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HomeMy WebLinkAbout04/19/1983 Study Session APRIL 19, 1983 4 4 3 STUDY SESSION 1. ROLL CALL The City Council met in session on this date at 2:00 p.m. in the Council Chambers of City Hall, Yakima, Washington. Mayor Lynn Carmichael presiding. Council members Clarence Barnett, Henry Beauchamp, Shirley Doty and Jack Sparling and City Manager Zais and City Attorney Andrews present on roll call. Council members Lynn Buchanan and W. K. "Pete" Moore absent and excused. 2. INVOCATION The Invocation was given by Council member Barnett. 3. AUDIENCE PARTICIPATION None 4. DISCUSSION REGARDING WATER RATE STUDY (Continued from April 12, 1983) Dennis Covell, Director of Engineering and Utilities, distributed a dart to Council entitled, Proposed Impact Rate Imposed on Industrial and Commercial Users. Council member Doty explained staff was providing this additional information, at this time, per her request. Addressing the water rate study, Council member Barnett requested clarifica- tion regarding the variance that exists between the 1983 budgeted revenue and the revenue forecast that is provided in the water rate study. Frank Mabry, Superintendent, Water Division, was present to respond, informing Council that the difference or variance exists partially due to a Council policy decision made as part of the 1980 water rate package Which sets aside $100,000 annually to the water construction fund. He also clarified that the $1,900,000 figure represents total revenue Which includes miscellaneous income. He stated that the $1,829,000 figure represents 1982 actual water sales only. Gordon Wonder, 718 N. 56th Avenue, was present to speak in opposition to increased water rates for either residential or business use. He urged Council to determine policy issues, such as tax on water and a surcharge for water customers outside the City limits, before Council considers the proposal by the Utility Rate Advisory Board. Ines Rice, 4409 W. Arlington, was present to speak in apposition to subsidizing the School District water rates. J. S. Applegate, 606 S. 32nd Avenue, addressed the use of domestic water for irrigation purposes. He indicated Council had urged citizens in the past to use domestic water for irrigation and spoke in apposition to increasing the rates for citizens dependent on domestic II/ water for irrigation purposes. Bob Peterson, resident of the City of Yakima, and President of the Yakima Chamber of Cammerce, was present to represent the Chamber's 1,000 members. He indicated the Chamber is concerned with the sizable dollar impact that the proposed rate increase will have on manufacturing, processing and service industries served by the City of Yakima water system. He stated that the Chamber recognizes the need to maintain an adequate and viable water system to serve the needs of the citizens and the job producing businesses. He indicated the Chamber realizes the system's cost of operation will have a certain amount of percentage increase, Which has been common. Therefore, based on these premises, the Chamber of Commerce believes the most equitable approach to meet the expenses of the water system operation, and at the same time maintain a reasonable increase to the users, is to support an 8% across the board increase using the existing rate structure plus a 20% increase on the rates applied to the use of domestic water for irrigation purposes. He indicated that in the Chamber's review over the past few years of the water operations and rate structure, the Chamber finds a consistent issue of concern on the amount of 1 L 4 APRIL 19, 1983 money being generated for the use of general goveuntent versus that generated for use directly by the water system. As an example, he stated that in 1983, it is projected that $419,000 will go to support general government from water rate revenues paid by the users, which is slightly less than 25% of the total operating budget for the City Water Division. He indicated that any rate increase Which occurs also escalates this amount of money, at least the 12.5% increase on total gross revenues. Mr. Peterson stated that any future rate increase proposed to the Council should he directed to the water system and not to general government. At this time, Mr. Peterson read a letter from J. Rand Elliott, Innkeeper of the Holiday Inn and also representing the Motel Owners Association, dated April 18, 1983, wherein Mr. Elliott spoke in opposition to the Utility Rate Advisory Board's proposed water rate increase and requested Council to consider leaving the existing staggered rates in place and granting only the percent increase necessary to allow the Water Division to continue its operation. Mr. Peterson informed Council that Gregg Todd, representing the Thunderbird Inn, and the Motel Owners Association, was present to speak to this issue also. Council member Barnett requested clarification of the Chamber's prcposal, questioning the total percentage increase for the use of domestic water for irrigation. Council member Barnett acknowledged the Chamber's proposal indicating the proposal has merit as it meets the. requirements as outlined by -staff. Mr. Peterson indicated that the Chamber realizes that a lot of work has been put into the study by the Utility Rate Advisory Board, hcwever, the Chamber feels that the rate structure the Chamber has presented is still the best systen to follow, unless there are real capital improvement problems which need to be made in the very near future. He indicated that in a water system, the main cost is not in producing or treating the water, the cost is in the pipes in the ground and capital expenditures. He stated that when the City considers going by a flat rate or inverting rates, the demand for the product is reduced and therefore creates the necessity to raise rates to cover fixed dharges. He indicated that the Chamber does not believe this is necessarily the case with the water system and they hope this would be given further study. He stated that at this point in time, the Chamber feels the 8% and 20% increases are adequate to cover the cost that is needed as Presented by the Water Division. Council member Beauchamp questioned the Chamber of Ccmuerce's participation in the Utility Rate Advisory Board's water rate review process. Council member Beauchamp referred to the minutes of the URAB meetings, and requested Mr. Peterson to canmant on What -appears to be limited participation, or no interest shown, by the Chamber of Ccmmerce.. Mr. Peterson indicated that although the Chamber represents 1,000 members of diversified groups, the Chamber did respond to the URAB's request for an appointed Chamber representative with rate experience, he indicated he had asked the office manager at Pacific Power & Light if he would represent the Chamber. Mr. Peterson indicated that a letter from the URAB to the Chamber representative stated that the representative would not be able to make policy decisions, as policy decisions have to II/ come before the URAB Board for approval. Mr. Peterson indicated he believed it would have been a much more adequate system had the URAB requested the participation of the businesses themselves, such as Del Monte, Holiday Inn, and the Thunderbird Inn, requesting then to come in and express their problems with the URAB. He stated he did not think that ever occurred; there was no invitation to the users or rate payers to cane in and make a presentation to then. Mr. Peterson indicated that just because the Chamber puts a member on the Committee does not necessarily spell a great degree of success in that effort to represent 1,000 members.. Mayor Carmichael elaborated on Council member Beauchamp's question, in that the URAB was not expecting the Chamber delegate to help make policy, but to act as liaison between the URAB and the Chamber so that the Chamber would understand that was transpiring at the meetings and the Chamber could, therefore, provide input. She commented that when the Chamber appears at this point with APRIL 19, 1983 4 45 a different proposal, after a year's study by the URAB, it is very confusing to the Council, in an already confusing situation in dealing with water rates. Bob Peterson responded, informing Council that the Chamber representative's participation began late and secondly, the representative had a job change Which kept him out of town a large portion of the time, causing him to miss many of the meetings. Mr. Peterson stated that since the representative did not preside on the Chamber of Commerce Board, this did cause liaison prdblems. He stated that the URAB did provide the Chamber with copies of the minutes from their meetings as they developed, however, he did not think the Chamber representative was able to get the core of the prdblem. Mr. Peterson suggested the Chamber representative should have been someone from one of the businesses most affected. Mr. Peterson commented that the Chamber thought that someone with rate making experience might be a better representative, however, the Chamber made a wrong decision in that case. Council member Barnett indicated from his persepctive, the URAB spent a year in developing a philosophy or formula Which has not changed much during the year and it wasn't until the recent results of a computer rate study that Council could determine that the impacts would be and, therefore, he did not believe it would have made a significant difference if the Chamber was in on the meetings during the development of the philosophy. Council member Doty expressed her disappointment at the lack of participation by the Chamber of Commerce, as she felt there was an honest attempt to involve the Chamber on this issue. Mr. Peterson responded, stating that, yes, there was an attempt made, but in his own personal opinion, as he and the City Manager have discussed this issue, Mr. Peterson finds it very difficult for certain citizen task force groups to delve into an issue due to the lack of time to analyze a problem and the lack of funds to bring their own staff aboard to challenge or question City staff or City reports. He indicated that at the Federal Government level, there is adequate staff to do the work, but, in his opinion, he does not think any businessman has the necessary time required to develop a study. He ccmmented that the Chamber of Commerce has difficulty in putting a task force together to review any particular item, as it is difficult to get everyone together on a regular basis. Council member Doty reiterated her opinion that an effort was made by the URAB to involve the Chamber with the water rate study due to concerns of the Chamber and if the appointed representative had difficulty with the times or dates of the meetings, she would have preferred something be said along the way, so that different meeting times could have been arranged or an alternate person from the Chamber could have been appointed. Mr. Peterson expressed his doubt, questioning if the mechanism was really there to accomplish this. Referring to Mr. Peterson's earlier remark, Council member Doty questioned if Mr. Peterson was suggesting that the City should not utilize II/ citizen advisory groups. Mr. Peterson responded, indicating he believed there are certain types of projects that, unless you also give that task force dollars to hire staff to assist them, so they do not totally depend upon City staff to review City reports to make a recommendation to the City, then the City is defeating the purpose. Council member Doty questioned if Mr. Peterson was suggesting the City hire an outside consultant. Mr. Peterson stated, not necessarily, it would cost money, but if the City wants that. type of an analysis of 'a particular activity, then that is the approach to follow. Gary Webster, Manager of the Chamber of Commerce, was present to expand on the Chambers participation. He stated that staff has been very cooperative in supplying minutes of the meetings, however, he commented on the lack of data in the - minutes from which to make an assessment. He indicated that following conversations with the Chamber representative, the philosophy was established as to at direction the URAB was taking and the Chamber then conveyed that information out to those people Who would be affected. He informed Council that those people Who were contacted responded to the Chamber, informing the Chamber that there was a need for hard data from Which to make a determination regarding the philosophy. Mr. 4 4 APRIL 19, 1983 .Webster stated that the hard data did not become available until March 23, 1983, until at which time it was difficult to determine the impact of the water rate study. Council member Beauchamp questioned if the water rate' study/information process could have been done differently. Mr. Webster responded in the affirmative, suggesting that a cross section of users should have been requested to attend the meetings. Council member Beauchamp questioned Greg Todd, representing Thunderbird Motor Inns and the Motel Owners Association, how the City of Yakima's water rate structure compared with other cities where Thunderbird Motels are located. Mr. Todd responded, informing Council he did not have that information available. Council member Barnett expressed his opinion that there are a number of policy issues that need to be decided before Council makes a decision. Frank Mabry clarified the II/ interest rate regarding the recent water/sewer revenue bond sale. City Manager Zais commented that the Chamber's proposal which they have presented today is exactly the sane as presented two years ago when the City was discussing water rates. He referred to the Chamber's proposal two years ago, wherein a recommendation came in from the Chamber for a 20-25% across the board increase Which was that the Council implemented. City Manager Zais indicated that if the Chamber's proposal is to be considered again, staff would use the philosophy that the Chamber has expressed and translate that philosophy into a specific rate increase, to be brought back to Council as an alternative consideration. Gary Webster requested clarification of the water/sewer bond issue. Mr. Applegate commented that he had written the Council in October 1982 expressing his concerns with the proposed water rates. Council member Barnett indicated he would like to see the results of the Chamber's proposal of an 8% across the board increase with a 20% increase for domestic water use for irrigation as an alternative to consider. Council member Doty expressed her appreciation of the time spent by the Utility Rate Advisory Board to provide Council with the proposed study. She expressed her disappointment of disregarding the URAB's work and starting in another direction, suah as proposed by the Chamber of Commerce. Mayor Carmichael concurred with Council member Doty. Coundil member Barnett indicated that the Chamber's proposal is a different concept which he would like to review. Council member Beauchamp stated it was unfortunate that the URAB has spent so much time on this issue before the Chamber provided their input, however, he would. like to proceed on this issue and questioned staff if it was possible to receive this new information at next week's, meeting. City Manager Zais responded affirmatively. It was the consensus of the Council to move this item to the Business meeting next TUesday to review the new information. 6. REPORT ON ANIMAL CONTROL ENFORCEMENT PROCEDURES/REVIEW OF POLICIES ON HUMANE SOCIETY OONTRACT Assistant City Manager Larry Wittenberg was present to introduce Doug Vawter and Betty Osborne of the Humane Society. Gordon Wonder, 718 No. 56th Avenue was present to speak in support for the work accomplished by the Humane Society and urged Council to support the Humane Society in their effort to locate a new site for the Humane Society's new building. Del Trimble, representing the Arboretum Society, was present to speak in opposition to the placement of the proposed Humane Society site next to the Arboretum Park, Mr. Trimble provided background information regarding the creation and concept of the Arboretum Park which was in conjunction with the Greenway Foundation. He stated that the Humane Society was not compatible with the Arboretum and requested Council to consider this iten carefully before making a decision. Discussion followed regarding possible alternative locations within the ten acre Greenway Park area versus the 2.5 acre location proposed in staff's report. Jim Whiteside, Chairman of the Greenway Foundation, was present to inform Council of the Foundation s effort to develop the ten acres, utilizing a $10,000 grant from the Yakima Kiwanis Club, into a park-like APRIL 19, 1983 4 4 7 setting. He indicated that the Foundation has not taken a formal position regarding the placement of the Humane Society shelter in this area, as the Greenway Foundation is utilizing the land as the City's guests. However, he indicated as far as he was personally concerned, he would like to defer to the Arboretum's wishes pertaining to the use of the land, as the Arboretum existed at this location prior to the Greenway Foundation. Speaking as a Canmissioner on behalf of the Yakima County Commissioners, Mr. Whiteside indicated that the placenent of the new Humane Society is not just a City problem and the County is in the process of taking an inventory of property in the County for possible placement of the Humane Society. He addressed the possibility of purchasing land and receiving payment from "in kind services." Mayor Carmichael expressed her appreciation of the County's willingness to assist in this matter and questioned how long it would take to go through the County's inventory. Canmissioner Whiteside responded, informing Council the research would be only a matter of a few days to one week. Fred Westberg, 605 So. 31st Avenue, Secretary of the Greenway Foundation and Chairman of the Kiwanis Club Park Committee, was present to convey the Kiwanis Club's concern of placing the Humane Society within the proposed ten acre development area. He informed Council of the cost incurred by Kiwanis this far and the hours spent preparing the area for the Foundation's proposed park. Dave Putney, Terrace Heights, was present to speak on behalf of the Humane Society. He provided an ardhitectural sketch of the proposed building and discussed the positive aspects of locating the building on the proposed 2.5 acres. Mr. Putney informed Council of the urgency to relocate the Humane Society before this winter, as the current structure was not economically feasible due to several problems. He indicated a major problem which currently existed was the anticipated utility expenses throughout the coming winter. He urged Council to approve the proposed site Which would enable the Humane. Society to begin construction as soon as possible. It was the consensus of the Council to delay a decision regarding the placement of a new Humane Society site until the City received a response from the County regarding a possible County site. Mr. Putney reiterated his concern regarding the time element involved and reminded Council of the need to make a determination within the next four weeks. Assistant City Manager Wittenberg requestel direction from the Council regarding the renewal of the City's agreement with the Humane Society. He informed Council that due to revenue shortfall experienced by the Humane Society, a flat rate or monthly Charge has been proposed. Assistant City Manager Wittenberg expanded on the past agreement and the benefits involved with going to a flat monthly charge for the ranainder of the year. He indicated a new agreement would be considered in January, 1984. Council member Doty expressed her concerns regarding the number of phone calls and complaints regarding the issue of animal control. Walt Feser, recently retired Custaner Services Manager, was present to elaborate on his report. Discussion followed regarding the leash law ordinance and current animal control practices. City Manager Zais commented on the various problems with animal control in the past and steps that have been taken to attempt to resolve the problems. Discussion followed regarding the current agreement with the Humane Society and the possible benefits utilized by going to the flat rate agreement for the ranainder of 1983. Council member Doty expressed her preference of the flat rate dharge. Doug Vawter, Humane Society, informed Council that the flat rate system would eliminate excess paperwork and allow for additional animal control time on the street. It was MOVED by Beauchamp, seconded by Doty to direct staff to prepare the ' proper legislation to adopt the flat rate proposal as outlined in staff's report. Unanimously carried by voice vote. Budlanan and Moore absent. 144 8 APRIL 19, 1983 7. REPORT FROM PUBLIC WORKS REGARDING REFUSE UTILITY RATE STRUCTURE ALTERNATIVES ' - It was the general consensus of the Council that this time be postponed, however, Council member Barnett requested staff to researdl the effects of each of staff's proposed alternatives on the one and two-can customers prior to returning this item to Council. 5. REVIEW OF TITLE V, MUNICIPAL CODE, PROPOSED REVISIONS REGARDING REGULATORY AMENDMENTS City 'Manager Zais informed Council this item was an effort by the Code Inspection Division and City Attorney's Office to update Title V of the Yakima Municipal Code pertaining to - licenses and business regulations. Council member Barnett questioned the proposed closing time limit set on amusement halls, Chapters - 5.10, 5.12 and 5.18, indicating he would like to have input from the citizens who would be affected by this before approving this item. Council member Doty requested clarification of the proposed change for Chapter 5.78 wherein the regulation of taxi cab businesses would be repealed, but the licensing of taxi cab drivers would be retained. City Manager Zais responded informing Council the City will still - retain the authority to license taxi cab drivers and the Traffic Engineering Division will 'continue to maintain authority of the Tax Cab Stands, however, from a legal standpoint, it is not necessary at this time, to continue the regulation of the taxi cab business. It was MOVED by Barnett, seconded by Doty to direct staff to prepare the proper legislation amending Title V of the Yakima Municipal Code, excluding Chapters 5.10, 5.12 and 5.18 relating to Amusement Arcades, as Council would like more information on the effects of the proposed reduction of operating hours for amusement hall and billiard and poolhall premises. (Mayor Carmichael temporarily absent after 4:57 p.m.) Council member Sparling requested clarification of Chapter 5.11 - Panoram Licenses. (Mayor Carmichael present after 5:02 p.m.) Council member Beaudhatp expressed his concern with"the proposed repealing of Chapter 5.34 wherein that existing Chapter prohibits fortune telling. He questioned if it was possible to leave that Chapter - in effect. City Attorney Andrews responded negatively, as the state statute was repealed in 1976. The question was called for a vote on the motion. Unanimously - carried by voice vote. Buchanan and Moote absent. 8. OTHER BUSINESS Mayor Carmichael informed Council of a letter she received from the County Commissioner's office informing the City that the Terrace Heights dump site will.be open, free of charge, with exception to commercial haulers, on Saturday, April 30, 1983 in conjunction with Yakima's "Clean Up and Green Up" campaign. ' Council member Doty informed Council of the progress with the clean up committee. Mayor Carmichael informed Council she had received a call from the Association of Washington Cities requesting a Council member to serve on their Resolution Committee. Council member Beauchamp suggested Council member Barnett might be interested. Council member Barnett declined as he was not interested in this particular committee. Information Items -Itens of information supplied to Council were: report from Chief of Police for the month of March, 1983; report from Code Administration Office Office Activities for month of Mardi, 1983; report from the Permit Center for the month of March, 1983; minutes of March 22, 1983 Board of Adjustment meeting; minutes of March 15, 1983 Police & Fire Civil Service Commission meeting; and minutes of March 14, 1983 Parks & Recreation Commission meeting. APRIL 19, 1983 LO-f 9 9. EXECUTIVE SESSION REGARDING PROSPECTIVE LITIGATION AND COLLECTIVE BARGAINING Council member Barnett questioned if Council needed to adjourn to the special meeting, Gleed Area Domestic Water Service, scheduled for April 20, 1983. It was the consensus of the Council to cancel the Gleed Water meeting and reschedule at a later date due to the lack of a quorum for the April 20th meeting. It was MOVED by Beauchamp, seconded by Doty to move into Executive Session for the purpose of discussing prospective litigation and collective bargaining and, then immediately adjourn the meeting. Unanimously carried by voice vote. Buchanan and Moore absent. II/ 10. ADJOURNMENT Following the canpletion of the Executive Session, the meeting was adjourned at the hour of 5:30 p.m. / READ AND CERTIFIED ACCURATE BY zvi A, DATE4V/k COU m MEMBE ' / AgtAr. 'DATE - 6-'7> soUNCIL MEMBER ATTEST: c) / tva, ■mmk AkA P CAA6.' CITY CLERK i MAYOR