Loading...
HomeMy WebLinkAboutApproved Minutes - 2017-02-07 O�IA EQ �� CITY COUNCIL REGULAR MEETING e MINUTES February 7, 2017 OREGOC� 1. CALL TO ORDER Mayor Studebaker called the regular City Council meeting to order at 6:01 p.m. on February 7, 2017, in the City Council Chambers, 380 A Avenue. 2. ROLL CALL Present: Mayor Kent Studebaker and Councilors Buck, O'Neill, Manz, Gudman, LaMotte and Kohlhoff Staff Present: Scott Lazenby, City Manager; David Powell, City Attorney; Anne-Marie Simpson, City Recorder; Erica Rooney, City Engineer; Amanda Owings, Traffic Engineer; Paul Espe, Associate Planner; Leslie Hamilton, Senior Planner; Scot Siegel, Planning and Building Services Director Others Present: Todd Chase, FCS Group 3. PLEDGE OF ALLEGIANCE Mayor Studebaker led the Council in the Pledge of Allegiance. 4. EXECUTIVE SESSION: Under authority of ORS 192.660 (2)(e) to conduct deliberations with persons designated to negotiate real property transactions. Mr. Powell reviewed the statutory basis for entering executive session and outlined the parameters. The Council met in executive session beginning at 6:03 p.m. The Council reconvened in open session at 6:35 p.m. 5. CONSENT AGENDA— For Full Council Approval 5.1 Approval of Meeting Minutes 5.1.1 December 20, 2016, Regular Meeting Minutes City Council Regular Meeting Minutes Page 1 of 12 February 7, 2017 5.1.2 January 3, 2017, Regular Meeting Minutes 5.1.3 January 14, 2017, Special Meeting Minutes Motion: Move to approve minutes as written. Report and Attachments 5.2 Resolution 17-03, A Resolution of the City Council of the City of Lake Oswego Approving Changes to the Term Expiration Date for Budget Committee Members Motion: Move to adopt Resolution 17-03. Report and Attachment 5.3 Resolution 17-05, A Resolution of the City Council of the City of Lake Oswego Amending City Council Administrative Procedure No. 4 Relating to Board and Commission Attendance Records Motion: Move to adopt Resolution 17-05. Report and Attachment 5.4 Resolution 17-09, A Resolution of the City Council of the City of Lake Oswego Declaring a Public Necessity to Acquire Real Property Interests and Exercise the Power of Eminent Domain (Boones Ferry Road Project) Motion: Move to adopt Resolution 17-09. Report and Attachments 5.5 Parks Maintenance Temporary Labor Services Contract Motion: Move to award a temporary labor services contract to Summit Staffing Solutions, in an amount not to exceed $350,000. Report and Attachments 5.6 Ordinance 2735, An Ordinance of the Lake Oswego City Council Increasing the Membership of the Historic Resources Advisory Board Motion: Move to enact Ordinance 2735. Report and Attachment END CONSENT AGENDA City Council Regular Meeting Minutes Page 2 of 12 February 7, 2017 Councilor Gudman moved the adoption of the Consent Agenda. Councilor Manz seconded the motion. A voice vote was held, and the motion passed, with Mayor Studebaker and Councilors Buck, O'Neill, Manz, Gudman, LaMotte, and Kohlhoff voting `aye'. (7-0) 6. CONSENT AGENDA— For Councilors' Approval 6.1 Resolution 17-06, A Resolution of the City Councilors of the City of Lake Oswego Approving Appointments to the Library Advisory Board Report and Attachment 6.2 Resolution 16-68, A Resolution of the City Councilors of the Lake Oswego City Council-Approving Appointments to the Historic Resources Advisory Board Report and Attachments END CONSENT AGENDA Councilor Manz moved to approve Consent Agenda Items 6.1 and 6.2. Councilor Buck seconded the motion. After Council members confirmed that the intent was to adopt Version One of Resolution 16-68 pertaining to the Historic Resources Advisory Board, a voice vote was held, and the motion passed, with Councilors Buck, O'Neill, Manz, Gudman, LaMotte, and Kohlhoff voting 'aye'. (6-0) 7. CITIZEN COMMENT ® Tim Goodman, 9605 SW Nimbus Avenue, Beaverton 97008 Mr. Goodman, Director of Government Affairs with the regional office of Comcast, introduced his new colleague, Sarah Garrison. Ms. Garrison will be managing the Metropolitan Area Communications Commission franchise and will be the City's new representative at Comcast. Mr. Goodman announced that Comcast will continue as the title sponsor for Lake Oswego's parks concerts. He presented a $13,500 check for the 2017 sponsorship. Mayor Studebaker expressed the Council's appreciation to Comcast. 7.1 Prior Citizen Comment Follow-Up No follow-up on prior Citizen Comment was presented. 8. PUBLIC HEARINGS 8.1 Resolution 17-07, A Resolution of the City Council of the City of Lake Oswego Adopting an Updated Lake Oswego Transportation System Development Charges Eligible Project List and Methodology. Resolution 17-08, A Resolution of the City City Council Regular Meeting Minutes Page 3 of 12 February 7, 2017 Council of the City of Lake Oswego Adopting the Lake Oswego Transportation System Development Charge Rate Table. Report and Attachments Staff Report Ms. Rooney introduced Mr. Chase, principal with FCS Group, provider of analytical services for this update to the City's Transportation System Development Charges (SDCs). They were joined by Ms. Owings, who had provided technical support and direction regarding the related project list and cost estimates. Ms. Rooney noted that an update to the Council's November study session had been provided as Attachment 3 of the Council Report. Ms. Owings briefed Council on subsequent follow-up with the Transportation Advisory Board (TAB), indicating that they were present to express their support for the proposal. Mayor Studebaker indicated that several eComments had been received, as well. Ms. Rooney noted that the presentation was a recap of Staff efforts, as discussed in the Council Report. Their goal was Council adoption of the two resolutions (Council Report, Attachments 1 and 2): one to adopt the proposed methodology and the other to adopt the rate table. Mr. Chase, with an accompanying PowerPoint presentation, provided an overview on SDCs, including key characteristics, the legal framework, components and calculation of the charges, credit policy and interpretations, growth calculation, and cost basis for both the reimbursement and improvement fees. Noting that SDC-eligible project cost is determined based on the percentage that is for new capacity, he described the effects on Lake Oswego's fee and the maximum defensible Transportation SDC per person trip, which is proposed at $945 (Council Report, Attachment 1, Exhibit A to Resolution 17-07). The City had not changed its methodology for 20 years, he observed, discussing the position of Lake Oswego on the low end of the total- SDCs spectrum compared to other cities in the region. Finally, he discussed implementation options. Staff recommends the maximum SDC shown in the methodology report; however, in terms of implementation, Mr. Chase described phased-in alternatives to the proposed July 1 effective date, along with other options and their potential effects. Questions of Staff Councilor Gudman inquired about sensitivity of the $945 number as related to the average number of daily person trips, given that Lake Oswego's small annual growth rate and aging of residents suggests fewer rather than more trips. Mr. Chase explained that this is tied to the City's adopted Transportation System Plan (TSP) and described potential effects if the TSP assumptions were to be re-visited. Councilor Kohlhoff asked if the calculation of a trip included bus or other mass transit. Mr. Chase indicated that Metro's calculation primarily consisted of bike, pedestrian, and car trips. He discussed potential effects and considerations if bus trips were to be included in the calculation. Councilor Buck asked about the recommendation to include indexing in the SDC proposal. Ms. Rooney confirmed that annual indexing was reflected in both of the proposed resolutions. City Council Regular Meeting Minutes Page 4 of 12 February 7, 2017 Councilor O'Neill asked about applicability of this SDC when a house is demolished and replaced by a new house. Ms. Rooney advised that, as with other SDCs, where there is a 1:1 ratio of existing to new house, the SDC would generally not be incurred. She discussed the applicability of the charges as being limited to new houses that represented a net increase; in recent years, there had been about 50 such single-family houses per year. She responded to Councilor O'Neill's questions about consideration of future annexations in the Roadways portion of the improvement fees (Exhibit A to Resolution 17-07, p 6). If the City were to face sudden and rapid growth, she would recommend reviewing this matter again. In response to questions from Councilor LaMotte, Mr. Chase provided further information about factors leading to the larger growth number, referencing Exhibit 2.1 of the methodology report (Exhibit A to Resolution 17-07, p 4). In addressing Councilor LaMotte's further questions, Mr. Chase, Ms. Rooney, and Ms. Owings detailed methodology for trips calculation and effects and the use of nationally-sourced vehicle data, as provided by Metro. Mayor Studebaker asked for clarification about the $14,760 SDC amount for a single-family detached unit. Ms. Rooney confirmed that this represented only the transportation portion; the additional SDCs would bring the total to $37,512 under this proposal, as compared to the current total of$26,947. Councilor Manz inquired about Lake Oswego as compared to other cities with a similar basis for growth. Mr. Chase noted Lake Oswego's position on the lower end of the spectrum of West Coast communities that have SDCs. With less than a 1% annual growth rate, the City faced a tough situation as there was growing need for transportation improvements but not a lot of development to pay for it, he observed. Ms. Rooney followed up on an email from Mark Whitlow received earlier in the day that had been provided to Council members concerning the Resolutions. Having spoken with Mr. Whitlow subsequently, she noted that he had requested mention in the record of his communication. Testimony ® Randy Sebastian, Renaissance Homes, 16771 Boones Ferry Road Mr. Sebastian described his concerns about total charges for construction in the city, which include not only SDCs, but also permits. With adoption of the resolutions he indicated that a total of$55,000 per house would be required to obtain a building permit. He discussed the numerous other cost elements for builders, increases over the years, and comparisons with other cities. The proposed update to transportation SDCs would make Lake Oswego the most expensive place to build in the metropolitan area, he observed. This increase would be passed on to home buyers, but affordability would be an issue for new families wishing to live in the city. o Ed Brockman, 1141 C Avenue Mr. Brockman noted that he was a member of the Planning Commission and a board member of the state Home Builders Association. He expressed concerns about the adverse effect on builders with projects underway if the change was made abruptly. If Council decided to adopt these increases, he advocated implementing them over time. He also hoped to see a concern by City Council Regular Meeting Minutes Page 5 of 12 February 7, 2017 Council for affordable housing and, as noted in the Comprehensive Plan, a diversity of housing types and workforce housing. • Paul Grove, Home Builders Association (HBA) of Metropolitan Portland, 15555 Bangy Road Mr. Grove indicated that he had submitted written remarks on behalf of the HBA. Their organization recognized that it had been 20 years since the City had updated its Transportation SDC methodology, and their three recommendations were focused on implementation. (1) An effective date of January 1, 2018, would be more appropriate as it would allow additional lead time for projects where a pro forma was already in place. (2) A phased-in implementation would be a more balanced approach than moving immediately to the maximum defensible amount. (3) Emphasizing that his remarks pertained solely to single-family housing, he requested that Council consider a more appropriate starting point for this SDC, perhaps$7,500, rather than as proposed. • Rick Nys, 13554 Rogers Road As chair of TAB, Mr. Nys reported on their review and discussion of the SDC methodology, including follow-up with the FCS Group and Staff. TAB supports the SDC methodology update, especially favoring the cost indexing and the utilization of person trips rather than auto trips; they believe the latter is a much more multi-modal approach to the transportation system. Although there was some concern on the board with the sheer increase in the commercial fees, overall TAB was supportive of the fee structure, he noted. In response to a question about commercial fees from Mayor Studebaker, Mr. Nys clarified that TAB believed both residential and commercial fees should be treated the same because person trip was the basis for all categories; i.e., if there was any reduction proposed for commercial fees, then residential fees should also be reduced. Mayor Studebaker asked if anyone else wished to testify. Hearing no requests, he closed the hearing. Councilor Gudman asked Staff to confirm accuracy of the$55,000 amount for total permitting of a home, as cited by Mr. Sebastian, if Council were to approve the $14,000-plus SDC. Mr. Siegel and Mr. Lazenby provided information as Council members discussed various scenarios, with Councilor Gudman concluding that Mr. Sebastian's hypothesis was essentially correct. Members of Council posed additional questions, including aspects of the permitting process, the number of new-home projects underway that potentially could benefit from a six-month delay in implementation, and merits of indexing or making adjustments to the calculation formula, timing, and other changes. Ms. Rooney asked that Council consider keeping the methodology itself intact. She detailed her belief that this is a better approach, based on an accepted practice in the region and the state, producing defensible SDC dollar amounts and an easier program to administer. If Council was concerned with the amount of the increase, a better approach would be to phase in the dollar amount or reduce it by some percentage, she suggested. City Council Regular Meeting Minutes Page 6 of 12 February 7, 2017 Discussion continued, concluding with Councilor LaMotte raising issues of affordability, particularly for homes below the median price. Mr. Chase touched on procedural options that could be used to address this, as opposed to changing the methodology. Councilor O'Neill moved to use a starting date of July 1, 2017, but using an index, to make the starting Transportation SDC amount $8,760, with an increase of $2,000 on July 1 of each of the subsequent three years (July 1, 2018; July 1, 2019; July 1, 2020), bringing the amount to $14,760. After that date only indexing would be applied. Councilor Gudman seconded the motion. In subsequent discussion, it was generally acknowledged that Council's primary concern was with impacts on residential development as opposed to commercial. Mayor Studebaker confirmed that the motion was applicable only to the SDCs for residential. Councilor Kohlhoff indicated that she was not willing to support an extension of the implementation period. The possibility of offering a hardship credit or an exception might be a consideration for her, but she favored the Resolution as proposed. Councilor Buck concurred, expressing concern about foregone revenue that would result from a delay and impacts on needed transportation projects. Council should see what is best for the community as a whole. Councilor Manz stated that she recognized the value of a phased-in approach. She offered a friendly amendment that would shorten the phase-in periods a iwu years. Councilor O'Neill accepted the amendment offer, confirming that it would change the $2,000- per-year increase over three years to $3,000 per year for two years. Councilor Gudman, as seconder, also accepted. After additional discussion to clarify and refine the motion and with approval of mover and seconder, Councilor O'Neill moved to adopt Resolution 17-07 and Resolution 17-08, amending the Single-Family Detached Housing line in Exhibit A to Resolution 17-08 to $8,760 to be effective July 1, 2017, and adding an additional $3,000 plus indexing on January 1, 2018, and an additional $3,000 plus indexing on January 1, 2019, reaching a total of$14,760, and only indexing thereafter. A roll call vote was held, and the motion passed, with Mayor Studebaker and Councilors Buck, O'Neill, Manz, Gudman, LaMotte, and Kohlhoff voting 'aye'. (7-0) 8.2 Ordinance No. 2733, An Ordinance of the Lake Oswego City Council Amending the Comprehensive Plan Text, and the Comprehensive Plan and Zoning Maps, for the Purpose of Correcting the Maps, Correcting Comprehensive Plan Map Designation Errors, and Correctly Aligning a Parcel's Zoning with the Comprehensive Plan Map Designations (LU 16-0035). Report and Attachments Mr. Powell read the Ordinance title, reviewed parameters for this land use proceeding, and outlined the time limits for testimony as shown in the agenda. He asked if any Councilors needed to declare any conflicts of interest; none were declared. He asked if any member of the public City Council Regular Meeting Minutes Page 7 of 12 February 7, 2017 wished to challenge any City Council member's right to hear the application; no challenges were heard. Staff Report Mr. Espe noted that the public hearing would address legislative Comprehensive Plan Map and text amendments and Zoning Map amendments. Map changes on individual properties would be reviewed separately in the future through a quasi-judicial land use public hearing process, he noted. The overall purpose of the proposed amendments is to provide accurate and complete Comprehensive Plan and Zoning designations where corresponding designations between the two maps are not consistent. In addition to amendments to these maps, definitions to be added to the Comprehensive Plan text are proposed. With accompanying PowerPoint slides, he reviewed the public process that had led to the Planning Commission's recommendation that Council adopt the proposed amendments (Attachments 2 and 3 to Exhibit A-1.1). No citizen testimony in opposition to the proposal had been received. Continuing the presentation, Mr. Espe discussed the review process, including legislative map corrections, changes to Comprehensive Plan designations, and correction and addition of definitions in the Plan. He highlighted changes to specific properties, discussing background, processes, and recommendations as detailed in the Council Report. Mr. Espe reviewed some specific properties around the City that would be impacted by the amendments. Testimony Mayor Studebaker asked if anyone wished to testify in opposition to or in favor of adoption of the Ordinance or if anyone wished to present neutral testimony. No requests being heard, he closed the hearing. Mayor Studebaker moved to adopt Ordinance 2733. Councilor Manz seconded the motion. Councilor Kohlhoff discussed her concern about changing the designation of Oswego Lake from OS to SP in view of the pending litigation. She suggested the possibility of leaving the related property with its current OS designation until such time as any legal ambiguity is resolved, and asked if there was any down side to doing so. In ensuing discussion, Mr. Powell and Mr. Siegel discussed various considerations and responded to additional questions. Mr. Siegel expressed the belief that the proposed designations provide clarity from a land use standpoint, but were not intended to be a policy statement beyond that purpose. In addressing other risk to the City, Mr. Powell indicated that adjudicating challenges of ownership and other matters related to private property was clearly not the intent of Comprehensive Plan designations; the intent is to recognize the type of use. A voice vote was held, and the motion passed, with Mayor Studebaker and Councilors Buck, O'Neill, Manz, Gudman, LaMotte, and Kohlhoff voting `aye'. (7-0) 8.3 Ordinance No. 2732,An Ordinance of the Lake Oswego City Council Amending LOC Chapter 50 (Community Development Code) for the Purpose of Clarifying and City Council Regular Meeting Minutes Page 8 of 12 February 7, 2017 Updating Various Provisions (2016), Including Pre-Application Conference Exemptions, Street Front and Side Yard Setback Plane Measuring Points, Courtyards in the Downtown Redevelopment Design District; and Height of Building Definition; and Adopting Findings (LU 16-0030). Report and Attachments Mr. Powell read the Ordinance title and explained that this was a land use public hearing, as well. Noting that all audience members had been present for his announcement of the criteria and hearing process at the preceding hearing, he asked if anyone wished to have the announcement repeated. No requests being heard, he noted that the audience had waived the re-reading. He asked if any City Councilor needed to make any declaration with relation to conflicts of interest; none were heard. He asked if any member of the audience wished to challenge any Council member's right to hear the application; no challenges were heard. Staff Report Ms. Hamilton explained that Council would be considering the annual package of proposed amendments to the Community Development Code. She outlined the review process, as detailed in the Council Report and Attachments, and noted that if adopted, the amendments would become effective in mid- or late March. The 40 amendments comprising the package included both maintenance and policy items. With accompanying PowerPoint slides, she discussed the key amendments being proposed. Noting that Council had received a new exhibit in the form of an email from the Evergreen Neighborhood Association regarding the Long Wall Planes amendment, Ms. Hamilton addressed the issue in some detail. She provided background for the proposed change, which would streamline the Code and address concerns about different measurement standards in specific situations where there was no visual difference between a duplex and a zero lot line development. Testimony Mayor Studebaker called for any testimony in opposition to the proposal. Carol Radich, 669 Ellis Avenue, representing the Evergreen Neighborhood Association, expressed concern that the change related to the Long Wall Plane standard would have an adverse effect on the neighborhood. Referencing the email she had sent earlier in the day, she discussed how the current Code had worked effectively in addressing issues related to development on the neighborhood's narrow lots. This Code had served its purpose of breaking up building mass, and the Neighborhood Association believed that the amendment would result in removal of these protections. Therefore, their board had voted unanimously to request that this Code change not be made. Carole Ockert, 910 Cumberland Road, spoke as chair of the First Addition Neighborhood (FAN)/Forest Hills Neighborhood Association. She discussed a printed presentation that was provided to Council members. She emphasized the effectiveness of current Code in terms of the new development in the neighborhood, citing very attractive and compatible design examples. The outcome of the proposed Code change related to the Long Wall Planes issue was of great City Council Regular Meeting Minutes Page 9 of 12 February 7, 2017 concern, she noted; it may create the possibility to fit more square footage into these zero lot line homes, with adverse effects on affordability and design for the neighborhood. She proposed an alternate formula that would simplify Code and create parity, while avoiding "code chipping". The Neighborhood Association board had directed her to request that Council reject the proposed change to the narrow-lot code for zero lot line dwellings. Jim Bolland, 804 Fifth Street, representing the Lake Oswego Neighborhood Action Coalition (LONAC), discussed concerns about the Long Wall Planes amendment and anticipated adverse effects on the First Addition R-2 zone. He provided background on the adopted Neighborhood Plan and described how the design of higher-density, zero lot line houses under current Code had reflected the vision of that Plan. The proposed Code amendment would introduce a completely different look to the neighborhood by allowing more bulk to the related dwellings, with extreme effects on the R-2 zone. He cautioned Council against Code changes that were generated in response to the request of a single developer. As discussed by LONAC, the proposal poses big impacts on the FAN/Forest Hills and Evergreen neighborhoods, and he requested that the City not move forward with this change. Mayor Studebaker asked if there was any testimony in favor or other testimony on the matter. Hearing none, he closed the hearing. After brief discussion, Mayor Studebaker moved to tentatively approve Ordinance 2732. Councilor Buck seconded the motion. Questions of Staff Mayor Studebaker requested that Staff respond to questions about points raised in the testimony related to the Long Wall Planes amendment. He asked if the amendment could result in the undesirable development outcomes that had been described in the testimony. Ms. Hamilton indicated that this would not be the case, responding in detail to Council questions about a specific development in the R-2 zone, among other questions. In continuing discussion, Mr. Siegel noted that the impetus for proposing this amendment was a desire for parity, or at least consistency, in addressing the aesthetic issue that applied to both the duplex and zero lot line development situations. In responding to additional questions, Staff indicated that current Code offered a variety of other standards that addressed the related concerns about larger and less compatible structures. Following further discussion, Councilor LaMotte suggested a friendly amendment to the motion, such that this one item would be removed from the list of proposed amendments. Mayor Studebaker stated that he would consent to this change, with the motion to be re-stated to move to tentatively approve Ordinance 2732 with the deletion of the amendments to 50.06.001(2)(h) and to direct Staff to return with Findings and Conclusions on February 21, 2017. In concluding discussion prior to the vote, Mr. Siegel noted that Staff would present the item in the next round of proposed Code amendments if it appeared to make sense to the community. A voice vote was held, and the motion passed, with Mayor Studebaker and Councilors Buck, O'Neill, Manz, Gudman, LaMotte, and Kohlhoff voting `aye'. (7-0) City Council Regular Meeting Minutes Page 10 of 12 February 7, 2017 Mr. Powell reiterated that this was a tentative decision and that Staff would bring back the final amended Ordinance reflecting the change and findings on February 21. 9. INFORMATION FROM COUNCIL Councilor Gudman complimented the Engineering Department on their recent award for work on the Rockinghorse Lane surface water outflow project. He reported that the Clackamas County Coordinating Committee was considering a vehicle registration fee; he had requested that if it was to go forward, timely communication with all County jurisdictions was needed so it could be included in the 2017-2018 budget cycle. He noted that PERS preliminary results for 2016 investment returns were reflecting the trend of most of the past ten years in not exceeding the benchmark; as a result, he expects the assumed rate of return to be reduced by the PERS board in 2017, which will increase the City's annual obligations. Councilor Manz updated Council members on work of the Tourism Advisory Committee. She had proposed that short-term lodging be a topic at the upcoming joint meeting between the Planning Commission and City Council. Councilor LaMotte thanked the PrepLO group for the excellent recent emergency preparedness presentations at both high schools. He also commended the Lake Oswego Sustainability Network for the inspiring green building seminar they had presented. 9.1 2017 Council Goals Report Mayor Studebaker asked if any Council members wished to request changes to the latest Council Goals draft (Report). No requests were heard. Councilor Gudman moved the adoption of the draft 2017 Council Goals. Councilor LaMotte seconded the motion. A voice vote was held, and the motion passed, with Mayor Studebaker and Councilors Buck, O'Neill, Manz, Gudman, LaMotte, and Kohlhoff voting `aye'. (7-0) 10. REPORTS OF OFFICERS No reports were made. 11. ADJOURNMENT Mayor Studebaker adjourned the meeting at 9:21 p.m. Respectfully submitted, Anne-Marie Simpson, City Recorder City Council Regular Meeting Minutes Page 11 of 12 February 7, 2017 APPROVED BY THE CITY COUNCIL: ON 1712 , %. - l 7 -4/ Kent Studebaker, Mayor City Council Regular Meeting Minutes Page 12 of 12 February 7, 2017