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HomeMy WebLinkAboutApproved Minutes - 2009-05-12 o,I.Ak os CITY COUNCIL SPECIAL MEETING MINUTES oor /// May 12, 2009 a[cor E1.-- Mayor Jack Hoffman called the special City Council meeting to order at 8:38 p.m. on May 12, 2009, in the City Council Chambers, 380 A Avenue. Present: Mayor Hoffman, Councilors Jordan, Hennagin, Moncrieff, Olson, Tierney, and Johnson Staff Present: Alex McIntyre, City Manager; David Powell, City Attorney; Robyn Christie, City Recorder 3. EXECUTIVE SESSION Mayor Hoffman recessed the meeting to an Executive Session at 8:38 p.m. pursuant to ORS 192.660 (2)(e) to conduct deliberations with persons designated to negotiate real property transactions and (h) to consult with attorney regarding legal rights and duties of a public body with regard to current litigation or litigation likely to be filed. Mr. Powell reviewed the Executive Session parameters. 4. RETURN TO OPEN SESSION Mayor Hoffman reconvened the open session at 9:57 p.m. 4.1 Contract Amendment/Insurance Policy Councilor Jordan declared a conflict of interest and recused herself because her husband's law firm represented Advanced American Construction. Mr. Powell explained that Amendment No. 2 to the drawdown agreement was the same as the amendment to the bid documents that staff made during the bidding process when they realized that the contractors did not want the amount of risk allotted to them under the original indemnity and release provisions. Making the bid modification resulted in the City receiving a favorable low bid with significant savings to the City. However, in exchange for less protection under those indemnity and release agreements, the Corporation asked for additional insurance to be bought in its name. Mr. Powell indicated that the upgrade project insurance side agreement fulfilled that request. He recommended that the Council approve both documents, as presented in Executive Session as part of the real property negotiations related to the overall agreement. Councilor Tierney moved to authorize execution of Amendment No. 2 to the draw down agreement in the form presented to Council as Exhibit A. Councilor Hennagin seconded the motion. A voice vote was taken, and the motion passed with Mayor Hoffman, Councilors Hennagin, Moncrieff, Olson, Tierney, and Johnson voting `aye.' Councilor Jordan did not participate. [6-0] Councilor Tierney moved to authorize execution of the Oswego Lake Interceptor Sewer (OLIS) upgrade project insurance side agreement in the form presented as Exhibit B. Councilor Johnson seconded the motion. A voice vote was taken, and the motion passed with Mayor Hoffman, Councilors Hennagin, Moncrieff, Olson, Tierney, and Johnson voting `aye.' Councilor Jordan did not participate. [6-0] City Council Special Meeting Minutes Page 1 of 2 May 12, 2009 4.2 Alder Point Easement Mr. Powell noted that Councilor Jordan was not recusing herself from this matter. He recalled that the Lake Corporation granted the City an easement over the Alder Point property for the purposes of the LOIS project. He said that there was also a non-exclusive pre-existing easement in favor of certain households within the area to use that property for swimming and boating purposes. He indicated that the previous Council had authorized an agreement with the Alder Point Club (representing those households) to pay $30,000 to the Club to enable the members to reconstruct their dock after the project was finished. He reported that, in subsequent discussions with staff, the Alder Point Club offered to completely abandon the use of the Alder Point easement for the duration of the City's need in exchange for an additional payment of$5,130, and a waiver of system development charges and connection charges associated with hooking up to the City's water main and sanitary sewer in their area. The additional cash payment would cover the operating expenses that the Club members would have otherwise covered during that time. He indicated that a final clause was the City paying $28.03 per day for every day that the project went beyond the May 10, 2010, estimated project end date. This payment represented a pro rata share of the operating expenses. Councilor Johnson moved to authorize execution of the agreement with the Alder Point Club containing those terms. Councilor Tierney seconded the motion. A voice vote was taken, and the motion passed with Mayor Hoffman, Councilors Jordan, Hennagin, Moncrieff, Olson, Tierney, and Johnson voting `aye.' [7-0] 4.3 Council Schedule At Mayor Hoffman's request, the Council discussed who could attend the three upcoming tours of regional infill developments on May 26 and May 28, and a Foothills/Streetcar tour on May 29. Mayor Hoffman agreed to an abbreviated tour of Tigard before the dinner with the Tigard City Council on Tuesday, May 26. He agreed to eliminate the Sandy tour on Thursday, May 28, on the way to the Clackamas Cities Dinner. All Councilors, except Councilor Johnson who needed to check her work schedule, agreed to go on the Foothills/Streetcar tour on Friday, May 29. The Council also discussed who could attend the Farmers' Market Opening Day. 5. ADJOURNMENT Mayor Hoffman adjourned the meeting at 10:09 p.m. Respectfully submitted, atbo,:o Robyn Christie City Recorder APPROVED BY THE CITY COUNCIL: Jul 2' 009/ D. Hoffm ayor City Council Special Meeting Minutes Page 2 of 2 May 12, 2009