HomeMy WebLinkAboutAgenda Packet - 2009-02-19 Special2009 City Council
Jack Hoffman, Mayor
Donna Jordan, Council President
Roger Hennagin
Kristin Johnson
Mary Olson
Sally Moncrieff
Bill Tierney
CITY COUNCIL SPECIAL MEETING
AGENDA
Thursday, February 19, 2009
6:30 p.m.
Council Chambers
City Hall
380 A Avenue
Also published on the internet at: ci.oswego.or.us
Contact: Robyn Christie, City Recorder
E -Mail: rchristie@ci.oswego.or.us
Phone: 503-675-3984
The meeting location is accessible to persons with disabilities. To request
accommodations, please contact Public Affairs at 503-635-0236, 48 hours before
the meeting.
1. CALL TO ORDER
2. ROLL CALL
3. STUDY SESSION
3.1 Facilities and West End Building Decision — Next Steps
4. ADJOURNMENT
This meeting will be rebroadcast on channel 30:
Friday, 7:00 p.m. Sunday, 7:00 a.m.
Saturday, 3:00 p.m. Wednesday, 2:30 a.m.
3.
City Council Study Session
West End Building Decision Process
February 19, 2009
Additional Facility Option
Add the following scenario to the list of scenarios for the West End Building:
Option 3f: Repair City Hall
Provide Temporary City at West End Building
Main Library in the West End Building
Build a New Police Station/911 Center on West End site
Retain Parks & Recreation/LOIS Project in the West End Building
Fund the purchase of the West End Building $20,000,000
Renovate the WEB for temporary City Hall (with Police/911) $2,400,000
Repair existing City Hall (as a non-essential facility) $13,200,000
Build a new Police Station/911 Center $9,400,000
Renovate the West End Building for 60,000 sf Main Library $6,500,000
Sell existing library building ($2,700,000)
Total cost:
Additional Information
$48,800,000
1. Should the interest costs on bonds sold to pay off the line of credit for the West End Building
be included in the estimated costs for purchasing the building?
If it is assumed that bonds will pay off the short term line of credit for the West End
Building, it should be assumed as well that bonds will be used to pay for the costs of other
improvements listed in each of the options. By presenting all the estimated costs for the
various options as present value costs, each of the options is being treated equally.
Similarly, if it's assumed that bonds will be issued to pay for the costs of each of the options
and it's also assumed that the interest cost on these bonds will be included in the analysis,
then the time value of money should be included as well. Since these two rates are typically
close to the same, especially with the interest on bonds being tax exempt, the time value of
money and the interest on bonds essentially cancel each other over the life of the bond issue.
2. At what point will Wells Fargo Bank call the line of credit and require refinancing the loan?
The current line of credit with Wells Fargo expires this July. Wells Fargo has indicated it will
renew the line of credit. Of course, the terms will need to be negotiated and may not be as
favorable as the existing line of credit.
3. If the Council decides to use the City's reserve funds to cover some of the facility costs, at
what level of reserves will the City's AAA rating be in jeopardy?
The AAA bond rating is based on a number of factors; the reserve balance is only one of
these factors. Thus, there is not a specific answer to this question. The current Council
policy for the General Fund is to have 50% of current year expenditures held as reserves.
4. To what extent can program and activity rooms be shared between the Library and the Parks
& Recreation Department?
Meeting and community rooms are the typical spaces that could be shared by these two
departments. However, peak demand by each department for the use of these rooms
generally occurs at the same time, usually evenings.
5. Could the Adult Community Center property address some of the space needs at the Library?
Currently, there is no extra space at the ACC. If additional space is provided, it could be
used to meet ACC needs, such as health and wellness programs and storage; or limited
types of library services. It's not ideal to divide up library services. However, additional
overflow collection space and storage could easily be accommodated at a separate site such
as the ACC site.
6. To help address the space needs at City Hall, could the City purchase and/or lease the new
office building at the corner of 4`h Street and A Avenue across from City Hall?
The office building is approximately 20,000 square feet. However, half of this space is either
already leased or is in negotiations. The City could rent the remaining space. This would
alleviate much of the overcrowding problems. It would not address other fundamental
problems with the City Hall building. Other properties in downtown as well as other areas
of the City are also available for the purpose of leasing additional space.
B. Given the deficiencies with the City's existing maintenance yard, are there opportunities to
address some or all of these issues through partnering with the school district including
sharing their maintenance facilities?
Currently, the school district and City share certain services such as fueling and some fleet
maintenance, which are both provided at the City's maintenance yard. The City also
provides some of the field maintenance responsibilities for the district. The school district
maintenance yard is located behind Lake Grove Elementary School and is situated on what
appears to be a fairly limited and constrained site that also includes school bus parking.
Confirmation of this is being pursued with school district staff.
Additional Follow -Up Tasks
1. Update estimated costs for both repairing and replacing City Hall
2. Analysis of contracting 911 Dispatch Services (LOCOM) to Clackamas County Communications
3. Provide a corrected version of the List of City Properties (Exhibit R)
4. Add tax increment funds to the List of Funding Options on page 37 of the staff report
5. Provide tours of key City facilities