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Cmd031020 spec mtgEDMONDS CITY COUNCIL SPECIAL MEETING APPROVED MINUTES March 10, 2020 ELECTED OFFICIALS PRESENT Mike Nelson, Mayor Adrienne Fraley-Monillas, Council President Kristiana Johnson, Councilmember Luke Distelhorst, Councilmember Diane Buckshnis, Councilmember Vivian Olson, Councilmember Susan Paine, Councilmember Laura Johnson, Councilmember 1. CALL TO ORDER/ROLL CALL STAFF PRESENT Scott James, Finance Director Dave Turley, Assistant Finance Director Shannon Burley, Interim Parks & Recreation Dir. Jeff Taraday, City Attorney Scott Passey, City Clerk Jerrie Bevington, Camera Operator Jeannie Dines, Recorder The Edmonds City Council meeting was called to order at 6:00 p.m. by Mayor Nelson in the Council Chambers, 250 5`h Avenue North, Edmonds. The meeting was opened with the flag salute. City Clerk Scott Passey called the roll. All elected officials were present. Council President Fraley-Monillas relayed due to the coronavirus the issue of the Council going to virtual meetings starting sooner than later had brought up to her by at least one other Councilmember. That would mean Councilmembers would call in and she assumed the Mayor and she would be in Council Chambers. She asked the Council how they felt about that. Councilmember L. Johnson stated her full support of the idea. Councilmember Buckshnis said based on the information she received, she preferred it be optional rather than mandatory because some Councilmembers are at risk, some are not. For example, she had a sinus thing last week and people thought she was sick when she wasn't and now she's fine. It should be up to Councilmembers to decide if they feel they are exposing people. She preferred to act business as usual to avoid creating panic or fear although she acknowledged the situation was serious. Councilmember Paine said she liked the idea. She suggested as long as the technology was available, that could be an option. She agreed with Councilmember Buckshnis, if Councilmembers were feeling healthy and not exposing people to the virus, they could attend and others who are not, could stay at home and call in. Councilmember Olson liked the option of it being at the person's discretion. She asked that everyone err on the side of conservative; if they are coughing or sneezing for any reason, to utilize the call-in option, because the cause could be thought to be one thing and actually be something else. Council President Fraley-Monillas reported she just left the Health District after a lengthy meeting this afternoon with Snohomish County physician. They suggest that containment and mitigation is the only way Edmonds City Council Approved Minutes March 10, 2020 Page 1 anything can be done. People should be six feet away from anyone else and if you don't have to be in areas with other people, don't be. They've estimated there are currently 1,000 cases in the Puget Sound area. Today King County had 73 more cases. This virus does not affect everyone the same; some people can have the virus and show no symptoms and some get the virus and have all the symptoms. Just because the person next to you isn't sneezing or coughing doesn't mean they are do not have the virus. Council President Fraley-Monillas reported they believe it will be 6-8 weeks before the virus peaks and in the meantime the number of cases will continue to climb and then drop if everyone stays away from each other. She suggested googling JHU CSSE, John Hopkins University, for information regarding the worldwide pandemic. She noted it was not quite being called a pandemic yet. She relayed the number of cases are doubling every 5-7 days in the areas that are being tracked and will continue to double for the next 6-7 weeks. That was the reason she wanted to offer the option of virtual participation at Council meetings via phone and public comment via emails. She reported other Councils are also moving away from meetings. Councilmember Distelhorst was supportive of going to some sort of mandated virtual meeting for a time period. Councilmembers already have the option of calling in if needed. Assuming the technology would support that and there was opportunity for public comment, he supported moving to a mandated virtual meeting for a defined period. Councilmember L. Johnson clarified her fully support is not out of fear, it is out of recognition of what we are facing and recognizing the ability for Councilmembers to call in and still conduct business and recognizing that people are watching the Council and the Council should be modeling appropriate behavior. If it is within the Council's ability to call in and continue to run the government, that type of behavior should be modeled. She was supportive out of a sense of duty. Councilmember Buckshnis commented there is about a 3-5 second lag when Councilmembers participate by phone which will slow meetings down. She preferred to let everybody decide for themselves and support the government in the way they feel they should. Council President Fraley-Monillas said she will schedule further discussion on next week's agenda. She encouraged Councilmembers to think about it over the coming week and make a decision based on available information regarding this epidemic. Councilmembers are allowed to call in anytime they wish but obviously people aren't doing it. The issue is the closeness of Councilmembers and what they are touching and the need for people to place a huge bubble around themselves. Another issue is bringing things home to Councilmembers' family; if Councilmembers attend meetings, there is the possibility they bring something home to their families which is causing the spread. If Councilmembers want to utilize the option to call in next week, that was up to each Councilmember. 2. ACTION ITEM 1. SENIOR CENTER LOAN REQUEST Finance Director Scott James referred to last week's Council meeting where the Senior Center's request for the City's assistance with a loan was presented as well as the Senior Center's pro forma, three bank term sheets and the City Attorney provided an overview of proposed amendments to the City's ground lease with the Senior Center. Since last week's Council meeting, City administration, the Interim Parks Director, the City Attorney, the Mayor and he have had discussions with the Senior Center administration on the ground lease that was presented last week. The amended ground lease in the packet has been agreed to by both sides. Tonight the Council has been provided a redline version and a clean version. Edmonds City Council Approved Minutes March 10, 2020 Page 2 Councilmember K. Johnson said she brought the packet but not her Wad and requested a hard copy of the redline version. Mr. James provided her a copy of the redline version. Councilmember L. Johnson inquired about the rules regarding the use of alcohol on the premises. She assumed a liquor license would be required if an individual was planning to serve alcohol. She asked if there were any other guidelines or rules regarding the use of alcohol for an individual using the second floor and having outside food brought in. Interim Parks & Recreation Director Shannon Burley said the alcohol permit would be held by the catering company only. It was her understanding that outside use of alcohol would be prohibited with the exception of through the catering service on the first floor. City Attorney Jeff Taraday suggested the Senior Center have an opportunity to correct that. It was his understanding there would be a liquor license that applied to the first floor and he was not sure whether it applied to the second floor. He understood from the meeting last week that any alcohol brought to the second floor would require the individual to obtain a separate liquor license but he was not entirely clear on that. Daniel Johnson, Campaign Manager, Senior Center, offered to call Schubert and get the answer. Councilmember L. Johnson clarified she understood if someone was using the first floor, they would go through the inhouse caterer. Someone using the second floor was allowed to bring food from outside and she was interested in learning whether individuals would also be allowed to bring alcohol from outside, serve it themselves and not go through the inhouse caterer. Farrell Fleming, Executive Director, Senior Center, relayed his understanding that Schubert would hold the liquor license for the building. The idea that almost anyone could bring in alcohol to the second floor was not the intent. Councilmember Buckshnis asked about the terms for the Public Facilities District. Mr. James said it was ten years. Councilmember Buckshnis responded a seven year term was reasonable. She acknowledged that donors are not being disclosed and referenced $1.048M in pledges. Mr. Fleming clarified the campaign fundraising goal was $16,350,000, the last $350,000 for going all electric. Of that, the Senior Center has slightly more than $14M in hand which includes cash, pledges, and grants leaving approximately $2,350,000 to raise. Councilmember Buckshnis inquired about funding for solar. She observed the original campaign was $14M which increased to $16M, partially due to the solar panels. Mr. Fleming clarified the additional cost for going all electric with a full solar buildout on the roof was $350,000. There are a variety of ways those funds will be raised including appealing to environmental groups and environmentally interested individuals for more than just the $350,000 and they think that will be possible. Councilmember Buckshnis commented such as buying a solar panel for $1000. Mr. Fleming agreed that was one example of how funds were being raised. Regarding the liquor license for the second floor, Council President Fraley-Monillas said as long as she has been doing events at the senior center, approximately 15 years, people have always been able to obtain a liquor license which can be done easily online. She asked why that would be different on the second floor. Mr. Fleming answered the Senior Center has been in discussions with Schubert for a long time and his understanding has always been Schubert would have a liquor license for building, not just for the first floor. Mr. Johnson relayed his conversation with Schubert who said it would be up to the Liquor Board to determine whether Schubert will hold the liquor license for whole building or whether it can be separated. If it is separated and Schubert only has the liquor license for the first floor, a renter would be able to apply for a banquet permit to supply their own alcohol. Schubert indicated most venues do not allow self-service Edmonds City Council Approved Minutes March 10, 2020 Page 3 of alcohol. Shubert also underscored there would be a liability to the City and the Senior Center if someone over -consumed and subsequently injured someone. Council President Fraley-Monillas suggested Shubert would have the same liability if they held the liquor license and someone drank too much and got into an accident. Mr. Johnson said he was not prepared or equipped to answer questions about this subject. Mr. Taraday said if the person who holds the license was also serving, then that person was in a position not to overserve and had every incentive to not overserve because they would be on the hook if there was over -service and an accident resulted from over -service. Council President Fraley-Monillas said anyone obtaining a banquet permit would also be liable. Mr. Taraday answered potentially but there is always the issue of deep pockets liability, whoever has the deepest pockets gets sued. Council President Fraley-Monillas asked Ms. Burley if she saw an issue with the ability to serve alcohol on the second floor, acknowledging she was uncertain how many events on the second floor would have alcohol. Ms. Burley answered they had not specifically discussed alcohol; there was a general understanding of alcohol service. She did not see it as a huge issue due to the way the lease agreement is crafted, allowing for potlucks, boxed lunches and food service for meeting spaces. However, if a renter chose to have it catered, in her mind catering and alcohol go hand-in-hand, and with the way the agreement is structured, that would fall within the building's catering options which would allow for alcohol service. The intent was to ensure as many people as possible have an opportunity to utilize the facility and not have catering be a barrier to participation. If a renter chose to serve alcohol, hopefully the service the inhouse caterer provides would meet their needs. Council President Fraley-Monillas assumed if the caterer had a license for the whole building and wanted someone wanted to serve alcohol, they would need to go through the caterer. Ms. Burley agreed, acknowledging the details regarding alcohol had not been processed including whether that could be a barrier to entry. Council President Fraley-Monillas said she had not seen a lot of events at the Senior Center that serve more than beer and wine. Ms. Burley said the upstairs rooms are intended for smaller parties, heavily used during weekdays and weekday evenings. She acknowledged it was a fair point. With regard to liability, Mr. James relayed he rented a space at the Rosehill Center for his wife's birthday party and he had to obtain a liquor license and insurance. The City's insurance provider, WCIA, has a reasonably priced tenant user liability insurance policy (TULIP) available to the public that provides coverage for a party serving alcohol. If that is a concern, a mandatory requirement to obtain a license and insurance for alcohol service should be considered in the operating agreement. Councilmember Paine asked if the list of donors included donations from an estate. Mr. Johnson answered there are currently no planned gifts. As a former event planner who worked on a wide range of budgets, Councilmember L. Johnson said when looking at the building and its usage, it is easy to see that the first floor will be used for larger events using the inhouse caterer with alcohol from the inhouse caterer, but she was relieved to learn that the food could be brought in from the outside for events on the second floor. She commented in our culture, a majority of celebratory events involve alcohol. Councilmember K. Johnson raised a point of order, whether this was a discussion or an action item. Council President Fraley-Monillas advised there was no motion on the floor. Mayor Nelson advised it was an action item. Councilmember K. Johnson said there should be questions followed by a motion. Mayor Nelson acknowledged her point of order. Councilmember L. Johnson said when she rented space at the Senior Center for a kick-off, she also obtained a banquet license and she was responsible. She was hopeful alcohol would be allowed on the second floor Edmonds City Council Approved Minutes March 10, 2020 Page 4 so that more of the community could be served via smaller events. Mayor Nelson encouraged Councilmember L. Johnson to ask questions during this portion of the agenda item. Councilmember Buckshnis referred to Mr. James' experience, commenting the City requires similar insurance and has its own special event insurance. She assumed that be addressed in an operating agreement. Mr. James was not certain what will be addressed in the operating agreement, but he recommended that be included in the agreement. Councilmember Paine observed the cost for rental of the first floor and the minimums charged by the caterer are higher than what she expected. She asked about the analysis the Senior Center did in looking at equity across Edmonds, particularly the group that the Senior Center serves and whether the equity analysis had been broader than seniors and low income seniors and whether the analysis included other events center. She asked how the Senior Center viewed their role in serving all of Edmonds, noting some of the barriers will include costs. Mr. Fleming pointed out the Senior Center switched from a place where the City owned the building and paid for all the maintenance to a model where the non-profit Senior Center raised all the money to build the building. Given that and that this is modern building, the operating costs will be significant, costs that the Senior Center will bear. In keeping with that, the Senior Center developed a business plan that includes rentals. The analysis included other rentals in the area including Rosehill. The early discussions with the finance committee were whether the Senior Center could raise enough money on an annual basis to operate the building, staffing, etc. Mr. Fleming explained a lower rental amount was originally considered but the Senior Center was assured by many, including Schubert, that they could charge more for this type of facility. Non-profit groups receive a large reduction in the rental rate, because some donors, including Mr. Steves, did not want to prohibit non -profits from renting such a fine venue. He acknowledged it was a balancing act; charge too little and there is not enough money to run the building, charge too much and not have enough rentals. It has been vetted by a lot of people and a good compromise has been reached. The Senior Center did extensive work and JGL, the food service contractor, did extensive work including cost comparisons of 11 venues. He agreed it was a compromise, some of the previous "come in and do whatever you feel like" feel simply cannot occur anymore. He assured the finance committee did extensive work and comparisons for an entire year and think the Senior Center is in a good place. Councilmember Paine said a non-profit rate was not in the pro forma or in the packet. Mr. James reported he received a fourth bank proposal via email this morning from People's Bank who offered a rate of .4% for the deposit and a $5000 cost to borrow $2M, and a loan rate of 2.5% above the market rate of .4%. He summarized it was not great for the City for investment earnings and potentially lower than First Financial or the other bank. He advised the intent was to return to Council at the March 17 meeting for action. Councilmember Buckshnis pointed out it is scheduled for action tonight. With regard to action tonight, Mr. Taraday said this was always intended to be a meeting where the Council would provide direction to ensure everyone was on the right page and final action would be taken next week. There are some other documents involving the bank that have not yet been provided such as the 3 - party agreement. Mr. James said they are not available because that direction has not yet been provided by Council. For the loan, there would be a promissory note between the bank and the Senior Center and there is a deposit of assignment, a document that is signed similar to the PFD loan. Those will be provided next week. Mr. Taraday clarified even if the Council considered the document in the packet an acceptable final draft, staff would still come back next week with the other documents. Mr. James requested direction from Council regarding a letter of credit that would close on October 31, 2020 that would become a seven year term on November 1, 2020. The other direction needed is the guarantee, whether it would be one of the banks, First Financial NW is recommended, which also requires Edmonds City Council Approved Minutes March 10, 2020 Page 5 a certificate of deposit to be used as guarantee. The final piece is for the City to provide the bank $2M upfront. Councilmember Buckshnis said she was trying remember the discussion in the finance committee and what was done for the PFD. She said the only thing the Council needs to concern itself with is saying yes or no to the $2M and which bank; the Council is not concerned with the line of credit or whether it is a loan or not because that does not impact the City. The City is providing $2M to collateralize an instrument, either line of credit or loan, for the Senior Center. Mr. James answered the idea for the letter of credit is for construction draws only. The intent of the October 31, 2020 date is to bring finality to the draws. After October 31, 2020 there are no further construction draws and whatever the balance is in the letter of credit on October 31, 2020, that becomes the seven year loan. Councilmember Buckshnis observed the City is still securing $2M in a CD. Mr. James summarized if the Senior Center only borrows $1 M, the loan would convert to $1M on November 1, 2020 and the City would get $1M back from the CD. Councilmember Paine said she has done about five letters of credit in her past work and recalled for larger amounts, the financial worthiness of the financial institution doing the lending was doublechecked via looking at Standard & Poor's and Moody's ratings to ensure their credit worthiness for delivery of the funds to the Senior Center. She asked if that analysis would be done. Mr. James said that certainly could be done; a credit worthiness analysis was done when the PFD loan was done last year and they were found to be well funded. Councilmember Paine asked to see that data. Mr. James said the biggest issue for $2M is the financial institution has to have funds to offset that $2M so if they went bankrupt, the City would get its $2M back. COUNCILMEMBER BUCKSHNIS MOVED, SECONDED BY COUNCILMEMBER L. JOHNSON, TO MOVE THE TRANSACTION FORWARD USING THE AMENDMENT TO THE LEASE AS THE INSTRUMENT. Mr. James said the proposed amendments to the lease are contained in the Council packet. He clarified that Councilmember Buckshnis' motion was to incorporate those amendments into the operating lease between the City and the Senior Center. Councilmember Buckshnis said a separate operating agreement needs to occur but it did not need to be tied to this transaction because the Senior Center would not open until September. There is a very good working relationship and partnership between Parks & Recreation and the Senior Center. An operating agreement to map out the different things would be part of moving forward, but did not need to be tied to this transaction. Just like the PFD, the City did not get involved with their programming. Mr. James asked for clarification, Councilmember Buckshnis is recommending moving forward with the bank arrangement, the CD collateral arrangement but not have an operating lease be part of that. Councilmember Buckshnis said she will make a motion about the operating agreement after discussion. Her intent was to move this forward. Council President Fraley-Monillas asked Ms. Burley about not having an operating agreement connected to the ground lease. Ms. Burley answered the current ground lease addresses schedule, fees and ensuring as many people as possible can use the facility. Those are the three things that have been amended in the proposed amendment to the ground lease which essentially is intended to provide clarification on those three issues. She agreed there needs to be an operating agreement. She personally did not recommend not having clarification in the ground lease around the terms that are already in the ground lease. She recommended clarifying the terms that are in the existing ground lease especially since relative agreement has been reached with the exception of alcohol service on second floor, and to follow up pretty quickly with a very detailed operating agreement that includes much more than the three issues. Council President Fraley-Monillas observed the agreement as written is the most beneficial for Parks & Recreation. Ms. Burley agreed. Mr. James said the ground lease also contains incentives; if the Senior Center does not pay Edmonds City Council Approved Minutes March 10, 2020 Page 6 the loan, there are repercussions related to a reduction in the lease time. Council President Fraley-Monillas said she would vote against the motion as she wanted to ensure that was all included in the ground lease. Councilmember K. Johnson recalled when Mr. Fleming spoke last week, it was clear the Senior Center needed the $2M line of credit to secure the $4M grant from the State. The City is in partnership with the Senior Center so she supports this basic concept. She feared including the operating lease was mudding the waters and did not find it necessary. There needs to be a ground lease and whatever assurances are needed to ensure the City get paid and that there are appropriate penalties. Other than that, everything else can be worked out in an operating lease. As long as the fundamentals about the use of the building, operating times, etc., are addressed, the agreement did not need to get into the nitty gritty. Her main concern was that the City was secure and was repaid. Other than that, it is remarkable that the Senior Center has been able to come as far as they have from an idea in the strategic plan to construction in less than seven years. She believed the last $2M will be repaid in seven years. Councilmember Paine said she would like to see all the documents in a succinct package. She wanted the amendments included in the ground lease and was not certain why the City would be involved in the operating agreement. She preferred to see all the documents, the 3 -party agreement, the financials from the institution, the final ground lease agreement and whatever else is necessary to protect the City. Councilmember Distelhorst said the redline version of the agreement notes that the City and the Senior Center have both signed off on the proposed amendments in the agreement. Mr. Fleming agreed. Mr. Taraday commented he was struggling to follow the discussion and asked to have the motion restated. He pointed out there is only one document in the packet that will be brought back next week. He was confused about all the different terms that are being used and was unsure what motion was on the table. Mayor Nelson asked Councilmember Buckshnis to restate the motion. Councilmember Buckshnis said she thought the intent was to discuss the amendment to the lease to facilitate the transaction which was to put $2M into a bank as a CD and the Senior Center be allowed to borrow against that $2M. Mr. Taraday asked if Councilmember Buckshnis' motion was to move what is in the packet without any amendments. Councilmember Buckshnis said yes, although she will be proposing some amendments. Councilmember Olson suggested where the Council was struggling was many Councilmembers last week were of the mind that they wanted this to be a more straightforward banking document, which made sense for the City to do regarding collateralizing this loan. There has been a lot of conversation with the Senior Center being very motivated to move forward any way they can and a lot of work has been toward an operating agreement that needs to happen but she felt that did not need to be part of the ground lease. She preferred to simplify and deal with the loan document collateralization and have the work continue and address the other things separately. Council President Fraley-Monillas observed the motion takes out the amendments that have been agreed to by the Senior Center. Mr. Taraday said that was why he seeking clarification. So far the only motion on the table is to move what is in the packet. Council President Fraley-Monillas said she supported that. COUNCILMEMBER BUCKSHNIS MOVED TO AMEND THE MOTION, SECONDED BY COUNCILMEMBER OLSON, TO REMOVE SECTIONS 1.2.1.1.A THROUGH 1.2.1.1.11 IN THE GROUND LEASE. Councilmember Buckshnis explained she was proposing to remove these sections because she believed this information could be addressed in an operating agreement. The City has no business entering into a ground lease that includes operating terms; a ground lease is more stagnant whereas an operating agreement deals with specifics. For example, if the food service operator changed, the operating agreement would be Edmonds City Council Approved Minutes March 10, 2020 Page 7 changed, not the ground lease. She did not believe an operating agreement needed to be part of this transaction because everyone has been cohesively working together. In addition, the City did not ask the PFD to change their programming; this is the same concept. The City should not be injecting itself into operating a business plan; a key component of the business model is the food service provider. Councilmember Distelhorst referred to the items to removed, noting Ms. Burley was very involved in negotiating with the Senior Center and the potential caterer and asked what other items she wanted in the operating agreement that would occur in succession to the ground lease. Ms. Burley answered the operating agreement will address smaller operational issues under the guidance of the ground lease. For example, where office space and storage would be located, how to enter/exit, how programs were scheduled, working together when there a conflicts, etc. Those were also the type of things she was uncertain would require Council approval whenever changes were made. The things in in the current ground lease were intended to protect the City and now is the time because the City has leverage to protect the City's interest. The issues addressed in the ground lease are included to ensure the City's usage. She commented the difference with the PFD was the City will be programming several hours in this building. She noted Mr. Fleming, Mr. Johnson and she as well as the Council have an excellent relationship, but this is a very long term lease and it is intended to outlive the collective positions. She clarified these are items already in the existing ground lease, they are just clarified with more detail. Council President Fraley-Monillas did not support the amendment as it drastically changed what was worked between Finance, the Senior Center, Recreation and the Council. She agreed everything should be okay but Mr. Fleming intended to retire in not too long and the people in other positions will change. For the City's interest and to ensure there is no confusion, lining it out is best. She agreed with Ms. Burley that minor things like the location of storage can be worked out in the operating agreement. The items addressed in the ground lease are important things; she did not want to see a situation where they are not addressed and in five years, the people involved have changed and problems arise. It protects Senior Center and the City if those issues are addressed in the ground lease. She supported the ground lease that was negotiated between the City and the Senior Center. For Councilmember K. Johnson, Councilmember Buckshnis identified the sections that the amendment proposes removing, 1.2.1. La through h. Councilmember Buckshnis said those sections inject the City into the business model that the Senior Center developed. Councilmember Olson said she will support the amendment because of the simplicity of handling the ground lease and the operating agreement separately. It is terrific that the Senior Center has come to agreement on so many terms and those will be included in an operating agreement that will be so much simpler because so many of the fundamentals have already addressed. The reason for this agenda item was to collateralize a loan and to move forward on the financing and that is what the Council should do. Councilmember Paine preferred the ground lease include these items rather including them in an operating agreement as the ground lease will last the longest. Councilmember L. Johnson said she preferred to have these sections included in the amended ground lease. The majority of last week's agenda item was spent discussing these and the packet included these amendments. Now the Council is being asked to take out a large chunk out of what was the bulk last week's discussion without an opportunity to put more thought into it. She did not support the amendment. Councilmember Buckshnis said last week the Council received the amendment to the ground lease at 7:00 p.m., everyone was surprised and it took the discussion in a different direction. She believed the relationship between the Senior Center and the City is definitely protected; if the Senior Center does not pay the loan, the City can take the building. It is a partnership and she did not want to start off on the wrong foot and have an antagonistic arrangement where the City gets involved in catering, terms, etc. because that is part Edmonds City Council Approved Minutes March 10, 2020 Page 8 of the Senior Center's business model which the Council previously approved. These lease items are too restrictive and should be part of an operating agreement. Mayor Nelson said he has let City staff work on the agreement with the Senior Center staff. He supports the amended lease agreement, finding it in the City's best interest and removing these amendments would not be in the City's best interest. UPON ROLL CALL, AMENDMENT FAILED (3-4), COUNCILMEMBERS BUCKSHNIS, OLSON AND K. JOHNSON VOTING YES; AND COUNCIL PRESIDENT FRALEY-MONILLAS AND COUNCILMEMBERS PAINE , DISTELHORST AND L. JOHNSON VOTING NO. COUNCIL PRESIDENT FRALEY-MONILLAS MOVED TO PASS THE AGREEMENT AS PRESENTED AND NEGOTIATED BY THE SENIOR CENTER AND THE CITY. Councilmember Buckshnis raised a point of order; that motion is already on the floor. MAYOR NELSON RULED COUNCIL PRESIDENT FRALEY-MONILLAS' MOTION OUT OF ORDER. COUNCILMEMBER DISTELHORST MOVED, SECONDED BY COUNCIL PRESIDENT FRALEY-MONILLAS, TO EXTEND THE MEETING UNTIL 7:10 P.M. MOTION CARRIED UNANIMOUSLY. Councilmember L. Johnson requested clarification before next week on what "beverages" on the second floor entails, including alcohol and asked how to accomplish that. Mr. Taraday suggested it would be helpful to have Council action to support her inquiry. Councilmember Buckshnis raised a point of order, suggesting that issue be raised after the vote on the main motion. Mayor Nelson allowed Councilmember L. Johnson to make a motion. COUNCILMEMBER L. JOHNSON MOVED TO AMEND, SECONDED BY COUNCIL PRESIDENT FRALEY-MONILLAS, TO ENSURE THERE IS CLARIFICATION ON BEVERAGE SERVICE FOR THE SECOND FLOOR. MOTION CARRIED UNANIMOUSLY. COUNCILMEMBER BUCKSHNIS MOVED TO AMEND, SECONDED BY COUNCILMEMBER OLSON, TO REMOVE SECTIONS 1.2.1.1.A AND 1.2.1.1.B. Councilmember Buckshnis explained these section address the City having the opportunity to provide input on the catering agreement and the City having the right to determine how to limit the agreement. UPON ROLL CALL, AMENDMENT FAILED (3-4), COUNCILMEMBERS K. JOHNSON, OLSON AND BUCKSHNIS VOTING YES; AND COUNCIL PRESIDENT FRALEY-MONILLAS AND COUNCILMEMBERS L. JOHNSON, DISTELHORST, AND PAINE VOTING NO. MAIN MOTION AS AMENDED CARRIED (5-0-2), COUNCILMEMBERS K. JOHNSON AND BUCKSHNIS ABSTAINING. 3. ADJOURN With no further business, the Council meeting was adjourned at 7:06 p.m. MICH L NELSON, MAYOR SCO PASSEY, CI LERK Edmonds City Council Approved Minutes March 10, 2020 Page 9 ^r.