CITY OF SHORELINE

SHORELINE CITY COUNCIL

SUMMARY MINUTES OF WORKSHOP MEETING

Monday, November 6, 2000

6:30 p.m.

Shoreline Conference Center

Mt. Rainier Room

PRESENT: Mayor Jepsen, Deputy Mayor Hansen, Councilmembers Grossman, Gustafson, Lee, Montgomery and Ransom

ABSENT: None

1. CALL TO ORDER

The meeting was called to order at 6:30 p.m. by Mayor Jepsen, who presided.

2. FLAG SALUTE/ROLL CALL

Mayor Jepsen led the flag salute.

(a) Proclamation of "Veterans Appreciation Day"

Mayor Jepsen presented Rick Grennier, Commander, American Legion Post 227, with a proclamation of "Veterans Appreciation Day."

3. CITY MANAGER'S REPORT AND FUTURE AGENDAS

Interim City Manager Larry Bauman discussed the Washington State Supreme Court ruling of Initiative 695 as unconstitutional.

Mr. Bauman went on to discuss the schedule of Council meetings in January. Mayor Jepsen advocated that Deputy Mayor Hansen, Mr. Bauman and he base the designation of the January 8 Council meeting as a workshop or regular meeting on the items scheduled for the meeting agenda.

Next, Mr. Bauman noted comments during the October 23 Council workshop about a dispute between Sharon Cass and John Dixon. He said Ms. Cass and Mr. Dixon have agreed to a staff-proposed meeting with a mediator to try to resolve their differences regarding Twin Ponds Park.

Mr. Bauman next discussed the letter from Mayor Jepsen to King County Council Chairman Peter von Reichbauer regarding the construction of connectors from the 1^st Avenue NE Solid Waste Transfer Station to the bus ramps at the North Metro Bus Base. He also mentioned a news release from the office of King County Executive Ron Sims in support of construction of the connectors.

Mr. Bauman announced that Jan Briggs has begun work as Economic Development Coordinator.

Public Works Director Bill Conner reported that the City terminated the contract of the company originally hired to landscape the Shoreline Police Station. The City has hired a company to complete the project. Mr. Conner estimated completion in two weeks.

Finally, Mr. Bauman noted that there is no need for an executive session later in the meeting.

Upon roll call of the City Clerk, all Councilmembers were present with the exceptions of Councilmembers Grossman and Montgomery, who arrived later in the meeting.

4. COUNCIL REPORTS

Councilmember Gustafson mentioned the installation and dedication at the Shoreline Library of the totem pole that the City received as an anonymous donation.

Councilmember Ransom said the King County Jail Advisory Committee met to discuss rising jail costs. The explanations provided were satisfactory to those in attendance. He noted an estimated increase in City of Shoreline jail costs of eight percent. He discussed causes for the cost increases, including longer sentences and stricter sentencing.

Councilmember Gustafson noted his participation in a press conference at the King County Courthouse regarding domestic violence awareness. He discussed the involvement of the Human Services Roundtable, the City of Shoreline and Health and Human Services Manager Rob Beem.

5. PUBLIC COMMENT

(a) Timothy Crawford, 2326 N 155^th Street, questioned the lack of City response to the comments he made at the October 23 Council meeting regarding the letter he received from Mr. Dixon.

(b) Patty Crawford, 2326 N 155^th Street, suggested that her family should receive a refund on its property taxes if it is not able to receive City services. She advocated that Council search locally for the next City Manager. She asserted that variances to stream buffers for the projects at 2330 N 156^th Place and at 14900 1^st Avenue NE contradict the Shoreline Municipal Code.

(c) Walt Hagen, 711 N 193^rd Street, said "everything we seem to do in Shoreline is against the will of the people who live here." He asserted that the Aurora Corridor Project is flawed because it fails to address traffic congestion.

(d) Sharon Cass, 2320 N 149^th Street, reiterated issues she raised at the October 23^rd meeting regarding Twin Ponds Park and volunteer John Dixon. She also requested that the City ask Aegis Assisted Living to clear garbage and debris from its property on 1^st Avenue NE.

Mayor Jepsen noted that Mr. Crawford left the October 23 Council meeting immediately after making his comments and that staff and Council responded as soon as possible during the meeting. He stressed that Mr. Dixon is not a City employee and that Mr. Dixon does not represent the City. He disagreed that the City is withholding services from the Crawfords.

Councilmember Montgomery arrived at 7:05 p.m.

Councilmember Gustafson mentioned that Parkwood Neighborhood Association has supported Mr. Dixon's work in Twin Ponds Park. He reiterated that Mr. Dixon does not represent the City.

6. WORKSHOP ITEMS

(a) Departmental Presentations for the 2001 Proposed Budget (all departments except Public Works)

Finance Director Debbie Tarry noted that the Washington State Supreme Court has ruled Initiative 695 unconstitutional. She went on to review the implications for the City of Initiative 722 (I-722) passing or failing in the November 7 election.

Council had no questions regarding the 2001 proposed budgets of the City Council, City Manager or City Clerk.

Community and Government Relations Manager Joyce Nichols reviewed the 2001 proposed budget of her department. Council had no questions.

Health and Human Services Manager Rob Beem reviewed the 2001 proposed budget of his department.

In response to Mayor Jepsen, Mr. Beem confirmed that both the City of Shoreline and the City of Lake Forest fund Club Kellogg, the after-school program at Kellogg Middle School. He explained that Parks, Recreation and Cultural Services manages the separate Aldercrest Late Night Teen Program.

In response to Councilmember Gustafson, Mr. Beem mentioned the goal of participants in the soon-to-disband Human Services Roundtable to maintain representation before the State legislature of local elected officials on human services issues. He commented that representatives of cities in King County will meet in December and January to discuss issues of regional significance. He explained that staff retained $5,000 in the "Dues, Subscriptions, Memberships" budget line item toward participation in these efforts.

Councilmember Gustafson said the proposed Health and Human Services budget is consistent with Council discussion during its August budget retreat. He advocated City support for after-school activities at Einstein Middle School should a program develop there.

In response to Councilmember Ransom, Mr. Beem explained that Youth Volunteer Corps identifies volunteer opportunities in the community and recruits and supports middle- and high-school student participation in community service. He said Youth Volunteer Corps "filled out an area in (City) services," particularly by engaging middle school students in community service.

Councilmember Ransom noted Council discussion of allocating grant funds for which cultural organizations could compete. Mayor Jepsen acknowledged the goal to augment competitive block grant funding with additional General Fund revenues. He said the City must determine when it can do so.

Council next addressed the 2001 proposed budget of the Office of the City Attorney.

Councilmember Gustafson asked about the eventual addition of a paralegal position. City Attorney Ian Sievers noted that his office shares an administrative assistant position with the City Manager's Office and that he has trained the person in that position to provide support. He agreed that another support position may be necessary as the City Manager and City Attorney's Offices get busier.

Councilmember Ransom asked if the City could "get a better handle" on professional services costs by adding a staff position. Mr. Sievers commented on the value, as the City grows, of eventually adding a dedicated staff assistant to handle some level of litigation. Councilmember Ransom clarified that he was thinking more about prosecuting attorney services. Noting that he has inquired informally of other city attorneys, Mr. Sievers said the City is receiving a "very good deal" with Kenyon Law Firm.

In response to Councilmember Gustafson, Mr. Sievers explained that the "Professional Services" budget line item is strictly attorneys fees. He said the addition of a paralegal position would not mitigate these costs.

Mayor Jepsen noted that the prosecuting attorney and public defense services appear in the Public Safety/Criminal Justice Services budget.

Ms. Tarry reviewed the 2001 proposed budget for Finance/Information Services.

Councilmember Montgomery mentioned the financial problems the County has experienced as a result of the failure of a major information services project. She expressed concern that nothing similar happen at the City. Ms. Tarry asserted the quality of the Information Services staff. She noted that implementation of the Hansen Project is proceeding on schedule. Mr. Bauman said Information Services establishes the clear objectives for information technology and exercises the project management necessary to avoid the kind of problems the County has experienced.

In response to Councilmember Lee, Ms. Tarry anticipated successful, full implementation of the Hansen Project by mid-2001.

In response to Councilmember Lee, Ms. Tarry asserted the timeliness of reviewing the City's Overhead Allocation Model and development fees. She said most organizations conduct such reviews every three to five years.

Councilmember Lee questioned the 1123.9 percent increase in the "Operating Supplies" budget line item. Ms. Tarry said the City previously identified the Technology Plan as one budget line item, "Other Reserves." She explained that staff has designated amounts related to the Technology Plan to the appropriate areas within the 2001 proposed budget. Thus, "Operating Supplies" now includes the software and hardware related to the Technology Plan.

In response to Councilmember Lee, Ms. Tarry confirmed that the City will be revising and refining the broad purchasing policies that Council previously adopted.

Councilmember Lee asked about the audit of utility tax revenues. Ms. Tarry estimated that the results of the audit will not be available for six months. She noted that the auditor has already identified $20,000 in miscoded sales tax revenue. She explained that staff will return to Council in 2001 with a budget amendment addressing the cost of the audit (under the contract, the auditing firm will receive 20 percent of any revenues it finds for the City).

Ms. Tarry reviewed the 2001 proposed budget for Citywide Services.

Deputy Mayor Hansen questioned the $23,593 deficit in the "Contingencies" 2000 projected budget line item. Ms. Tarry explained that staff did not know the amount of medical benefits cost increases when it prepared the 2000 budget, that staff later acknowledged the cost increases and that it charged the increases against the "Contingencies" budget line item under Citywide Services. She mentioned that staff already knows the amounts of the 2001 medical benefits cost increases and that it has included these in the 2001 proposed budget.

Council next addressed the 2001 proposed budget of Human Resources.

In response to Councilmember Lee, Human Resources Director Marci Wright explained that the $3,000 budgeted for "Software/Licenses/Upgrades" represents personal style inventory software the City purchased for training.

In response to Councilmember Ransom, Ms. Wright reviewed the training that Human Resources provided in 2000, including: conflict management and DiSC personal profile training for all City employees; and sexual harassment and safety training for new employees.

In response to Councilmember Ransom, Ms. Wright explained that DiSC is a personal style inventory that reveals preferences for communication behavior. She said the system is useful for team building and improving communication within departments.

Councilmember Ransom asked about training Human Resources will provide in 2001. Ms. Wright mentioned training in team building for all City employees and additional management/supervisory training.

In response to Councilmember Ransom, Ms. Wright estimated that Human Resources will fill 50 to 60 positions in 2001. She noted that Human Resources has filled 42 positions in 2000. She said 13 of these 42 recruitments were for new positions.

Deputy Mayor Hansen noted that the "Recruitment" 2000 projected budget line item will exceed the 2000 budget line item as amended by approximately $29,000. Ms. Wright said Human Resources conducted more recruitments than it estimated. She attributed this to increased turnover and the need to conduct multiple recruitments for some positions.

In response to Deputy Mayor Hansen, Ms. Wright confirmed that the City Manager recruitment costs are not included in the Human Resources budget amounts.

Police Chief Denise Pentony reviewed the 2001 proposed Public Safety/Criminal Justice budget.

Mayor Jepsen noted his participation in a meeting of community leaders convened by the Shorecrest High School principal. He said the principal was "extremely pleased" about the addition of the School Resource Officer (SRO) to the two high schools. Mayor Jepsen highlighted that the Shoreline School District, the City of Lake Forest Park and the City of Shoreline were able to coordinate their budget and funding cycles to anticipate and fill this need.

Mayor Jepsen stressed Council concern about increasing jail contract costs (which, he said, have increased by 100 percent over three years). He mentioned that he and Deputy Mayor Hansen raised this concern during a recent meeting with King County Councilmember Maggi Fimia. Acknowledging that the increasing costs relate to the entire judicial system as well as to County management of the jail, he asked about cost-management efforts. Senior Management Analyst Eric Swansen said the King County Budget Office has undertaken an Adult Justice Operational Master Plan to consider system-wide improvements. He noted his participation on one of the three workgroups, and he mentioned that Mr. Bauman or Ms. Nichols will participate in the steering committee. He anticipated recommendations from the planning process by the first quarter of next year.

Mayor Jepsen asked if the County is incurring the same 32-percent increase in jail costs for unincorporated areas that the contract cities are incurring. He asked how the County allocates overhead costs and whether such costs are fairly distributed. Mr. Swansen agreed to research these issues.

Councilmember Ransom requested an organization chart with the positions of Shoreline Police Officers. He asked how many positions are allocated to the Shoreline Police Department and how many positions are filled (he mentioned that the County has had difficulty keeping positions filled in the past.) Chief Pentony advised that the Shoreline Police Department included 47 dedicated positions in 2000 (including one City-funded administrative assistant position). She said the department is fully staffed. She explained that the addition of the proposed SRO would increase the number of dedicated positions to 48. She mentioned that three of the positions (two administrative assistants and one community service officer [CSO]) are not sworn officers.

Councilmember Grossman arrived at 8:11 p.m.

Mayor Jepsen asked about the ongoing issue of how labor negotiations and budgeting in the King County Sheriff's Office affect the CSO position in the Shoreline Police Department. Chief Pentony confirmed funding for 2001. Mr. Bauman said the City Manager's Office has asked the King County Sheriff's Office to explore two issues: 1) developing collective bargaining agreements to insure that the Shoreline CSO position is protected from layoffs; and 2) addressing civil service provisions that may also undermine the viability of the position.

Mayor Jepsen requested efforts to insure that County Council deliberations do not affect the Shoreline CSO position. He noted that he and Deputy Mayor Hansen mentioned this issue to County Councilmember Fimia.

Ms. Tarry discussed jail services in greater detail.

Councilmember Gustafson asked if longer jail stays have resulted from stiffer penalties. Mr. Swansen noted dramatic impacts from legislation addressing driving under the influence (DUI) and driving with a suspended license. Also, he commented that judges respond to the community attitude to get tough on crime with stiffer sentences with longer jail stays.

Councilmember Ransom questioned the discrepancy between the seven-percent increase in jail contract costs projected by City staff and the eight-percent increase in costs presented to the Jail Advisory Committee. Mr. Swansen said the City staff projection is based on a memo the County sent for budget planning purposes. He explained that the County will not officially set the rate until the County Council adopts its budget in late December. He asserted that the City staff projection is "well within the area" of the projection presented to the Jail Advisory Committee.

In response to Councilmember Lee, Ms. Tarry said the three-year $125,000 federal grant for the SRO program will appear as a reduction in the contract fee the City pays the County.

Tim Stewart, Planning and Development Services Director, reviewed the 2001 proposed budget for his department.

In response to Mayor Jepsen, Mr. Stewart explained that staff consolidated the budget line items under "Development Services Fund Programs" into one titled "Permits." He said Planning and Development Services staff are organized by permit type in accordance with the City Development Code.

Mayor Jepsen asked if consolidation of the "Development Services Fund Programs" into the single "Permits" line item will allow the City to anticipate use of permit fees over multiple years. Mr. Stewart said it will. Referring to page 61 of the 2001 proposed budget, he pointed out the $679,704 projected "Ending Fund Balance." He said this proportion will remain consistent in future years. In addition, he commented that the Hansen Project, when it is fully operational, will enable staff to identify an actual dollar amount of carryover fees instead of the projected liability staff provides now.

Councilmember Ransom asserted considerable differences between the amounts on page 61 and the amounts on page 131 of the 2001 proposed budget. Ms. Tarry attributed these to the "Transfers In" and "Transfers Out." She said the "Transfers Out" relate to the overhead charged against the Development Services Fund. In addition, she noted that page 131 combines the General Fund and the Development Services Fund; whereas, page 61 presents the Development Services Fund alone.

Councilmember Ransom said he is trying to determine whether the funds adequately support Development Services expenditures. He noted an apparent excess of revenues versus expenditures on page 131 and an even larger excess on page 61. Mr. Stewart compared the 2000 Projected "Direct Expenditures" of $894,259 on pages 61 and 131. He reiterated the difference of the "Transfers Out" and "Transfers In" on page 61. Ms. Tarry said these relate to the technology portion.

Deputy Mayor Hansen questioned the Development Services cost-recovery percentage. Mr. Stewart said cost recovery for "direct-cost services" is close to the 80 percent targeted by Council. He noted the ambiguity of how to allocate costs related to walk-in service.

Councilmember Ransom asked if the $714,402 in "Transfers Out" on page 61 is for general administration or for planning and other functions outside of Development Services. Mr. Stewart said the "Transfers Out" cover the real costs (as identified in the cost recovery plan) for the operation of the permitting function.

In response to Councilmember Grossman, Mr. Stewart explained that consulting services has accounted for much of the "Transportation Planning" budget line item. He attributed the $121,000 decrease in the line item to the completion of the Aurora Corridor pre-design and the transfer of the project to Public Works.

Councilmember Grossman questioned the decrease of the "Economic Development" budget line item given Council emphasis on economic development. Mr. Stewart commented that the budget line item does not necessarily reflect the level of effort in the department on economic development. He said the department may focus other activities on economic development. For example, he mentioned the benefits in economic development of an over-the-counter permit process.

Mayor Jepsen noted that planning in response to the listing of salmon species under the Endangered Species Act (ESA) has offset the savings the City might have hoped to see from the transfer of major projects to Public Works.

Wendy Barry, Parks, Recreation and Cultural Services Director, reviewed the 2001 proposed budget for her department.

Mayor Jepsen noted that Councilmembers received a voice-mail message from a citizen concerned about the proposed purchase of a chemical application trailer and use of pesticides and other chemicals in the community. Ms. Barry discussed the City's vegetation management program, which includes very limited application of herbicides and pesticides. She said staff will also use the trailer to apply water-soluble fertilizers and for watering. Mayor Jepsen said Council may want to discuss the vegetation management program, particularly in terms of ESA.

In response to Councilmember Ransom, Ms. Barry said the reference to Shoreview Park in the 2001 Planned Activity Summary on page 136 pertains to construction at the park. She said the City has not included any master planning for Shoreview Park in the 2001 proposed budget.

In response to Mayor Jepsen and Deputy Mayor Hansen, Ms. Barry noted her understanding that Council requested staff to prepare a master planning schedule for City parks. She said staff intends to work with the Parks, Recreation and Cultural Services Advisory Committee to develop the schedule for presentation to Council.

Councilmember Ransom questioned the decision not to continue parks master planning in 2001. Mr. Bauman said the six-year Comprehensive Improvement Program (CIP) "is taxed with major projects" and not fully funded. He asserted that additional master planning for parks will exacerbate the situation. Councilmember Ransom commented that the City would not have to implement planned improvements. Mr. Bauman questioned whether the City would "want to have a master plan that's going to sit on the shelf for several years" before it can undertake construction.

Councilmember Grossman asserted his understanding of the intent to prepare a set of comprehensive plans for City parks in order to seek voter approval of a bond issue to fund improvements. Mr. Bauman said this was what Ms. Barry meant when she referred to work with the advisory committee to develop a master planning schedule for City parks.

In response to Councilmember Grossman, Ms. Barry confirmed that the 2001 proposed budget neither precludes nor includes a master planning process for all City parks.

In response to Councilmember Lee, Ms. Barry explained that the contract with the North Rehabilitation Facilities (NRF) accounts for most of the increase in the "Intergovern-mental Services" budget line item. She said the $46,000 contract was previously budgeted as "Professional Services."

In response to Councilmember Ransom, Ms. Barry noted "pretty good attendance" at the Annex (Aldercrest Late Night Teen Program). She explained that the City of Shoreline and the City of Lake Forest Park entered into a contract on a pro-rated basis to fund the program.

Councilmember Ransom asked about the Neutral Zone teen program in Mountlake Terrace. Ms. Barry said she did not have current information about this program, but she agreed to research it.

Mayor Jepsen commented that the State Supreme Court ruling of I-695 as unconstitution-al makes available the $30,000 that staff had set aside for a special election. He advocated that Council allocate the funds toward Council goal eight: "Enhance Two-Way Communication through the Use of Technology (Government Access Channel and Website)." He encouraged other Councilmembers to consider and discuss other alternatives for these funds.

Councilmember Ransom noted the uncertainty caused by I-722. Councilmember Gustafson concurred.

Returning to the 2001 proposed Public Safety budget, Councilmember Grossman asked how staffing of the Shoreline Police Department compares with staffing of police departments in other cities of comparable size. He expressed his interest in the question of funding police versus funding prevention. Mr. Bauman said the proposed performance measurements will provide the City with a better understanding of such outcomes. He estimated that the staff size per capita of the Shoreline Police Department is approximately half that of police departments in other cities of similar size. He noted that the proposed Annual Police Citizen Satisfaction Survey will provide valuable information about the feeling of security in the community.

Councilmember Grossman expressed concern about the King County Sheriff's Office conducting the citizen satisfaction survey. Mr. Bauman said the survey will be conducted over the phone using random sampling. He noted close City staff involvement in the preparation of the survey.

Mayor Jepsen commented that the City has dramatically increased the number of police in Shoreline over the number present prior to incorporation. He asserted that a reduction in police staffing would be a mistake.

Councilmember Grossman supported the government access channel as a valuable opportunity. He mentioned other government agencies as potential partners. He asserted the possibility for high-quality community outreach programming.

Councilmember Ransom said continuously conservative financial projections have resulted every year in extra City funds. He advocated the allocation of additional funding for cultural services and other projects. He noted potential financial impacts of the State Supreme Court ruling I-695 unconstitutional and of I-722. He asserted that the auditor with which the City has contracted is likely to be successful in identifying additional tax revenue.

In response to Councilmember Ransom, Ms. Barry confirmed that the City teen program is continuing. She explained the proposal to add five hours per week to two of the teen program assistant positions.

Deputy Mayor Hansen advocated that staff analyze the property tax rate at various ranges of assessment. He also requested that staff prepare a comparison to the property tax rate that would be in effect if Shoreline had not incorporated. He indicated interest in considering a reduction to the City's portion of the property tax.

Councilmember Gustafson concurred with Deputy Mayor Hansen's comments. He also supported expanded City use of the government access channel through partnerships with the Shoreline School District and the Shoreline Community College. Next, he mentioned his understanding that maintenance equipment the School District purchased with bond-issue funding was not being used. He asserted that City and School District maintenance overlap in some areas. Noting potential cost savings, he suggested an agreement between the City and the School District on facility maintenance. Finally, he advocated the preparation of a long-range vision regarding City parks, recreation and cultural services. He said this could help determine the feasibility of a bond issue to fund improvements.

Councilmember Lee asked about implementation of a biennial City budget. Ms. Tarry said State law requires that biennial budgets begin in an odd-numbered year. Also, Council must adopt an ordinance stating its intent to implement biennial budgeting at least six months before doing so. Ms. Tarry suggested the City could consider a proposal in 2002 for implementation of a 2003-2004 biennial budget.

Mayor Jepsen reviewed the alternatives that Councilmembers raised and asked staff to prepare cost estimates for them.

Councilmember Ransom expressed support for additional funding for the government access channel. He also mentioned the apparent willingness of the School District to consider selling the Cedarbrook property. He said the property is the last 11 acres available in Shoreline. He noted the purchase of the property as a park site as one element of a bond issue.

Councilmember Grossman clarified that the School District is "looking at options for Cedarbrook; they haven't said that they would sell it."

7. CONTINUED PUBLIC COMMENT

(a) Patty Crawford, 2326 N 155^th Street, asserted that Council has not provided citizens adequate opportunity to provide input on the budget. She questioned the purchase of the chemical application trailer for "vegetation management" and suggested education about alternatives.

(b) Tim Crawford, 2326 N 155^th Street, addressed several points: 1) Council should make development of a comprehensive approach to the Endangered Species Act its top priority; 2) a 16-foot-wide planter strip in the Aurora Avenue Corridor will result in pedestrian deaths; 3) Council isolates itself from public comment and should allow more citizen input on staff budget presentations; 4) the City proposes to use herbicides in a watershed to the detriment of fish; and 5) the City is not working with the State Department of Fish and Wildlife.

(c) Sharon Cass, 2320 N 149^th Street, reiterated her problems with Mr. Dixon.

(d) Walt Hagen, 711 N 193^rd Street, said residents of his neighborhood have complained to him about herbicide spraying in ditches in which children play. He advocated that Council closely consider the City vegetation management program, the problems in Twin Ponds Park and the issue of volunteers presenting themselves as City representatives.

Deputy Mayor Hansen advocated that the City consider steam weeders and other alternative vegetation management techniques.

There was a brief discussion of the role of volunteers at City parks.

8. EXECUTIVE SESSION: Cancelled

9. ADJOURNMENT

At 9:43 p.m., Mayor Jepsen declared the meeting adjourned.

____________________________
Sharon Mattioli, CMC
City Clerk