design review. (File Nos. CDC -00-153 and CDC -01-27).
S. ( 5 Min.) Mayor's Comments
9. (15 Min.) Council Comments
ADJOURN
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