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HomeMy WebLinkAboutAgenda Packet - 2009-03-24 QF LAKE OSw�, Cgt �� CITY COUNCIL REGULAR MEETING trir AGENDA Tuesday, March 24, 2009 6:30 pNm. oREGON Council Chambers 2009 City Council City Hall Jack Hoffman, Mayor 380 A Avenue Donna Jordan, Council President RogerHennagin Also published on-line: http://www.ci.oswego.or.us Kristin Johnson Contact: Robyn Christie, City Recorder Mary Olson E-Mail: rchristie@ci.oswego.or.us Sally Moncrieff Phone: 503-675-3984 Bill Tierney 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. Pape# 1. CALL TO ORDER 2. ROLL CALL 3. PRESENTATIONS 3.1 Distinguished Service Awards: Tia Ross, Bruce Pomazal and Sarah C. Neitzel, Historic Resources Advisory Board and Alison Webster, Planning Commission 3.2 Neighbors Helping Neighbors 3.3 Children's Center of Clackamas County 1 3.4 LOIS Update 4. CONSENT AGENDA • The consent agenda allows the City Council to consider items that require no discussion. • An item may only be discussed if it is pulled from the consent agenda. • The City Council makes one motion covering all items included in the consent agenda. City Council Regular Meeting Agenda 1 March 24, 2009 4.1 REPORTS 4.1.1 Resignation of Sarah C. Neitzel from the Historic Resources Advisory Board 5 Action: Accept Resignation 4.1.2 Boones Ferry Road Refinement Plan — Phase I Contract 7 Action: Award a contract to DKS Associates in the amount of $112,479 for Phase I of the Boones Ferry Refinement Plan 4.2 RESOLUTIONS 4.2.1 Resolution 09-15, requesting Council to endorsing an application for a grant 19 from the State Transportation and Growth Management Grant Program to update the City's Transportation System Plan Action: Adopt Resolution 09-15 4.2.2 Resolution 09-16, approving an appointment to the Historic Resources 33 Advisory Board Action: Adopt Resolution 09-16, approve the appointment of Craig Foster to the Historic Resources Advisory Board for the remainder of a three-year term ending December 31, 2012 4.3 APPROVAL OF MINUTES 4.3.1 January 7, 2009, special meeting 37 4.3.2 February 10, 2009, special meeting 49 Action: Approve minutes as written END CONSENT AGENDA 5. ITEMS REMOVED FROM THE CONSENT AGENDA 6. CITIZEN COMMENT The purpose of citizen comment is to allow citizens to present information or raise an issue regarding items not on the agenda or regarding agenda items that do not include a public hearing. A time limit of five minutes per citizen shall apply. City Council Regular Meeting Agenda 2 March 24, 2009 7. PUBLIC HEARINGS 7.1 Resolution 09-08, a resolution of the Lake Oswego City Council approving a work program to update the Lake Oswego Comprehensive Plan and directing the Planning and Building Services Department to submit these items to the Oregon Department of Land Conservation and Development for State approval consistent with the requirements of periodic review. PP 08-0012 Motion: Move to con tin ue PP 08-0012 to May 19, 2009 7.2 Appeal of a Development Review Commission (DRC) Decision to deny a development application, following remand from the Oregon Land Use Board of Appeals (LUBA), for a 45-unit Congregate Housing facility. The site is located at 4255 Oakridge Road (Tax Lot 400 of Tax Map 21 E08 CB) Public Hearing Process: Review of hearing procedure by David Powell, City Attorney Staff Report by Debra Andreades, AICP, Senior Planner The testimony portion of the hearing was completed on March 10. Council Deliberations Motion: Move to tentatively approve Findings, Conclusions, and Order to: • Affirm the DRC's decision and deny LU 07-0031, OR • Overturn the DRC's decision and approve LU 07-0031 with the original conditions of approval (and if needed, additional conditions of approval). 8. REPORTS 8.1 Resolution 09-13, a Resolution of the Lake Oswego City Council Authorizing the 59 City Manager to Sign an Intergovernmental Agreement between TriMet, Metro, Clackamas County, City of Portland and the City of Lake Oswego for the Portland to Lake Oswego Transit Corridor Project Motion: Adopt Resolution 09-13 City Council Regular Meeting Agenda 3 March 24, 2009 9. INFORMATION FROM COUNCIL This agenda item provides an opportunity for individual Councilors to provide information to the Council on matters not otherwise on the agenda. Each Councilor will be given five minutes. 9.1 Councilor Information 9.2 Reports of Council Committees, Organizational Committees, and Intergovernmental Committees 10. REPORTS OF OFFICERS 10.1 City Manager 10.2 City Attorney 11. STUDY SESSION 11.1 Wastewater Revenue Bonds 113 10. ADJOURNMENT CABLE VIEWERS: the Regular City Council meeting is shown live on Channel 28, at 6:30 p.m. The meeting will be rebroadcast at the following times on Channel 28: Wednesday 7:30 p.m. Thursday 7:00 a.m. Friday 2:30 a.m. Saturday 12:00 p.m. Sunday 4:00 p.m. Monday 11:00 p.m. City Council Regular Meeting Agenda 4 March 24, 2009 CITY COUNCIL I LORA TENTATIVE SCHEDULE ROLLING UPDATE W........... ...... .......:.....:......::.:._.. .:...:....:..:............. .:...DATE MEETING Tuesday, Study Session, 6:30 p.m. Council Chambers March 31 • Business Recycling Ordinance Overview Redevelopment Agency, 7 p.m. Council Chambers (following Council Meeting) • Redevelopment Agency 101 (with David Leland) • Appointments to LORA Budget Committee Tuesday, Regular Meeting, 6:30 p.m. Council Chambers April 7 • LOIS S Update �'' , p • Distinguished Service Awards, San ybold, Budget Committee; BetsyFontenot and P Library � Advisory Board • Authorization to issue avast r evenu ds • Tentative adoption of findin W Appe • Adopting of findings for C' n I nvolcment Guideli • Bid award for Kincaid C rli rporridjjQ3) Trailhea ase II Project rrrG Monday, Citizens'Budget Committee 6:30 . EB April 13 Tuesday, Study Session, 6:30 cii Chamb April 14 • Capital Im roveme .. Pla �,p p • Water 101 / 74/ / ,i • CI sion. Laboe gotiation / • ntra ; . and for L Full Construction w LOIS Monday, pe f eeti O 4-5 30 .m.' B April 20 • Dr. ',r BB in Trust through Public r - g g //s/Z; ngag t I Citi ud ittee 6:30 .m. WEB Tues ;�, Regular etin 6:30 .m. Council Chambers April 21 • LOIS date Com inity Service Award to TVF&R Assistant Chief and ak swego resident Paul LeSage for lifesaving efforts ® tenance Building Exhaust System ® stinguished Service Award, Ralph Thronburg • Adopting of findings for Sensitive Lands Public Hearing. ® Business Recycling Ordinance Monday, Study Session, 6:30 p.m. location WEB April 27 • Joint meeting of the City Council and Lake Oswego School Board BOLD ITEMS—New issues added to schedule Items known as of 3/19/09 CITY COUNCIL 1 LORA TENTATIVE SCHEDULE ROLLING UPDATE DATE MEETING Tuesday, Citizens'Budget Committee, 6:30 p.m. WEB April 28 Monday, Citizens'Budget Committee, 6:30 p.m. WEB - if needed May 4 Tuesday, Regular Meeting, 6:30 p.m. Council Chambers May 5 • LOIS Update • Farmers' Market poster contest winner • Intergovernmental Agreement with Cityortat d g 9 Environmental Services for the Tryon ;, Restoration Project �/� Public Hearing '% • ///' Monday, Citizens'Budget Committee 0 p.m. tiyEB - if need //- May 11 r/ Tuesday, Study Session, 6:30 p.m. Council r* iers Tula 12 • , � Tuesday, Regular Meeting, :3 r ncil Charn ' May 19 • LOIS Update ' , '° // • Joint meeting with the/Co i ,v itizen Involvement Public , • y/ /A Tuesday, Sir fSessio r ; .30 p.m. H.170ted by City of Tigard May 26 • eet- with the Ti City Council 7// //// ,/7,/ // /2/- // /// / r„ f ir/ BOLD ITEMS New issues added to schedule Items known as of 3/19/09 3 . 3 itio.li CITY OF LAKE OSWEGO --",.. . .„.,, COUNCIL REPORT c7._) , REGos TO: Jack D. Hoffman, Mayor Members of the City Council Alex D. McIntyre, City Manager FROM: Robyn Christie, City Recorder SUBJECT: Presentation on Children's Center of Clackamas County DATE: March 13, 2009 ACTION No action is required. Tonia Hunt, Executive Director of the Children's Center of Clackamas County requested an opportunity to present information to the Council. ATTACHMENTS 1. About the Children's Center of Clackamas County Sustainability has been considered as part of this recommendation. Reviewed by: / 7 A x D. M• ntyre City Manager 1 4 hildren's About the Children's Center of Clackamas County enter The mission of the Children's Center of Clackamas County is to support and medically assess 4 lades children who are suspected victims of abuse or neglect. ..:.......:.:...:..... ............. County lEsc c tv i !Icahn. County � 3 The Children's Center of Clackamas is a child abuse medical assessment ,_ �[. rr . center. The Children's Center sees cases of suspected physical ...:,. ed abuse, sexual abuse, p neglect, drug endangerment, and witness to violence. Board of Directors Assessments include a medical check-up to identify and document signs of abuse as John� Foote,Chair well as a video-taped forensic interview so children can tell their history of abuse in Clackamas County District Attorney their own words in a safe and neutral environment. Family support Services help Craig Roberts,Vice Chair children and families move on to healingfollowingconcerns of abuse. Clackamas County Sheriff Terry ,Treasurer Community Volunteer The Facts Helen :kart, Secretary • The Children's Center of Clackamas County provided child abuse assessments Lake Oswego Police Chief, Retired for 260 children in the last 12 months and expects to serve over 300 children in Bill Dolan 2008. President/Creative Director, • Two-thirds of the children served at the Children's Center are girls and half are Spirit Media younger than seven years old. Allyson Ford • Seventy percent of child abuse assessments provided by the Children's Center Community Volunteer are for suspected sexual abuse of Clackamas County children. Janet Gravdal • Wait times for assessment services can stretch to more than two weeks for Attorney, McE yen Grisvold LLP children who have disclosed abuse if funding and staff are limited at the Greenman Children's Center. Diane Community if o unteer' • Demand for urgent assessments of suspected physical abuse cases is an emerging unmet need in Clackamas County. The Children's Center's demand Jelin Grimes for physical abuse assessments has nearlytripled in the last six months. NorthAmericaMarketing:Director, p 'Tectuura Corporation ® On average,there are over 4,000 reports of suspected child abuse in Clackamas County. Sally LeFeber Community Volunteer ReinhardRuss unding President, Willamette Falls Hospital Roughly half of the Center's fundingis secured through state and countycontracts g Y g JamesR sk,MD for services. A portion of funding comes from insurance reimbursements. Public and Pediatrician insurance funds cover Greg gr approximately two-thirds •State CAMI Funds Mitchell&Rogers of the total cos t of care Senator Ku rt Schrader, v 0 29 a for each child leaving a Clackamas County e��rinats C iackamasY Ct . Lundinggcippf Contract Service r o Se cc approximately atel 104a per Executive cuvStaff: child. Corporate, Me dical cad Insurance Michael Chen,M.D. individual and foundation Reimbursement Medical Director support is needed to fill Tonia Hunt t this funding gap. •Private Executive Director r 20% 20% Countributions and Grants The Children's Center of Clackamas County, 1811 15th Street, Oregon City OR 97045 www.childrenscenter.cc 503-655-7725 fax—503-655-7720 3 0 0 es a 4. 1 . 1 Al �`�j CA 4AKE Os�,fCO CITY OF LAKE OSWEGO iii ic: ::2 COUNCIL DEPORT oREGON ____ TO: Jack D. Hoffman, Mayor Members of the City Council Alex D. McIntyre, City Manager FROM: Robyn Christie, City Recorder SUBJECT: Resignation of Sarah C. Neitzel from the Historic Resources Advisory Board DATE: March 13, 2009 ACTION Approve the resignation of Sarah C. Neitzel from the Historic Resources Advisory Board. ATTACHMENTS 1. Neitzel letter received March 13, 2009 Sustainability has been considered as part of this recommendation. Reviewed by: i / A ex D. McIntyre City Manager 5 Jane McGarvin, CMC Deputy City Recorder Lake Oswego Dear Jane, I'm writing you to let you know that I would like to resign from HRAB effectively immediately so that the alternate can be appointed as soon as possible. I have thought about this for some time when I saw my workload expanding at PCC. I feel that I'm spreading myself too thin, and my first obligation is to my students and thus HRAB has to go. I'm sorry about that because this committee has been one of the most positive committees on which I have served. If you could expedite my resignation then the alternate could attend the April meeting and HRAB would have a full complement of members. Thank you for your attention to this matter. Sincerely, Sarah C. Neitzel 6 4• 1 •2 _, ostv O 1:0 ti CITY OF LAKE OSWEGO COUNCIL REPORT -,--------,. OR EGOS TO: Jack D. Hoffman, Mayor Members of the City Council Alex D. McIntyre, City Manager FROM: Leslie Hamilton, Associate Planner Denny Egner, Assistant Planning Director SUBJECT: Boones Ferry Road Refinement Plan — Phase I Contract DATE: March 16, 2009 ACTION The Council is requested to award a contract to DKS Associates in the amount of $112,479 for the Boones Ferry Road Refinement Plan Phase I. INTRODUCTION/BACKGROUND Council action is required to award a contract of this type in order to comply with City and State contracting and purchasing procedures. The Boones Ferry Road Refinement Plan is a project identified in the Lake Grove Village Center (LGVC) Plan adopted in April 2008. The Refinement Plan is intended to result in preliminary design for roadway improvements that implement the concepts outlined in the LGVC Plan. The LGVC Plan identified a design concept for Boones Ferry Road between Kruse Way Place and Madrona Street that includes four travel lanes (two travel lanes in each direction), landscaped center medians, bike lanes, minimum nine-foot wide sidewalks including tree wells or landscaped planters, and left- /u-turn lanes. The Refinement Plan will result in a more detailed plan for Boones Ferry Road that establishes right-of-way needs and access points so that residents and businesses have greater certainty regarding the roadway design. Phase I of the project is primarily technical and focuses on traffic analysis and roadway needs. Phase II, to be initiated later in the year, will focus on roadway design and right-of-way location. The City published a request for proposal on January 9, 2009. On Friday, February 6, 2009, the City of Lake Oswego received proposals from three firms: DKS Associates, Kittelson & Associates, and Group Mackenzie. 7 Council Report 03/16/2009 Page 2 Staff assembled a review panel that included City Councilor Donna Jordan, Planning Commission Chair Julia Glisson, and Lake Grove businessman Mike Buck as well as two representatives each from the City's planning and engineering divisions. Interviews occurred on Friday, February 20, 2009. DISCUSSION Based on the interviews and a thorough analysis of the written proposals, the review panel has determined that the proposal from DKS Associates best addresses the goals of the Lake Grove Village Center Plan. DKS has assembled a strong team that includes OBEC (engineering); Harper Houf Peterson Reghellis, Inc. (planning); and JLA (public involvement). The team proposes a system-based analysis of the transportation issues and brings a fresh perspective to the plan area. City engineering staff found that the modeling program proposed for use by DKS encompasses a larger area of impact compared to the models used by the other consultant teams. This broader analysis was viewed by the review panel as an important aspect of the refinement process. The review panel found that the public involvement program designed by DKS is extremely thorough and transparent, and will help launch the refinement plan into Phase II. DKS has successfully performed other work within the City of Lake Oswego, as well as several relevant projects in Oregon. ALTERNATIVES & FISCAL IMPACT The alternatives are to: 1) not accept the panel's recommendation, reject all proposals and develop an alternative approach and a new RFP, or 2) accept the panel's recommendation and award the contract. The 2007-2009 includes funds budgeted for Phase I of the project. Phase II will need to be funded in the 2009-2010 budget. 8 Council Report 03/16/2009 Page 3 RECOMMENDATION It is recommended that the Council award a contract to DIES Associates in the amount of $112,479.00 for Phase I of the Boones Ferry Road Refinement Plan. End: Scope of Services Reviewed by: Sustainability has been considered as part of this recommendation. Department Di ctor F i a n ce 'rector A x D. lntyre City Manager 9 jectives Scope of Services The adopted Lake Grove Village The consultant services for the Boones Concept Plan will be evaluated and Ferry Road Refinement Plan are refined to consider the following presented in the following sections. traffic and transportation issues: Phases ® Assess and mitigate potential therefinement plan is impacts of"cut-through" traffic The purpose of to developa more detailed plan for and delivery trucks within Boones FerryRoad that builds on and adjoining neighborhoods as a result of changes to local is consistent with the g recommendations in the Lake Grove circulation and access within the (LGVC)Center VillagePlan. This study area contract covers onlyservices in the ▪ Evaluate the ability to serve large r vehicles and small first phase. The focus of this work passenger base is on the traffic anal trucks in making u-turns at p sis and Y related technical evaluations designated intersections associated with refining the adopted • Evaluate traffic performance along p conce t lan. corridor for representative peak p p hours and a potential e of The next work phase, not included in development scenarios for the this contract,will prepare engineering Village Center plans, specifications and cost Evaluate safety and traffic flow estimates to advance the project to impacts for pedestrian crossings construction, along with an economic that are not located at analysis of options for the community intersections controlled by traffic to finance the improvement. signals Review Prtcess Recommended refinements tot e Narrative or mapped deliverables adopted LGVC plan to mitigate or noted in the work tasks will be resolve issues evaluated through this submitted to city staff for review in study will be presented in a draft form. The consultant budget Refinement Plan. assumes no more than one review cycle fora given deliverable, except as Task e ject M n !e nt noted below. I. Consultant team leaders will meet with City staff to discuss and confirm project coordination, objectives, The refinement plan is for Boones methods, timeline and milestones, Ferry Road between Kruse Way Place work products,and issues. and Madrona Street.The Village Center is located in the western The team project web site will be Oswego portionof the Cityof Lake Oswe o and initiated, and training for city staff will is one of two town center commercial be provided at the conclusion of the districts within the City,the other kick-off meeting. being Downtown Lake Oswego. Boones Ferry Road Refinement Plan 05 Mar 2009 Page 1 11 2. Obtain and review existing the right technique for sharing documents, data, surveys, plans and information over the course of the other relevant information including project:: traffic data and projections. A Createand ® a maintain an email summary of key issues will be posted mailing list utilizing existing the project web sitefor information con act t from the City. consideration through this study. The invited tojoin public will be 3. Consultant project manager will the mailing list through the City's prepare status reports every two website and at public events. weeks and discuss with the city's Draft and send periodic email project manager by phone. Consultant updates to the email list. team leaders will meet to coordinate n Provide text, images and PDF on project. materials to the City for inclusion on the project website. Consultant lieliverables: ▪ Initiate project collaboration web Newsletters and Articles site, including project milestones Throughout the project up to two short ® Summary of key issues posted to informal articles (600 words or less) will the project web site be drafted and edited for the Hello LO ▪ Status reports to city's project City newsletter. In addition to the short manager every two weeks and articles, we will draft and finalize up to phone calls. two meeting announcements for publication in the Hello LO newsletter Task lc Inv,,Ivement that could also be used on the City project website. 1„ Stakeholder -WYe t Outreach to key groups will include a 4, Open House/Publictns mix of phone calls and emails initiated Two public meetings provide the by JLA. These contacts will be made at opportunity to check-in with the initiation and conclusion of work, community leaders and the general and in preparation for each of the two public. The first is planned early in the public meetings. Two groups will be process to make sure that the contacted personally: research is on track and test the ▪ Former LGVC Plan Implementation team's assumptions. The second Advisory Committee members meeting provides an opportunity to ▪ Business/Commercial Association review the draft plan and would occur before the Planning Commission work leaders session. 2„ Website Email updates The consultant will assist with Email updates will be sent to let notification communications to be people know that materials for review distributed by the.City, coordinate the are available on-line, Three meeting logistics (agendas, supplies, involvement methods have a proven refreshments, etc.), facilitate the track record we have used in the past meetings, and produce summary meeting to involve the public and stakeholders. materials. JLA will work with the City to identify Boones Ferry Road Refinement Plan 05 Mar 2009 Page 2 12 . :ork Sessi with Fanningcorridor, or 24-hour counts.A total of Corm ,ission $6,000 is budgeted for data collection. As part of the overall public involvement Collision data will also be collected for and project communication,the DKS the most recent threeyears along. o g the team will attend and participate in one corridor to help identify ntify potential work session with the Planning Commission to help facilitate clear safety locations to focus on during the understanding of the refinement plan. alternative conceptual design refinements. Consultant Deliverw les: .peratkns Analysis ▪ Stakeholder outreach to key The LGVC plan transportation groups concepts will be assessed to identify p ▪ Email notices and updates to potential opportunities and project web sites constraints along the corridor, along ▪ Develop materials and facilitate with related impacts and solutions in two general public meetings the adjoining neighborhoods. The • Present project findings and operations and safety analysis will recommendations at a public work consider existing conditi session with Planning Commission ons based on data collected in Task C.1, and future conditions based on new travel The consultantwill forecasts for long-range regional complete a traffic n f growth along with several local operations and safety analysis to impacts development scenarios along the identif y potentialp cts to aoperations,business access, p J neighborhood "cut-through" traffic, New 2035 travel forecasts will be and safety. developed using the Metro travel demand model,with refinements to 1,, Data Collection capture details for the neighborhoods The consultant will meet with city in the study area. The model street staff to develop a data collection plan network will include all local and that targets key locations and times of neighborhood streets. The consultant days to monitor and evaluate. It is will work with city staff to identify up anticipated that this will be a to three (3) future scenarios that minimum of two-hour turning represent potential thresholds of re- movement counts at all of the public development along the corridor. street intersections along Boones FerryRoad, and at all driveways The detailed future operating Y g Boones FerryRoad through the studyconditions will address the g area.Volume counts will show Transportation Action Measures cited trucks, in the LGVC plan, and other aspects passenger cars, buses, edestrians and bic including: p cles at each Y location.Additional data collection ® Effect of right turns at key will include counts during other peak driveways and the impact to periods (midday or weekend), through auto travel selected travel time runs through the Boones Ferry Road Refinement Plan 05 Mar 2009 Page 3 13 • Best locations for u-turn elements for the refinement plan, movements to accommodate Innovative techniques that could be motor vehicle and freight to applied include: minimize impact and maximize Transit signal priorityoptions - corridor performance g p p Use of queue bypass lanes in the ▪ Signal warrants for proposed appropriate locations can help signals facilitate better travel times for • New pedestrian crossing locations transit, and can provide additional to minimize distance between space on the opposite side of the existing signalized locations road at intersection to help ® Queuing at signalized intersections accommodate u-turns for larger to accommodate future motor vehicles. vehicle demand for through and Adaptive traffic signal application turning movements - Innovative technology such as • Driveway access at key locations this allows for future corridor to accommodate access by motor improvements that reduce green vehicle/freight minimize p house a an d gases a d increase pedestrian conflicts, and efficiencyin travel time while accommodate sight distance g minimizing delay on side streets. ▪ Median locations and length that minimize impact to all modes of In the event of a conflict between the travel and business access various goals of the LGVC Plan, design ® Assessment of potential motor refinements for mitigation shall give vehicle diversion due to median priority to pedestrian facilities placement, and neighborhood cut- including retention of recommended through minimum sidewalk widths, pedestrian Potential options for delivery crossings, and pedestrian refuge areas trucks and freight access routes, within medians at pedestrian on-street parking and the impacts crossings. on traffic flow Consultant e er es: Corridor performance outcomes will Traffic data collection plan be tabulated and mapped for review by city staff and stakeholders. In Intersection and driveway traffic addition,the corridor operations will count data, and other data as p specified in the data collection be simulated for presentation using p SimTraffic,which is an extremelyplan valuable tool to communicate with the ® Existing conditions and safety public and foster confidence in the analysis findings and key issues proposed solutions. map :FL Plan Refinements ® Future travel forecasts (2035) for up to three alternative local Utilizing all of the elements of the development scenarios future conditions assessment, as well as input from the community, DIES will develop alternative conceptual design Boones Ferry Road Refinement Plan 05 Mar 2009 Page 4 14 ▪ Future conditions and safety Consultant Deliverables: analysis findings and key issues Scaled drawings for selected maps segments and intersections Plan refinement conce is and illustrating plan refinements (up to p 4 locations) recommendations ▪ Illustrations of key locations T - -,treet showing travel path of design We will review existing available data vehicles making turning from earlier studies, Metro GIS movements (up to 4 locations) mapping and as-built information. In ▪ Typical standard design details to addition, the consultant team will r recommendations preliminary engineering provide ecommendat ons for alternative con cept a u 1 i n [Phase 2) related to median width, des g adverse traffic u-turn clearance needs, corner refinements to mitigate c radii, etc. operations and safety impacts, and to advance the goals of the LGVC Plan Plan (Task C3 outcomes).Anticipating that The refinement plan will capture the the refinements necessary will require process, outcomes and adjustments to the conceptual recommendations for LGVC plan that alignment, intersection geometry and , access strategies, consultant may fits the community and City's needs. utilize the following approaches: Plan elements will be reviewed to ▪ Utilize creative geometric identify an area (or areas) of the plan that could be implemented in the improvements including curb short-term along the corridor.This notches to accommodate U- would allow the project to move turning vehicles where space is forward in a cost effective manner. limited Two versions of the Refinement Plan ▪ Utilize AutoturnTM software to will be developed for review by city model alternative intersection staff and stakeholders. The configurations and property preliminary plan will be prepared for accesses the second p pubic open house event. ® Refine geometry based on City, Feedback and staff direction will be community, and team input to incorporated into that document, and mitigate or diffuse impacts the resulting draft plan will be ready In addition to the street desi n for the work session with Planning g component,there is also the element Commissioners. of urban design and streetscape to Consuftant , l e a es: consider. The consultant team is well m PreliminaryRefinement Plan q encompass pp equipped ed tothat aspect of of the process,but expects that work Draft Refinement Plan to occur in phase 2,which is not included in this contract. Boones Ferry Road Refinement Plan 05 Mar 2009 Page 5 15 Boones Ferry Road Refinement Plan Scope of Services Estimate Post-Interview DKS 1 i .1 LA • . •. .. OBEC 1 . Protect Eng. Support P1 P1 Actrnin Project Prated 1 tanager Engineer Assistant Staff Expenses Specolist Specialist Manager Expenses Manager Engineer CAD E,pie nsi,s $160 $115 $90 $80 -1 s111 $80 $94- $1 $133 $99 $77 $.1 Task A.Project Management Local/Regional Agency Kick-off Meeting $1,796 4 4 2 4 ' ' : . 4 1 Team Meetings $4,172 8 8 1 ' 8 8 $24 Project Administration $8,232 40 a . 4 8 Subtotal(Hours) 52 8 2 8 16 0 8 12 0 0 Task Subtotal $14,200 $8,320 $920 $180 $640 $0 $1,772 $0 $749 $0 $1,598 $0 $0 $20 Task B.Public Involvement Stakeholder/Property owner outreach $6,600 2 2 38 22 $80 Open House 1 $5,583 - - - 12 2 $50 16 16 $140 Open House 2 $5,558 4 4 12 2 $25 16 16 : $140 Planning Commission Work Session $2,880 4 4 12 $25 6 $10 Subtotal(Hours) 14 14 36 4 76 54 0 0 0 0 Task Subtotal $20,621 $2,240 $1,610 $3,240 $320 $100 $8,419 $4,322 $0 $370 $0 $0 $0 $0 Task C.Transportation Analysis , ' Data collection $7,500 2 4 8 $6,000 Review existing plans $1,180 4 8 Existing conditions comparison $2,320 2 8 12 Neighborhood model development $10,320 4 16 80 8 . Neighborhood cut-through/safety analysis $3,720 4 8 24 Future conditions/impacts $9,240 8 24 40 20 - - Refinement to traffic elements . $6 1,720 8 16 40 Subtotal(Hours)i 1 28 : 80 212 1 28 0 0 0 0 0 0 Task Subtotal! ;41,000 $4,480 i $9,200 $19,080 $2,240 $6,000 $0 $0 $0 $0 $0 $0 . $0 $0 Task O.Street Design Conceptual design refinement , $15,893 8 8 . 20 64 60 $50 . -Auto-turn on plans for truck/heavy vehicles I $2,027 : 8 16 Subtotal(Hours);i ! 8 j 8 • 0 0 0 0 1 0 : ' 20 1 72 76 ! i I Task Subtotal! $17,920 $1,280 • $920 $0 $0 $0 $0 $0 ' $0 $0 $2,664 • $7,156 $5,850 $50 Task E.Refinement Plan Develop phasing/priority for projects $3,000 4 8 16 Preliminary Refinement Plan 00,341 8 I 16 i 24 40 i., 2 4 . 2 4 8 1. Draft Refinement Plan $5,437 2 T 8 16 8 6 6 2 , 4 4 Subtotal(Hours) 14 1 32 56 48 . 8 10 0 4 1 8 12 , Subtotal $18,738 $2,240 1 $3,680 $5,040 $3,840 $0 $886 $800 $0. $0 $533 1 $795 ; $924 $0 Project Budget $18,560 $16,330 $27,540 $7,040 $6,100 $11,078 $5,122 $749 si'70 $4,795 $7,951 $6,773 $70 Project Hours 1028 116 i.42 306 88 140 64 8 36 80 88 Team Total Budget $112,479 1$105,879 r 1. •. $75,570 $17,319 1 $19,590 DKS Assoc,ates Team revised budget following presentation.xlsx I Refined 2126/09 I 8:19AM -%, ....,1 4•2 • 1 0,,L,..osiv -, Lti cQ alit „iiii KN,,,,..._ )11,, CITY OF LAKE OSWEGO COUNCIL REPORT OR EGOS TO: Jack D. Hoffman, Mayor Members of the City Council Alex D. McIntyre, City Manager FROM: Massoud Saberian, PE Principal Traffic Engineer Guy Graham, PE Public Works Director SUBJECT: TGM Grant Application for TSP Update Resolution 09-15 DATE: March 13, 2009 ACTION Staff requests the approval of Resolution 09-15 endorsing an application for a state Transportation and Growth Management Grant to fund an update to the City of Lake Oswego Transportation System Plan. INTRODUCTION/BACKGROUND The City of Lake Oswego's Transportation System Plan (TSP) was last updated in 1997. It is a City Council goal to update City's Master Plans as needed. The purpose of this project is to update the City of Lake Oswego's Transportation System Plan (TSP) and adopt implementing ordinances (as necessary) to comply with OAR Chapter 660- 012 which requires development of a safe, convenient and economic transportation system. DISCUSSION In 1992 the transportation chapter of Lake Oswego's Comprehensive Plan was updated to reflect the requirements of the newly adopted Transportation Planning Rule. In 1997, the TSP was again updated. During the twelve years since that update, the City 19 Council Report 03/16/2009 Page 2 believes that the economic, resource, and environmental climate has changed to a degree that an update is critical at this time considering: • Periodic Review • Sustainability • Redevelopment Opportunities/Transfer of Density • Streetcar • Regional Planning and the Regional Transportation Systems Plan ALTERNATIVES & FISCAL IMPACT In order to update the Transportation System Plan, the City must allocate funds and resources from other programs. The required local match for the grant is at least 11% which is approximately $24,000, which will be paid from Public Works and Community Development Department funds. RECOMMENDATION It is recommended that Lake Oswego City Council approve Resolution 09-15 endorsing the application for a grant from the Transportation and Growth Management Program (TOM) Program to fund City of Lake Oswego TSP update. ATTACHMENTS 1. TOM Grant Application 2. Resolution 09-15 Sustainability has been considered as part of this recommendation. Yes. Reviewed by: Department ■ ector Finance Direc, AsAi AAA- Cit Attorn Alex D. Mc` tyre City Manager 20 RESOLUTION 09-15 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE OSWEGO ENDORSING AN APPLICATION FOR A GRANT FROM THE STATE TRANSPORTATION AND GROWTH MANAGEMENT GRANT PROGRAM TO UPDATE THE CITY'S TRANSPORTATION SYSTEM PLAN. WHEREAS, the City of Lake Oswego is striving to comply with OAR Chapter 660-012 which requires development of a safe, convenient and economic transportation system; and WHEREAS, the City of Lake Oswego Transportation System Plan (TSP) was last updated in 1997; and WHEREAS, the Transportation and Growth Management (TGM) Grant Program, which is administered by the Oregon Department of Transportation, has issued a "Call for Grant Applications"; and WHEREAS, the City's Transportation Advisory Board has endorsed the TGM Grant Application for funding the TSP update; and WHEREAS, City of Lake Oswego's Public Works Department has the available funds to meet the 11% matching funds required for TGM grants; and WHEREAS, The TSP update is one of City Council's Goals; NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Lake Oswego endorses the grant application for Transportation and Growth Management Program funding for the City of Lake Oswego Transportation System Plan update. This resolution shall be effective upon passage. Considered and enacted by the City Council of the City of Lake Oswego at a regular meeting held on the 24th day of March, 2009. AYES: NOES: ABSTAIN: EXCUSED: Jack D. Hoffman, Mayor ATTEST: Robyn Christie, City Recorder Page 1 of 2—Resolution 09-15 21 APPROVED M,TOFORM: LL David Powell City Attorney Page 2 of 2—Resolution 09-15 22 /1/0tit '' TRANSPORTATION GROWTH MANAGEMENT (TGM) GRANT APPLICATION FORM litMPO:RIADON AND kolif4 tAMIT Please read the Application Packet carefully before completing this application. Sample applications and application tips are available on the TGM Grants and Incentives page on the Web: egov.oregon.govILCDITGMIgrants.shtml. Complete this application (please limit to 8 pages), print it out, sign, and then submit by postal mail. The answer fields below will expand as you type. ORGANIZATION NAME PHONE City of Lake Oswego 503-635-0274 CONTACT PERSON NAME AND TITLE CONTACT PERSON E-MAIL Massoud G. Saberian, PE, PTOE msaberian cimswe o.orus Principal Transportation Engineer Section 1: Project description and background 1. Provide a brief statement of project purpose and transportation relationships and benefits: The purpose of the project is to update the City of Lake Oswego's Transportation System Plan (TSP) and adopt implementing ordinances (as necessary) to comply with OAR 660-12-012 which requires development of a safe, convenient and economic transportation system. In 1992 the transportation chapter of Lake Oswego's Comprehensive Plan was updated to reflect the requirements of the newly adopted Transportation Planning Rule. In 1997, the TSP was again updated. During the twelve years since that update, the City believes that the economic, resource, and environmental climate has changed to a degree that an update is critical at this time considering: • Periodic Review—In May 2008, the City was notified by the Department of Land Conservation and Development to begin Periodic Review. Coordinating transportation planning with land use updates will ensure the most efficient use of land and the most appropriate transportation modes for those uses. • Sustainability— Since the last TSP update, more emphasis has been placed on sustainability. The City has developed a Sustainability plan (focused on city operations), created a Sustainability Advisory Board (SAB), and is supporting the SAB's efforts to develop a City-wide Sustainability Plan. An updated TSP with City of Lake Oswego-TOM Grant Application I of 8 23 greater focus on walking, biking and transit, would help improve air quality, reduce the use of fossil fuels and reduce transportation costs. • Redevelopment Opportunities/Transfer of Density — There has been some discussion in the community to consider redeveloping perceived underutilized industrial areas of the community or to shift intensity and density to other parts of the community. The TSP update would help to inform those policy decisions. • Streetcar—The City is one of seven regional governmental entities in the region who joined together over 20 years ago to purchase a rail line between Lake Oswego and Portland. The region has conducted a Federal Alternatives Analysis to review transit options (streetcar is the locally favored option) in the Hwy 43 corridor, and is now beginning a Draft Environment Impact Statement process. The addition of street car will require redevelopment in the downtown as well as rezoning and redevelopment in an underutilized industrial area adjacent to the rail line. Tying these transportation and land use changes together in the TSP will bear on the success of these efforts. • Regional Planning and the Regional Transportation Systems Plan — Metro is currently in the process of updating the RTP. Updating the Lake Oswego TSP will allow us to respond to any changes in the RTP in a timely manner 2. List the key project objectives and expected outcomes and relate them to TGM objectives: The proposed TSP Update is intended to: • Provides for a safe, efficient, multi-modal transportation network, to support existing and planned land uses; • Prioritize transportation facilities and services considering likely future revenues; • Analyze and determine the appropriate means for managing the state highways to meet both local and through traffic needs as well as improving safety and mobility; • Strategically plan for a reliable network of pedestrian and bicycle facilities to reduce air pollution, traffic and livability issues by increasing transportation choices; ® Prepare Safe Routes to Schools plans for local schools; ® Address the needs and preferences of transportation system users and obtain broad public support for the plan; and • Ensure compliance with Metro's Regional Transportation Plan, the Transportation Planning Rule, Oregon Transportation Plan, and Oregon Highway Plan. The plan is intended to achieve several TGM Objectives: • Result in a balanced, multimodal transportation system that enhances the existing opportunities for walking, bicycling, and using transit; • Preserve or enhance the "through movement" function of a state highway; City of Lake Oswego-TGM Grant Application 24 • Increase convenience and availability of alternative transportation modes to reduce reliance on the automobile and make alternative modes a primary choice for short trips; and • Reduce emissions that contribute to climate change. 3. List the final products that will be prepared for adoption and which government agencies (e.g., city, county, state agency, transit district, etc.) will need to take action in order for each to be adopted: The final product will be the Updated TSP and associated ordinances adopted by the City of Lake Oswego, including Comprehensive Plan goals and policies, prioritized multi-modal project lists, and potential funding sources. The Clackamas County Board of Commissioners may be asked to amend the County TSP to adopt those portions of the Updated TSP within the Dual Interest Area of the Urban Growth Management Agreement. 4. Address the timeliness award criteria: explain why this is the right time for the project. Identify ongoing initiatives or actions to be completed that may affect the project timeline: As noted previously, the City is in Periodic Review. An updated TSP would serve the City well by providing timely and pertinent information to help inform growth management and transportation policy decisions. In addition to an updated TSP, the Periodic Review work program proposes to update the following items; Buildable Lands Inventory, Housing Needs Analysis, Industrial/Commercial Inventory and Needs Analysis, and Waste Water Master Plan. 5. Provide additional background and context for the project that will help us understand your project: The City and the region are at a crossroads with many regional and local decisions looming within the next year. Providing an updated, comprehensive TSP will put the City in a better position to make decisions on: * Oregon Transportation Plan * Regional Transportation Plan ® Rural/Urban Reserves Process • Stafford Area • Streetcar • Underutilized industrial areas such as the Foothills Area and the Lake Grove Industrial Center • Sustainability q: w City of Lake Oswego-TGM Grant Application 3 of 8 25 • Re-zoning considerations 6. If the project addresses a TGM focus area, describe how: One of the key outcomes of the TSP update is to integrate sustainable practices into the community. The City has embraced this idea by developing sustainability plan (focused on city operations), created a Sustainability Advisory Board (SAB), and is supporting the SAB's efforts to develop a city-wide sustainability Plan. An updated TSP with increased transportation options would not only help increase air quality by reducing emissions, but it would help the City reach its goal of becoming a sustainable community. Section 2: Project specifics 1. Will a consultant be used on the project? If yes, describe the expected roles of consultant and local staff: A consultant will be used. The consultant will have an active role by performing most of the project work, including data analysis, modeling, alternatives development and analysis. City staff will provide data, review products, and perform support logistics for the public involvement aspects of the project. Extensive public involvement will be one of the key elements of the process. City staff will take the primary responsibility for presenting the plan before the Planning Commission, Sustainability Board, Transportation Advisory Board and other groups, and for adoption by the City Council. 2. Outline the major project tasks, expected timeline, and general methods. Include a discussion of data and analysis needs and an overview of the expected public involvement process (e.g., technical and citizen committees, workshops, surveys, project Web page): The project is expected to take 13-15 months to complete and during its course it is expected to identify City of Lake Oswego's need for roadway improvements, intersection improvements, Safe Routes to School, pedestrian facilities, bicycle facilities, transit system improvements, transportation demand management, and the overall cost of projects and potential funding sources. General approach with task objectives and timeline. Task 1: Project Management, Regional Coordination, & Public Involvement - - (Months 1-2) Agree on a structure for project oversight/management and public engagement process to ensure adequate and broad public involvement, resulting in a TSP that responds to community issues and values. *4% 26 s . City of Lake Oswego-TGM Grant Application 4 of 8 • Develop Technical Advisory Committee (TAC) and Citizen Advisory Committee (CAC) role/roster and design public involvement into the remainder of the tasks. Task 2: Review Relevant Plans & Policies - - (Months 3-5) • Review existing plans, studies, reports, laws, standards, policies applicable to the City's TSP. • Prepare Transportation Models ® Prepare draft issues report identifying conflicts/discrepancies and strategies to address them. • Solicit TAC, CAC, and public input. Task 3: Existing Conditions - - (Months 3-5) • Ensure existing conditions are accurately documented. • Prepare up-to-date maps, tables, graphics, description, etc. • Solicit TAC, CAC, and public input. Task 4: Needs & Deficiencies Analysis - - (Months 5-7) • Determine the City's transportation system needs and deficiencies to inform policy alternatives. ® Review transportation projects list against system needs and deficiencies. • Solicit TAC, CAC, and public input. Task 5: Transportation System Solutions/Financial/Implementation Report - - (Months 7-10) • Identify draft and final transportation system alternatives consisting of solutions/financial /implementation options. ® Solicit TAC, CAC, and public input. Task 6: Draft TSP, Refinement, and Adoption - - (Months 10-13) • Prepare draft TSP based on technical work and public engagement process. • Prepare New or revised plan policies, maps, and regulations as needed. 3. In addition to data and analysis that will be gathered or performed as part of the project, list any, including mapping, traffic counts, or transportation analysis, that must be completed before the project can begin: None. 4. Provide an estimated budget breakdown for the major tasks. If a consultant will be used, separate the costs for local staff and consultant: City of Lake Oswego-TOM Grant Application 5 of 8 27 Budget breakdown: LOCAL CONSULTANT TASK COSTS COSTS 1. Project Management, Regional Coordination, Public $2,200 $15,000 Involvement 2. Review Relevant Plans and Policies — Issues Report $2,500 $15,000 3. Existing Conditions $4,500 $40,000 4. Needs and Deficiencies Analysis $5,000 $33,000 • N 5. Transportation System $5,500 $50,000 Solutions/Financial/Implementation Report 6. Draft TSP, Refinement &Adoption $4,000 $35,000 Totals: $23,700 $188,000 5. Describe the experience and capability of the proposed project manager to manage the project. City of Lake Oswego's Principal Traffic Engineer, Massoud Saberian, PE, PTOE, will manage the Project to assure continuity and completeness. Mr. Saberian has been employed by the City for three years and has over 18 years of direct transportation engineering and planning experience. Prior to working at the City he was a Senior Traffic Engineer with Oregon Department of Transportation for three years and over 12 years with Washington County Department of Land Use and Transportation as a Traffic Analyst and Traffic Engineer. 6. Project Area 8.5-by-I I-inch map of the project area X Map attached Description: The City of Lake Oswego is located within the Metro Boundary and in three different counties, including Clackamas, Multnomah, and Washington; with a majority of its land area in Clackamas County. The City has a certified estimated population of 36,590. There are 7,241 acres within the City limits and 8,363 acres within its planned Urban Services Boundary. City of Lake Oswego-TGM Grant Application 6 of 8 28 /.re:;1Vtir 7. Submit letters or resolutions of support for the project from local officials that clearly indicate an understanding of the intended project outcomes and support of the project objectives. Submit letters of support from other interested parties as appropriate. Note: these may be submitted separately from the application. Letters and resolutions of support may be submitted through April 7, 2009. Those submitted. after March 13, 2009 must be submitted electronically to cirri .l.lesmeister odot.state.orus. List letters and resolutions attached and expected: SOURCE ATTACHED EXPECTED 1. Transportation Advisory Board Recommendation to City Council 2. City Council Resolution X ArA:. 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OR 97034 Subject: Oregon Department of Transportation- Transportation Growth Management (TGM,) Grant Application to Update the City's Transportation System Plan COMMUNITY DEVELOPMENT Dear Councilors: DEPARTMENT ENGINEERING The Transportation Advisory Board(TAB)strongly recommends that the City submit a grant application to the Oregon Department of Transportation under the Transportation I)vsO Growth Management(TGM) ro ram in order to obtain funds to u date the Ci 's g p g p City's Transportation System Plan(TSP). CITY OF LAKE OSWEGO The City's TSP is one of many plans included in the Comprehensive Plan that provide guidance on growth management and transportation-related issues. Specifically, the TSP 380 A Avenue identifies the City's transportation strategies, needs, and priorities. Updating the TSP is PO.Box 369 ty pp g La �Oswego critical in maintaining a safe and efficient transportation system. Additionally, the TSP is kOregon 97034 a required task identified in the City's Periodic Review work program. 503-635-0270 The TSP was last updated in 1997, 12 years ago. Since then, many regional and local Fax 503-635-0269 events have impacted this community; including the need for sustainability, a significant www.ci.oswego.or.us update to Metro's Regional Transportation System Plan, and urbanization and redevelopment opportunities within and around the community.As a result of these changes, an update to the TSP is critical at this time. Finally, OAR 660, Division 12(Transportation Planning) implements Statewide Planning Goal 12(Transportation),with the purpose of providing and encouraging a safe, convenient and economic transportation system. In this OAR a major emphasis is placed on the coordination of land use planning with transportation planning. The local TSP must be consistent with regional and state transportation plans and an update to our TSP at this time will help insure this consistency. Thank you for consideration of this proposal. The Board looks forward to working with the community and the Council on the City's transportation planning. Sincerely, 7i://;,,,"—c..._------ /'//14-' ---- - -- .:,',/ ,/ '',,,,,::-' Trryl y'es, P.E. e Chair,Transportation Advisory Board *,'If, c: Guy Graham,P.E., Public Works Director TAB members(via email) ® K. c , - i,„ 31 %,AKE Q� • 2 0 CITY OF LAKE OSWEGO COUNCIL REPORT OREGQS TO: Jack D. Hoffman, Mayor Members of the City Council Alex D. McIntyre, City Manager FROM: Jane McGarvin, Deputy City Recorder SUBJECT: Resolution 09-16, approving an appointment to the Historic Resources Advisory Board DATE: March 16, 2009 ACTION Council is requested to approve Resolution 09-16, approving an appointment to the Historic Resources Advisory Board. BACKGROUND The City Council Interview Committee consisting of Councilors Hennagin and Sally Moncrieff, and Jeannie McGuire, Co-Chair of the Historic Resources Advisory Board, interviewed seven candidates on February 5, 2009. On February 17, 2009, the City Council approved the appointment of Craig Foster as alternate on the Historic Resources Advisory Board should there be a vacancy through November 30, 2009. Sarah Neitzel, member of the Historic Resources Advisory Board since July 2, 2002, has submitted her letter of resignation effectively immediately. When contacted, Mr. Foster indicated he was willing to serve on the Historic Resources Advisory Board. ATTACHMENTS 1. Resolution 09-16 11/ Sustainability has been considered as part of this recommendation:. Reviewed by: 1 ty Att o n Alex D. cl ntyre City Manager 33 RESOLUTION 09-16 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE OSWEGO APPROVING APPOINTMENTS TO THE HISTORIC RESOURCES ADVISORY BOARD WHEREAS, a City Council Interview Committee, consisting of Councilors Hennagin and Sally Moncrieff, and Jeannie McGuire, Co-Chair of the Historic Resources Advisory Board, met on February 5, 2009, to interview candidates for the Historic Resources Advisory Board; and WHEREAS, it was the consensus of the Interview Committee to recommend that Craig Foster be appointed to the Historic Resources Advisory Board as alternate should there be a vacancy through November 30, 2009; and WHEREAS, the Mayor has made the appointments recommended by the Interview Committee; WHEREAS, a member of the Historic Resources Advisory Board, Sarah Neitzel has submitted her resignation effective immediately, that will be accepted by the City Council on March 24; and WHEREAS, Craig Foster has indicated his willingness to be appointed to fill the remainder of Ms. Neitzel's term which expires December 31, 2010. NOW THEREFORE, BE IT RESOLVED, that the City Council of the City of Lake Oswego approves the appointment of Craig Foster to the Historic Resources Advisory Board for the remainder of a three-year term ending December 31, 2012, This resolution shall take effect upon passage. Approved and adopted by the City Council of the City of Lake Oswego at a regular meeting held on the day of , 2009. AYES: NOES: ABSTAIN: EXCUSED: Jack D. Hoffman, Mayor ATTEST: Robyn Christie, City Recorder AP /ROVE* AS TO FORM: 67avid Powell, City Attorney 34 01 1-AKE cap o;aii eir"All OF L ril ,_.„,„. ':: 70R,c,,,,--Jg COUNCIL REPORT 4. 3 TO: Jack D. Hoffman, Mayor Members of the City Council Alex D. McIntyre, City Manager FROM: Robyn Christie, City Recorder SUBJECT: Approval of Minutes DATE: March 24, 2009 ACTION Approve minutes as written. ATTACHMENTS 1. January 7, 2009, special meeting 2. February 10, 2009, special meeting Sustainability has been considered as part of this recommendation. R-viewed by: g„../tdt / / A -x D. Mcl tyre City Manager 35 CITY COUNCIL SPECIAL MEETING MINUTES January 7, 2009 ORtGU$ Mayor Jack Hoffman called the special City Council meeting to order at 2:04 p.m. on January 7, 2009, in the Santiam Room, West End Building. Present: Mayor Hoffman, Councilors Jordan, Johnson (4:17), Olson, Moncrieff, and Tierney; Councilor Hennagin was excused Staff Present: Alex McIntyre, City Manager; David Powell, City Attorney; Robyn Christie, City Recorder; Stephan Lashbrook, Assistant City Manager; Bob Galante, Galante, Redevelopment Director; Joe Hertzberg, Facilitator 3. ORIENTATION FOR NEW COUNCIL • Legal Structure Mr. Powell reviewed the legal structure of the City of Lake Oswego government. He explained that the City had a home rule charter with a traditional Council-Manager form of government. The `general grant' charter gave the Council broad authority to do whatever a municipality could legally do. He recommended that the Council members read the City Council Rules of Administrative Procedure. He reviewed the different types of meetings, agenda basics, the Consent Agenda, and Citizen Comment. The Council discussed Citizen Comment. Mayor Hoffman recalled that, during the campaign, people complained about the three-minute time limit. Mr. Powell indicated that the Mayor could extend the time at his discretion. He explained to Councilor Tierney that the testimony time limits at public hearings related to the type of public hearing it was. He clarified that, with respect to Citizen Comment, the past Council's practice has been not to answer a question but to direct the citizen to staff. Councilor Jordan confirmed that the three-minute time limit had not been absolute. She held that the issue was one of fairness in allowing people to talk for the same length of time. Councilor Jordan pointed out that, if Council decided not to have the Tuesday morning meeting (when Council usually noted changes to the minutes), then a decision was needed on when Council members could make those changes. The Council discussed taking things off the Consent Agenda. Councilor Jordan recalled that the Council has taken large contract awards off, which Council had discussed at a previous study session, in order to make sure that the citizens understood that the Council had discussed it earlier and was not simply passing it through. Mayor Hoffman commented that he had pulled items that he wanted the public to know about, or to give staff an opportunity to explain, such as contract awards. Mr. McIntyre described the challenges of building an agenda. He pointed out that pulling things off the Consent Agenda lengthened the meetings. He spoke of the balance between consideration of the Council's time as public officials and the public's need to know about expenditures. He mentioned that pulling contract awards off the Consent Agenda had caught him by surprise when he came here. Mr. Hertzberg commented that the Council needed shared expectations regarding why someone might pull an item from the Consent Agenda. Mr. Lash brook mentioned his experience with other City Councils that Councils usually made poorer decisions after 10:30 p.m. City Council Special Meeting Minutes Page 1 of 11 January 7, 2009 37 The Council discussed guidelines for Mayor Hoffman and Mr. McIntyre to use in deciding what to put on the Consent Agenda. Mr. McIntyre indicated that he would not put items on the Consent Agenda that he now knew were controversial. Councilor Tierney mentioned time and simplicity as criteria for building the agenda as a whole. Councilor Jordan pointed out that the Council did not have a procedure in place to dialog with the public regarding agenda items. She described the Consent Agenda items as information items. Mayor Hoffman commented that he and Mr. McIntyre would get a sense of what was important to the Council over the next several months as they developed the agendas. Mr. Powell discussed the rules of debate. He explained that, while Roberts'Rules of Order was the fall back, the Council did not strictly adhere to those rules. Rather, if the Council debate process was working fine, then it was working fine. He mentioned that the formal rules required a motion and a second prior to discussion, but he has not insisted on that procedure because this Council has worked by consensus. Councilor Jordan recalled that Council members asked for clarification from staff prior to a motion, and then discussed the question following the motion. Mayor Hoffman indicated that he would look to Mr. Powell for advice if needed, but, in his experience, they did not need a formal procedure to move things forward. Ms. Christie requested that motions be clearly stated, as opposed to a Council member saying during discussion 'so moved.' Mayor Hoffman commented that he saw his role as summarizing discussion and encapsulating what the Council was trying to move forward. Mr. Powell indicated that, when they occurred, he would walk the Council through the procedure for friendly amendments. He discussed the procedure for reconsideration of a vote, noting that only a member who voted on the majority side could ask for reconsideration. He noted the rules for discussion. Mr. Hertzberg pointed out that an important element was trusting the chair to facilitate a fair debate, and not to allow one side to dominate the discussion. Mr. Powell discussed voting. He explained that a vote only passed with a majority of votes, such as 4-3. Both a tied vote with a member absent and a tied vote with a member abstaining failed because there was not a majority. He discussed the difference between recusing oneself from participating in the vote and abstaining from the vote, which was still participating in the vote. He noted that the Council policy on abstentions discouraged abstentions because the Council members were there to vote. He stated that it was important to distinguish between creating a Council subcommittee and asking Councilors to bring back information. Since a Council subcommittee would come back with a recommendation, the public meetings law requirements applied to subcommittee meetings. The Council discussed the order of the vote. Ms. Christie indicated that the roll call vote order used to rotate, beginning with the Mayor and the Council President. Mr. Hertzberg said that they would come back to this topic later. Mr. Powell discussed how to handle motions. He explained to Councilor Tierney that the difference between `suspend' and `postpone' was that `postpone' simply put something off to a later time, while `suspend' (or `table') put an item on the shelf until someone who voted on the majority side moved to bring it off the shelf. Mr. Powell pointed out that only the Charter Officers (the City Manager, the City Attorney, and the Municipal Judge) actually worked directly for the Council. The Charter mandated that City Manager handle all employee affairs and prohibited City Council members from trying to influence his management of employees. He said that, as City Attorney, he represented the City and the Council collectively, and not individually. He indicated that he was also the Chief Legal Officer doing legal work for the City Manager. City Council Special Meeting Minutes Page 2 of 11 38 January 7, 2009 He clarified to Councilor Olson that a Council member could inform the City Manager of concerns he/she has heard about an employee, but he/she could not try to influence the City Manager in his handling of the personnel situation. Mr. Powell discussed Lake Oswego's status as a court of record. He reviewed how the Council exercised its powers by ordinance and resolution. He explained that, while the City Charter and ordinances mostly controlled governing the city, federal and state laws could override local laws. • Land Use Procedures Mr. Lashbrook discussed the regulation of land use through federal, state, and local laws. He spoke of the State administrative rules and the statewide planning program and goals. He mentioned the Big Look Committee's recent work on revising the procedures for implementing the statewide planning goals. He noted the Metro Charter and Code, the County coordination requirements, and the City's Charter and Comprehensive Plan. He indicated to Councilor Jordan that the Metro regional goals were not different from the statewide planning goals. He explained that the State land use system in Oregon expected cities and counties to figure out how to balance the 19 statewide planning goals in applying them to their jurisdictions through a Comprehensive Plan and implementing ordinances. Mayor Hoffman clarified that Metro's statutory authority was limited to issues of region-wide concern, including but not limited to housing, sensitive lands, parking, and traffic. Mr. Lashbrook concurred with Councilor Jordan that having both statewide planning goals and region wide planning goals created a confusing situation. He noted that another confusing factor was the Metropolitan Housing Rule, which did not come from the regional authority Metro, but rather from the State in an effort to regulate housing density throughout the state. He confirmed to Councilor Tierney that Metro had statutory authority from the State, in addition to a charter voted on by the people in the region. He mentioned that Metro was a unique entity in the United States. Mr. Powell observed that Metro's planning and enforcement authority was not well defined. He indicated that he did not know what would happen if a local jurisdiction refused to comply with Metro mandates. Mr. Powell discussed legislative and quasi-judicial hearings and procedures. He explained that in the first, the Council functioned as a legislature in adopting laws, while in the second, it functioned as a judge in determining whether an application met the stated criteria in the Code. He discussed the roles of the Planning Commission (legislative) and the Development Review Commission (DRC) (quasi-judicial). He emphasized that if an application on appeal from the DRC met the criteria set forth in the Code, then, no matter how much the public did not want the development, the Council had to approve it. He clarified to Councilor Moncrieff that, with respect to a quasi-judicial hearing, the Council members were supposed to stop someone from giving them information outside of the record, whether in conversation or through e-mails. If it unavoidably or accidentally happened, then there was a procedure for declaring ex parte contacts, but the idea was to avoid muddying the record. He indicated that a good rule of thumb was that if an issue was going to the DRC, then it was appealable to the Council, and Council members should avoid any discussion of it. Councilor Moncrieff asked how to handle the information on a potential quasi-judicial appeal, which she, and Councilors Tierney and Olson, might have received prior to being elected. Mr. Powell reviewed the ex parte contact declaration procedure used to cure the problem. He explained that the intent of the quasi-judicial hearing was to have a level playing field for all parties and to let the citizens participating in the hearing know what was in the minds of the judges. Councilor Jordan commented that often e-mails, which unexpectedly turned out to address a quasi-judicial item, contained no new information outside the record. However, a Council member should still declare them up front. Mr. Powell suggested forwarding such e-mails to himself or to the planner for inclusion in the record. City Council Special Meeting Minutes Page 3 of 11 January 7, 2009 39 He explained that, even after making a final decision, the Council members still needed to avoid ex parte contacts because the losing party might appeal it to LUBA. Councilor Jordan pointed out that site visits could either be a deliberate viewing of the property in question or a familiarity with the property due to going by it every day. Mr. Powell explained that, while staff has given up on preventing the Council from making deliberate site visits, they did discourage those visits and required site visit declarations at the beginning of a hearing. He asked the Council members not to investigate specific evidence of the case, such as measuring where setbacks would be. Mr. Powell indicated that, while ex parte contacts were not supposed to happen, even LUBA recognized that they would occur, and has stated that it would not reverse a decision because of an ex parte contact. He emphasized the importance of declaring not only the contact (oral, written, and site visits) but also the substance of that contact in sufficient detail to allow the participants to rebut the information received. Councilor Tierney observed that it was difficult to make land use decisions without seeing the land. Mayor Hoffman concurred. He commented that the difficulty with site visits came when there was a traffic issue because traffic was not static like the land was. Mr. Powell indicated to Councilor Moncrieff that there were few instances outside land use that required a quasi-judicial hearing by the Council; noise abatement issues or an appeal on licenses/permits were two examples. Mr. Powell discussed bias, which was only a concern during quasi-judicial proceedings. He pointed out that a challenge of bias was difficult to prove. Only the individual could truly determine whether he/she was so vested in an issue, that he/she could not render an impartial judgment. Therefore, only the individual could disqualify him/herself for bias. Mayor Hoffman explained that what Council members have done in the past was to talk over their issues and concerns regarding a particular hearing with the Mayor or the City Attorney or the City Manager. Mr. Powell concurred. He discussed the issue of needing a quorum and a majority vote (one way or the other) as factors Council members have considered in addressing the issue of bias. Mr. Lashbrook reviewed the land use procedure timeline for a final decision on an application in light of the 120-day rule. Mayor Hoffman indicated to Councilor Tierney that the 120 days included appeal time. Mr. Powell noted that the applicant could extend the 120-day rule, which was what often happened if the process ran up against the deadline. • Ethics Mr. Powell discussed the difference between an actual conflict of interest and a potential conflict of interest. He explained that a Council member had to announce the nature of the conflict of interest, and recuse him/herself for an actual conflict of interest, but not necessarily for a potential conflict of interest. He indicated that the two exceptions to recusing one's self over an actual conflict of interest where meeting the quorum or minimum number of votes necessary to make a decision requirement, and the class exception. He discussed the definition of`relative' and `business' with respect to a conflict of interest. He reviewed how to handle conflicts of interest involving law firms (which often served as agents for clients on appeals), such as Councilor Jordan's husband's law firm. He indicated that he would recommend (at a minimum) the conservative approach of declaring a potential conflict of interest. Mayor Hoffman noted that he had to go through a complicated process in order to determine actual or potential conflicts of interests with respect to the law firm that employed him. Mr. Powell indicated to Councilor Moncrieff that, while it depended on the circumstance, it was unlikely that a customer of her husband's consulting firm appearing before the Council would represent a conflict of interest for her, unless the Council decision would benefit her husband's firm in some way. City Council Special Meeting Minutes Page 4 of 11 40 January 7, 2009 He discussed with Councilor Tierney the situation of an employee of a publically traded corporation who did not have $100,000 worth of stock in the company. He indicated that a ruling benefiting the Oregon City School District as a whole did not represent a conflict of interest for Councilor Olson, although a ruling that would benefit her or her position would be a conflict of interest. He encouraged the Council to read the booklet provided. Councilor Jordan recalled hearing at the League of Oregon Cities that compensation, including gifts given to relatives, was a big deal that people had to be careful about in order to avoid an ethics violation. Mr. Powell reviewed the current rules for gifts, compensation, not using a public office for private benefit, food and beverages, travel and lodging, entertainment, and honoraria. He encouraged the Council not to accept gifts (even under the $50 per year aggregate limit) from someone with a legislative or administrative interest that was distinct from the general public interest in a matter. He suggested that the Council review the chart handed out to identify such situations. He indicated to Councilor Tierney that if a public official exceeded the cumulative gift limit, then he/she has committed an ethics violation and could be charged and fined. Councilor Jordan noted that it was self-reporting. Mr. Hertzberg recessed the meeting for a break at 4:25 p.m. He reconvened the meeting at 4:35 p.m. • Public Meetings Law Ms. Christie reviewed the rules for complying with the Public Meetings law with respect to open and closed meetings. She pointed out that, while the press could not report on the discussion of the subject of an executive (closed) session, it could report on off topic discussion. Therefore, it was important to stay on topic during an executive session. She noted that the Council could not make a decision in an executive session. She encouraged the Council members not to give the appearance of discussing City business at social gatherings. She discussed the use of e-mail, which was a public record. She cautioned the Council to avoid meetings over e-mail because a discussion of City business at any time by a quorum of the Council qualified as a public meeting. Mr. Powell concurred. Ms. Christie noted the exception to the rule: Council tours. Mr. Powell recommended that any conversation during a tour relate solely to the onsite inspection, leaving any deliberations for a public meeting. The Council discussed how to handle questions about an agenda item via e-mail. Mr. McIntyre asked the Council to send technical questions to the appropriate staff member. He indicated that if a Council member discussed a policy question with a staff member, then he/she should forward the answer to everyone. He explained that they should not send the question to everyone because, if everyone weighed in, then they have effectively convened an unintentional online meeting, which they should avoid. Mr. Lashbrook pointed out that questions to staff members on a quasi-judicial matter were not ex parte contacts. Mr. McIntyre indicated to Councilor Tierney that he preferred Council members to communicate directly with the author of a staff report, which would always be the department head, no matter which staff member actually wrote the report. He indicated to Councilor Johnson that he did not mind a Council member sending him a copy of the e-mail with the question. Mr. Powell emphasized that a quorum of Council members at a social gathering trod a fine line with respect to an ethics violation. He urged caution in any situation that presented the appearance of Council deliberations, whether or not the Council members were actually talking about City business. He noted that three members talking together did not represent a quorum, and therefore was technically not a public meeting, but appearance was still an issue. • Public Records City Council Special Meeting Minutes Page 5 of 11 January 7, 2009 41 Ms. Christie emphasized that every communication dealing with City business, including e-mails, were public records, which someone could request. She stated that the Council members were required to maintain public records. Councilor Jordan suggested forwarding an e-mail received at a Council member's personal e- mail address to the member's City e-mail address, and answering from the City address. Mr. Powell confirmed that if a Council member consistently did so, thus separating City e-mails from personal e-mails, then hopefully a judge would not order an inspection of a Council member's computer hard drive at home, in such an event that that became necessary. He pointed out that if Council members sent City business e-mails to the City distribution list, then Ms. Christie would take care of archiving the records. Mr. Powell discussed confidential records versus public records. He emphasized that a communication could reasonably be considered confidential if the City was not obligated to disclose it, or when the public interest would suffer by the disclosure. He urged caution with respect to frank communications, as conditional exceptions were always conditioned on the public interest disclosure outweighing what one wanted to protect. He recommended the safe route of considering everything as disclosable. Mayor Hoffman commented that something to be wary of was a mistake that he has made in the past of forgetting whether he learned a piece of information in executive session or open session. • Councilor Communications Mr. Hertzberg noted the importance of Council members having the same expectations with respect to Council communications. Councilor Jordan recalled that the past Council's practice regarding discussions between two Council members on a current issue has been for the Council members to have a private phone conversation regarding the matter. She commented that it was important not to feel ganged up on by four members who decided something together without talking to the other three. She indicated that, while she was not aware that situation has occurred at Lake Oswego, she did know that it has happened in many other places. Councilor Moncrieff said that she preferred one-on-one phone conversations or face-to-face conversations over e-mail. Councilor Johnson indicated that she also preferred one-on-one conversations, as long as they were used to talk about things generally, and not to lobby for something. Councilor Tierney stated his preference for e-mail communication. Mayor Hoffman spoke keeping others informed to avoid being surprised. Councilor Jordan said that she thought that the e-mail exchange system proposed by Mr. McIntyre would help with Council communications by removing the possibility of potential deliberations. Councilor Olson commented that she saw too many one-on-one phone conversations as an unhealthy sign. She stated her preference for e-mail. Councilor Johnson recalled that the only time she called people individually was to bounce an idea off someone before possibly embarrassing herself in an e-mail. She pointed out that it was difficult during a meeting to raise new issues not on the agenda. Mr. McIntyre suggested that Council members use him or Mr. Powell as a sounding board for new issues. Mayor Hoffman commented that the Council has raised new issues at study sessions for discussion before setting it as an agenda item. The Council agreed on the importance of the no surprises' rule. • Study Sessions Mr. McIntyre explained that study sessions were an invaluable staff resource for shaping the staff work and educating the Council on a given issue. He discussed how study sessions helped insure that there were no major surprises during public hearings. Councilor Johnson suggested holding meetings every Tuesday evening and discontinuing the Monday afternoon and Tuesday morning meetings. Councilor Tierney spoke to holding as many study sessions as needed to do the work, but preferably not at 2 p.m. Ms. Christie clarified that City Council Special Meeting Minutes Page 6 of I I 42 January 7, 2009 study sessions were televised on a delay basis. Councilor Jordan commented about the need to coordinate additional Council meetings with the other meetings Council members attended outside of City Council meetings. Mr. Hertzberg summarized the Council agreement as holding meetings only when needed, and holding either business meetings or study sessions every Tuesday night in the City Council Chambers so that they could be televised. • Tuesday morning meeting/Council Packet/Consent Agenda The Council discussed the 7:30 a.m. Tuesday meetings. Councilor Jordan explained that their purpose had been threefold: to review the evening agenda and to request any additional information from staff, to discuss pulling items from the Consent Agenda, and to present minutes corrections. She concurred with Councilor Johnson that sometimes the morning meetings went into study sessions or executive sessions. Mayor Hoffman mentioned that, because of his complicated conflicts of interest checks, he needed to get the packet on Thursday, instead of on Friday. Mr. McIntyre said that staff could produce the packet whenever the Council wanted it produced. He suggested that Council members submit their minutes corrections directly to Ms. Christie. He also suggested, since Council members would have five days to review the packet before the Tuesday meeting, that they contact him and/or staff with any questions before Tuesday in order to allow staff adequate time to respond. He said that he would call everyone on Monday to touch base on whether a Council member had any issues or questions. He pointed out that the tradeoff to discontinuing the Tuesday morning meeting was potentially longer Tuesday evening meetings. The Council discussed how to handle pulling items from the Consent Agenda. Mr. McIntyre indicated that his preference was for Councilors to call him about pulling an item off the Consent Agenda, as he might be able to clarify their questions or concerns. If an item did end up being pulled, he would notify the other Council members via e-mail. Councilor Jordan spoke to making a Council consensus decision to pull something off the Consent Agenda. She pointed out that if she had a question about an item, probably someone else did too, but he/she might not realize it until the reading of the Consent Agenda during the meeting. She suggested going through Mr. McIntyre first to get an answer, and then communicating both the question and the satisfactory answer to the rest of the Council. Councilor Jordan suggested having a deadline, such as 3 p.m. on Monday, for Council members to bring agenda questions forward. She held that waiting until 3 p.m. Tuesday to raise a question was unfair to staff. Mr. McIntyre indicated that he did not want to preclude anyone from asking questions on the agenda at any time. While he did not want to pull things off the Consent Agenda, he believed that the Council could pull something from the Consent Agenda up to the minute it was read. He stated that his desire was to help the Council run an efficient meeting to the extent possible. The Council discussed reading the Consent Agenda. Mr. McIntyre questioned the purpose of reading the Consent Agenda. He described it as an inefficient use of time, and stated that he did not see any value in doing so. He suggested putting the Consent Agenda titles up on the screen with the camera focusing on them while the Council talked about the Consent Agenda. People in the audience could read it in the packet. Mr. Powell indicated that that was fine as long as it was displayed so people could see it. Councilor Johnson spoke of putting it up long enough for people to read through it. Councilor Johnson indicated that she was fine with questions or items pulled from the Consent Agenda going out through e-mail (after going through Mr. McIntyre), as long as it did not engender discussion. The Council concurred with the process suggested by Councilor Jordan. The Council indicated to Mr. McIntyre that it was not important to know who asked to pull an item. City Council Special Meeting Minutes Page 7 of 11 January 7, 2009 43 Councilor Jordan indicated to Mayor Hoffman that the Council has resolved the issues she had with discontinuing the Tuesday morning meeting. Mr. Hertzberg noted that there was consensus not to hold a Tuesday morning meeting. • Meetings Mr. Hertzberg asked how to bring the new Council members up to speed on the issues with which the senior members were familiar. Councilor Johnson suggested using study sessions, not so much for educational information, but for the Council to discuss where things were now and how the Council got there. She spoke to the importance of all Council members being on the same page. Councilor Moncrieff commented that these study sessions would help with the spirit of transparency, in that the new Council members could ask questions and get clarification in front of the public, so that everyone would know where the Council was at. Councilor Jordan asked for clarification on the meeting schedule, noting that she had planned her vacations around the old schedule of no meetings on the fourth Tuesday. She commented that she did not want to miss out on important decisions while she was absent. Mr. McIntyre indicated that the first and third Tuesdays would remain business meetings, while the second, fourth, and rare fifth Tuesday would be study sessions. Mayor Hoffman pointed out that they could also hold study sessions following the regular business meeting. He acknowledged Councilor Jordan's concern but noted that he would have to miss meetings if he had an out-of-town trial. Councilor Olson suggested agreeing that the Council make no major decisions during study sessions. Councilor Jordan spoke of the importance of publicizing the changed meeting schedule and the intent to record and later televise every study session. Mayor Hoffman commented that, while he was okay with televising the study sessions, he did not want them driven by where the camera was. If necessary, the Council could meet some place else. The Council discussed Mayor Hoffman's proposal to change the meeting time from 6:00 p.m. to 6:30 p.m. It agreed by consensus to do so. The Council discussed Mr. McIntyre's suggestion to hold executive sessions during the dinner hour when people were fresh, instead of after the meeting when people were tired. It agreed to hold executive sessions at 6:00 p.m. while eating dinner. Mr. Powell mentioned that the Council would have to vote to reschedule the starting time. Mayor Hoffman asked for a resolution on January 20 changing the meeting time to 6:30 p.m. • Expectations of Mayor Hoffman as Presiding Officer Mr. Hertzberg mentioned hearing expectations from Council members, such as helping to build consensus but not going overboard with that, and recognizing that there was a time to bring things to closure and keep the Council on track. Mayor Hoffman described his style. He mentioned preferring a nodding of heads indicating the sense of the Council in making a decision to the more formal motion style of Roberts'Rules of Order. He stated that his role was to be a facilitator, as Mayor Hammerstad had been. He indicated that all Council members were equal. He emphasized the importance of transparency and no surprises. • Council Interaction with Citizens Councilor Jordan raised the issue of how the Council should interact with citizens during the Citizen Comment period, which was different from interacting with the public during a public hearing. Councilor Tierney commented that he thought it was a disservice to the citizens taking the time to testify at a public hearing for the Council not to interact with them. City Council Special Meeting Minutes Page 8 of 11 44 January 7, 2009 Mayor Hoffman pointed out that typically Citizen Comment involved an unexpected issue for which the Council had no immediate solution. Therefore, the Mayor usually thanked the citizen for the testimony and directed him/her to meet with the appropriate staff. With respect to a public hearing dealing with a specific issue, he indicated that the Council as a group needed to decide how to handle interacting with citizens. He spoke of handling it on an individual case basis because the Council's response depended upon the situation. Councilor Olson described how the Planning Commission started handling Citizen Comment, which resulted in informal conversations with the public about topics raised by the citizens. She said that the benefit from doing that far outweighed the longer meetings. She concurred with Councilor Tierney that a citizen bothering to testify deserved some interaction, whether at a public hearing or during Citizen Comment. She suggested extending the time limit to five minutes. Councilor Johnson indicated that she would look to the Mayor to make the decision on how much the Council interacted with the citizens at any given meeting, because the amount of that interaction depended on the subject under discussion and on the meeting agenda. She commented that, since the Council usually let people go over the three-minute time limit, she did not think that they needed to change it. Mayor Hoffman indicated that he did not mind Citizen Comment exceeding the three-minute time limit. Councilor Jordan discussed the differences she saw between Citizen Comment and a public hearing. Citizen Comment was a time for a citizen to comment on something not on the agenda, which made it difficult to prepare information or to answer off the cuff. She spoke of the importance of balancing out the fairness issue of people receiving equal amounts of time. She commented that, as individual Council members, they needed to be careful during public hearings when responding to a particular person or issue in order to avoid that person concluding that the Council was supporting his/her position. Councilor Tierney spoke of finding a process that allowed people concerned enough about an issue to testify about it to feel like the Council has listened to them. He also mentioned that staff, when answering citizen questions, needed to speak into the microphones because the acoustics of the back of the room were not good. Councilor Moncrieff concurred with Councilor Jordan that giving testimony as a citizen was intimidating, and that people could easily draw the wrong conclusion from a Council member talking with them. She agreed with Councilor Johnson that handling testimony was up to the facilitator. She spoke of the fairness issue with respect to public hearings, recalling that if she gave her testimony and sat down after the time limit, and then the next person got into a dialog with a Council member, she had felt that that was not fair. Mr. Hertzberg summarized the goal as demonstrating respect for people and letting them know that they have been heard. • Meeting Process The Council discussed using a formal versus informal process during the business meetings. Councilor Johnson commented that she saw having rules and a respect for the process as an important part of the respect for the office. Therefore, she preferred more formality during the business meetings, although more informality during the study sessions was fine. Councilor Olson indicated that, based on her experience at the Planning Commission, she preferred a more informal approach. She spoke of being flexible when possible within the meeting structure. Councilor Jordan commented that the benefits of the formal process were making everyone feel like they knew what was coming next, and maintaining order. She suggested setting aside one of the Tuesday nights for a Town Hall meeting with informal give and take between the Council and the audience, while keeping the business meetings more formal. City Council Special Meeting Minutes Page 9 of 11 January 7, 2009 45 Councilor Tierney indicated his preference for a formal meeting process. Councilor Moncrieff said that she preferred structure and process. She mentioned that she liked the idea of a Town Hall meeting separate from the regular meetings. Mayor Hoffman indicated that he expected to receive feedback from the Councilors regarding his conduct of a meeting, especially through non-verbals as he looked around the dais. He spoke of interacting with the community in combination with the Council working as a group as efficiently as possible. • Order of the vote The Council discussed the order of the vote. Councilor Tierney expressed a preference for the vote order rotating each week, but with Councilors remaining in the same seats. Councilor Jordan pointed out that the Council rarely did a roll call vote. Mr. Powell indicated that the rules called for the order of the vote to rotate each week but did not require that the Mayor vote first. Mayor Hoffman said that Mayor Hammerstad had told him that she had wanted to be first as the group leader. Councilor Olson indicated that she did not feel strongly about the issue, and would support Councilor Tierney's expressed wish. Councilor Moncrieff agreed with Councilor Tierney that the order should rotate each week. The Council agreed that it was up to the Mayor to decide whether he would go first. Mayor Hoffman elected to go first. The Council agreed that the order of the vote would rotate each week with the Mayor going first. Ms. Christie would keep track of it and notify the Councilor going first after the Mayor. Councilor Jordan suggested that, at the start of a meeting, the Council ask for all cell phones to be turned off, and to announce the availability of hearing aid devices. lbs. Christie noted that she published the information about the hearing devices on every agenda. • Goal Setting Mr. Hertzberg directed attention to the list of topics that he gathered from his interviews with the Council members. He mentioned two items to keep in mind: what were the milestones that the Council wanted to see this year, and how did the Council communicate on each of the issues? He asked if there were any items (after the top five), which a Council member felt needed more attention during the presentation. Councilor Olson spoke of bringing the Council up to speed on the upcoming planning issues, including periodic review, visioning, the code, the Matrix study, and infill and sensitive lands. Mr. McIntyre asked for clearer direction on some of the one or two word topics, as he did not know what the original question had been that led to a Council member mentioning the topic. He noted that all the department heads would attend the Friday meeting, but not the Saturday meeting. Mr. Hertzberg said that the question he had asked was what the Council member saw as the most important goals for the Council and the City in the next year. He pointed out that some of the topics meant different things to different people. Councilor Tierney asked what they were defining as `a goal.' Mr. Hertzberg said that, in the past, the Council has defined 'a goal' as something that the Council needed to keep its eye on over the course of the year. He spoke of a goal as having an endpoint for the year, an `x' amount of progress that would be made. He pointed out that there was a real difference between Council goals and City goals, with which the Council had little to do. Mr. McIntyre commented that he believed that the Council wanted quality results from staff. He described a goal as a task to which the Council was willing to dedicate resources, which would be at the expense of a lower priority item. He said that, in order for him to set a budget and start moving forward, he needed the Council to identify the top x number of items it wanted pursued this year. City Council Special Meeting Minutes Page 10 of 11 46 January 7, 2009 Mr. Hertzberg recalled that one of the most effective goal setting techniques the Council has used occurred last July when the Council used a triage process in deciding what it could get done in the next six months before the new Council came in. 4. ADJOURNMENT Mayor Hoffman adjourned the meeting at 6:50 p.m. Respectfully submitted, ?woe a(Pii:104L Robyn Christie City Recorder APPROVED BY THE CITY COUNCIL: ON Jack D. Hoffman, Mayor City Council Special Meeting Minutes Page 11 of 11 January 7, 2009 47 01 r�KE oswt CITY COUNCIL SPECIAL MEETING A446MINUTES February 10, 2009 Mayor Jack Hoffman called the special City Council meeting to order at 6:36 p.m. on February 10, 2009, in the City Council Chambers, 380 A Avenue. Present: Mayor Hoffman, Councilors Jordan, Hennagin, Moncrieff, Olson, and Tierney. Councilor Johnson was excused. Staff Present: Alex McIntyre, City Manager; David Powell, City Attorney; Robyn Christie, City Recorder; Brant Williams, Director of Economic and Capital Projects; Kim Gilmer, Parks & Recreation Director 3. STUDY SESSION 3.1 Background Presentation Facilities/West End Building Mayor Hoffman observed that City facilities had not only physical capital for the community but also social and economic value as well. He noted that, while the Council has known for some time that these City facilities had difficulties, it has not focused on them until the last six to eight months. He explained that the Council was trying to get to a comprehensive understanding of the community's assets, including the West End Building (WEB). He reminded the Council members that they should not rush to a decision on this issue; it might take several study sessions to address it. Mr. McIntyre pointed out that an important factor was to acknowledge that this was a problem or opportunity that the City owned. Even though six of the Council members had nothing to do with the WEB purchase, this Council needed to decide what to do with it. He noted that the issue was complex, and involved a large amount of data. He described the information in the Council binder as the first major snapshot in time on where the City was with the WEB. He commented that he thought it remained to be seen whether the WEB was part of the problem or part of the solution to the other facility problems. He said that staff needed direction from the Council on whether to include the WEB in the entire facilities study. He described the presentation tonight as providing a foundation for the decision makers to use in giving staff direction on the next steps on how to move forward. • STAFF REPORT Mr. Williams gave a PowerPoint presentation of the information contained in The West End Building Decision Process Report(pp.1-27) and Exhibit A (pp.1-8). He reviewed the history of the WEB, beginning with the City purchasing it from Safeco Insurance in 2006 for $20 million with the intent of using it as a multi-generational community center. He mentioned the Community Center Plan, developed by the 20-member citizen steering committee in the summer of 2007, which the City immediately put on the shelf in order to deal with the November 2007 advisory vote on whether to keep the WEB, and with the May 2008 vote on paying for the building (which failed). He indicated that the Council adopted the WEB decision process as part of deciding what to do with the property within the context of other City facility needs. One question was whether the City could use the WEB to resolve other facility problems. He stated that the goal was to provide sufficient information to the Council to enable it to make an informed decision, which, ideally, the community could support (WEB Report, p.1). City Council Special Meeting Minutes Page 1 of 10 February 10, 2009 49 He reviewed the major work plan reports and studies conducted by staff, beginning with the City Facilities Assessment (WEB Report, p.1-2). He explained that, since Solarc Architecture was already looking at the Maintenance Services Building, staff incorporated their report into the report that SERA Architects did on an additional nine significant City buildings, for a City facilities assessment of 10 buildings. The assessment looked at the physical condition and the current and future space deficiencies at the four fire stations, the indoor tennis facility, the Maintenance Services Building, the WEB, City Hall, the Library, and the Adult Community Center (ACC). He reviewed common problems found in the buildings (WEB Report, p.2). He emphasized that the seismic deficiencies were most critical with respect to the facilities that provided emergency services. He commented that the life span of most mechanical systems was 20 to 30 years, and, therefore, many of the mechanical systems on buildings built in the 1970s and 1980s needed replacement in the next few years. These buildings also pre-dated the Americans with Disabilities Act (ADA) requirements, and needed upgrading. He identified City Hall, the Maintenance Services Building, and the South Shore Fire Station as the buildings with the most deficiencies (WEB Report, p.2). He described City Hall as the most critical facility in terms of health and safety issues and space needs. He noted that the West End Building Property Appraisal (WEB Report, p.2) appraised the building and property at $21.3 million in September 2008. However, with the change in the economy since then, staff asked CB Richard Ellis to conduct a real estate and office market analysis for City facilities (WEB Report, p.2-3). Their work assessed the current market values of City Hall at $4.1 million, the Library at $2.7 million, and the ACC at $4.7 million. Under current market conditions, they concluded that the WEB would likely sell for $8 to $9 million. He reviewed the recommendations made by the Urban Land Institute expert panel (WEB Report, p.3). He discussed the findings of the staff review of existing City policies (WEB Report, p.3-4). He described the various public outreach efforts (WEB Report, p.4-5). He explained that the public opinion research conducted by Davis, Hibbetts, & Midghall, inc., looked to hear from the bell portion of the bell curve of Lake Oswego citizen opinion by using a large group study format (WEB Report, p.4). • QUESTIONS OF CONSULTANTS Mr. Williams invited Don Eggleston of SERA Architects, Mark Fitkin of CB Richard Ellis, and Adam Davis of Davis, Hibbetts & Midghall to the table to answer Council questions on their reports. Councilor Hennagin commented that he had been surprised that the CB Richard Ellis valuation of the ACC was higher than the valuations for City Hall or the Library. Mr. Fitkin confirmed that the amount of land at each site primarily drove the valuations. Mr. Williams pointed out that, if sold, both the Library and the ACC properties would likely return to single family residential: 13 lots on the 2.8-acre ACC property and 8 lots on the 1.1-acre Library property. Councilor Olson asked whether CB Richard Ellis would change its recommendation to keep the WEB for at least three years if it knew that the City has not paid for the building and was losing money every year that was kept. Mr. Fitkin explained that they based their valuations solely on the market conditions today: they did not use the acquisition price. He commented that they did consider the purchase price in concluding that this was not a good time to sell the building because, under current market conditions, the $8 to $9 million the City would likely get for the building would not recoup the City's $20 million investment. Mr. Fitkin indicated to Councilor Tierney that, given the fact that the commercial real estate market on the West Coast was virtually frozen at this time, it could take more than a year to sell the WEB for$8.5 million. He noted that the Farmers Insurance building sat on the market for 17 to 18 months before it sold. City Council Special Meeting Minutes Page 2 of 10 February 10, 2009 50 He concurred with Councilor Tierney that the excess land on the WEB property had value, which the City could partition off to provide additional uses. He confirmed to Councilor Jordan that the City could potentially realize less money selling the property as a whole than it would selling it in partitions. He explained that the challenge was that the demand for development was virtually non-existent right now. At Mayor Hoffman's request, Mr. Davis provided background information on his firm, which specialized in public policy and planning work. He mentioned that, with the increasing difficulty in obtaining opinions via telephone surveys, his firm was using other research techniques, such as focus groups, more and more. Councilor Tierney asked if the large group study sample truly represented the bell shaped curve. He wondered whether there would be any changes in the results if Mr. Davis conducted the study today. Mr. Davis indicated that they worked hard to make sure that the three large groups in this study were representative of the Lake Oswego community, including the young people. He stated that the Council could feel confident in what they learned through the study. He described the information learned as `tough news.' A majority of citizens wanted the City to keep the building, and a majority of citizens did not want to pay for it. He commented that the situation has changed since they conducted the group study, and not for the better because of the economy. He mentioned seeing more anti-tax sentiment than ever in communities, and a need for communities to set priorities on their identified needs. He indicated that the item that trumped everything else in issues like this was maintenance. He described the message from the citizens as the Council needed to make sure to preserve the public investment in these buildings before asking for more money to expand existing facilities or build new ones. He emphasized that these were very tough times for the average Oregonian across the state. Councilor Hennagin commented that the lack of information provided to the study participants regarding the details of the health and safety issues in City Hall caused him to question the benefit of their responses to the Council in making a decision. Mr. Davis said that the information sheet provided to the participants did include information about the conditions in each of the several facilities under consideration during the three-hour study. He indicated that the skeptics in the group simply did not believe the information, while another contingent held that the City could take care of the mold problem, do basic maintenance, and get the building back into shape. He confirmed to Mr. Williams that he had not seen the cost information as critical because they were looking at policy direction. He explained that if they had given the participants the cost information, then they would have had to translate it into how it affected their pocketbooks. He indicated that they had wanted to get the participants' opinions based on the information that they brought in with them, since the study group was also representative of the different levels of awareness in the community. Councilor Jordan recalled that she had shared Councilor Hennagin's concerns with regard to the study. She commented that she had been amazed to realize that the background information provided to the participants apparently did not matter to them. She raised the question of whether it was a good investment of public money to spend money on a building that the more one poured into it, the less one got out of it. She asked how to translate that to a skeptical public that did not see any problems with the building. She described the situation as a 'Catch-22' because staff has done maintenance in keeping up appearances. Therefore, the public did not see the damage in City Hall. She observed that it was difficult explaining to the public why it would be cheaper to rebuild City Hall from the ground up than to retrofit the existing building. Mr. Davis recounted an anecdote of speaking before the Revenue Restructuring Task Force, which was thinking about implementing a sales tax as a replacement tax for income and property taxes. He told the Task Force that the negativism and cynicism among the people at this time was City Council Special Meeting Minutes Page 3 of 10 February 10, 2009 51 so great that even conducting 40,000 focus groups across the state would only give them a chance of convincing the public. Councilor Tierney asked if the information received from the public was sufficient at this stage. If so, how should the City best approach the issue in terms of public engagement and communication? Mr. Davis said that, in his opinion, a specific proposal developed by the City, which included the cost to the average taxpayer in Lake Oswego, would be worth doing additional research on. He indicated that simply asking general questions about how people felt about the WEB would yield no different information than the Council already had. He reiterated that any tax measure would have a tough go at this time. He encouraged the Council to think creatively about tax measures, including possible public-private partnerships. He cited an example of a wealthy individual in the North Clackamas Parks District who offered to put in $1 million if the taxpayers would commit to a given amount. He spoke of an extensive public outreach process, including building coalitions around specific issues, such as the Library. He indicated to Councilor Tierney that he would recommend taking out no more than three options to the community for discussion. Councilor Hennagin stated for the record that he had outside knowledge of single-family homes coated with the same EFIS building skin as used on City Hall, which had to be skinned down to their studs and re-done with new materials. Mr. Davis suggested framing the facilities question in terms of infrastructure, as the citizens were in the frame of infrastructure moving forward for the next couple of years. He pointed out that taxpayers tended to respond to opportunities for matching grants, as they did not want that money going somewhere else. Mr. Davis indicated to Mayor Hoffman that if his team picked another representative sample of Lake Oswego citizens and replicated the study, he was 100% confident that the numbers would be more or less the same. Mayor Hoffman mentioned that that was important to him in terms of the study findings being statistically significant. Mayor Hoffman noted that the classic public participation program had four steps: inform, listen, engage, and problem solve. He asked if there was a collaborative participation model that the Council could use to work with the community in arriving at a solution. Mr. Davis said that in order to do the problem solving and reach consensus, the City would have to provide the cost information to the public. He clarified that presenting the facilities cost information in isolation was problematic because the public was also thinking of all the other things that their tax dollars paid for. Taxpayers wanted to know what the cost meant relative to the impact on other City services. Without the cost information, the Council would not end up with the valid information that it was looking for. Mayor Hoffman observed that the buildings also had a social value attached to them, in addition to the physical value. Mayor Hoffman asked if the consultants have used methodologies other than the large focus groups to create a collaborative public engagement process that yielded a solution. Mr. Davis mentioned survey research techniques, such as the Delphi technique of holding several rounds of interviews to build consensus. He pointed out that the key to any technique was the recruiting and who came to the table. Councilor Moncrieff asked how the online survey results compared to the large group study results. Mr. Davis said that the patterns were similar, although there was more polarization in the online survey. Mr. Williams asked Mr. Eggleston, President of SERA Architects, to discuss their analysis of the cost to replace City Hall versus the cost to repair City Hall. Mr. Eggleston provided background information on his firm and his experience. He mentioned that he was also a resident of Lake City Council Special Meeting Minutes Page 4 of 10 52 February 10, 2009 Oswego. Mayor Hoffman said that he could not remember whether SERA Architects was a client of his law firm. Mr. Eggleston recalled that the estimate his firm did two and a half years ago for City Hall looked at the building as an `essential facility,' a facility that housed the first responder units of the police and the 9-1-1 call center. He explained that this meant upgrading the building to a standard 25% higher than the current seismic code for Zone 3 (the area had been zoned Zone 2 when City Hall was built). He reviewed the problems with City Hall, including mold, an overtaxed electrical system, an aging roof, failing windows, and the deteriorating EFTS building skin. He described the difficulties involved with renovating an occupied building. He explained that their analysis concluded that by the time all the needed work was done and systems replaced for the existing building, it would be cheaper and simpler to demolish the building and build a new one. Mr. Davis mentioned that they saw a real concern in the groups respecting seismic safety, especially as it related to the emergency responders. He stated that sustainability was another element that resonated with the public. Whatever the City did, it should commit to doing in a, sustainable way. He recalled that one of the most powerful campaign themes for the recent Oregon Zoo bond was that the Zoo would do all the construction in a sustainable, green kind of way. Mr. Eggleston indicated to. Councilor Olson that their estimate to build new included both a green building and the demolition costs. Councilor Olson asked how urgently were the repairs or replacement needed. Mr. Eggleston pointed out that, with the mechanical systems nearing the end of their lives, the building was near the end of its useful life too, unless the City made some major investments in it. He explained that `major investment' meant replacing the systems, redoing the exterior basically taking the building back down to the structure. He raised the question of how did one replace a mechanical system in a building with a mold problem. Mr. Eggleston confirmed to Councilor Jordan that, if the City relocated the police department and the 9-1-1 call center to somewhere other than a new City Hall or the WEB, then those two buildings would not have to meet the higher seismic safety standard required for buildings housing emergency and essential service providers. He confirmed to Councilor Olson that the seismic requirements for assembly space were in between the requirements for emergency responder services and regular office space. He mentioned that Safeco seismically upgraded the WEB following the Northridge earthquake. He explained that, not only have the code requirements for seismic safety changed since then, the earthquake zone for the building has changed from Zone 2 to Zone 3. Councilor Tierney asked how Mr. Eggleston would answer a skeptical citizen who asked how the City got into this situation with a 22-year-old building. Mr. Eggleston reiterated that several of the systems were near the end of their life. He commented that, while he could not give the history of the exterior skin of the building, he knew that there were two-year-old townhouses just down the street tented for exterior work. Mr. Davis mentioned that they heard that question in the groups: there are 150-year-old buildings on the East Coast and even older buildings in Europe, so why is this happening to a 22-year-old building? Councilor Jordan observed that back then, they built with stone and not with EFTS. He clarified to Councilor Hennagin that the majority supported moving police and the 9-1-1 call center to the WEB, partly because of its central location. Mayor Hoffman noted that the Urban Land Institute had suggested that the WEB was not a good place for those services because of other land use and development issues. Mr. Williams stated that the large group participants had supported police/9-1-1 and additional library services as reasonable uses at the WEB. City Council Special Meeting Minutes Page 5 of 10 February 10, 2009 53 Mr. Williams indicated to Councilor Hennagin that CB Richard Ellis provided a cost estimate for a WEB remodel if the City moved its offices (not including emergency services) to the WEB. Mr. Eggleston indicated to Councilor Moncrieff that, since the WEB as already an office building, the City would only have to re-do the office space at the WEB to meet staff needs and to accommodate the assembly space. He said that there was localized water intrusion in different spots. He reiterated that the building has been seismically upgraded since it was built. Councilor Moncrieff asked if there was any assurance that the WEB was not at the end of its life cycle. Mr. Eggleston indicated that the City would need to take a serious look at upgrades needed for the building. He suggested taking advantage of whatever sustainable design upgrades it could in order to try to get the building to LEED Silver status, and obtain business energy tax credits. He confirmed that the WEB was in much better shape than City Hall. Mayor Hoffman asked what someone would see on a tour that would tell himlher that City Hall was at the end of its useful life and had all these problems. Mr. Eggleston said that City staff was doing a very good job of maintaining the interior and checking for air quality inside the building. He indicated that if one walked around the outside of the building, one would see windows failing. He emphasized that they did not want to open up the exterior wall because that was where the mold was. He referenced photos contained in their report on City Hall that showed the damage inside the exterior walls. He confirmed that if they removed the outside building skin to show the large group participants what was there, the participants would see mold. He said that he would take a tour group upstairs to show them the boiler and electrical closet and the substandard space for employees. He spoke of taking the group up on the roof to show its poor condition and the deteriorating mechanical systems, some of which they were having difficulty finding replacement parts for. Mr. Davis concurred that such a tour would undoubtedly have an impact on the participants, especially if one pointed out that the police and 9-1-1 were downstairs. He reiterated that the first thing the participants would ask was how the building got into this shape in only 22 years. Mr. Williams indicated to Councilor Olson that finding replacement parts for the mechanical systems depended on what type of system had been put in. There were systems at both the WEB and City Hall for which they could not find replacement parts because those systems were no longer made. Mr. Eggleston confirmed to Councilor Moncrieff that there were opportunities to upgrade the WEB to the LEED Silver standard. He mentioned a recent State requirement that 1.5% of the construction cost of any building intended for public use be spent for solar initiatives on the building, such as solar hot water, a passive solar system, or solar panels. Mr. Fitkin pointed out that if City Hall were a multi-tenant building, it would be tagged as tainted and next to impossible for his firm to lease on the open market. He observed that, in such a case, the dictates of the law were irrelevant: people simply would not use the space. Councilor Jordan referenced the history of City Hall. She commented that the City built the building for a price tag that it thought the people could accept; it did not necessarily build something for all time. She pointed out that when one bought something less expensive than something else was, one usually ended up paying for it many times during its lifetime. She concurred that citizens found it hard to believe that City Hall had all these problems because the City kept up the building's appearance, and most of the problems were hidden. Mr. Fitkin mentioned his credentials as Managing Director for CB Richard Ellis, an international commercial real estate services provider. Mayor Hoffman recessed the meeting at 8:05 p.m. for a break. He reconvened the meeting at 8:20 p.m. City Council Special Meeting Minutes Page 6 of 10 54 February 10, 2009 • Facilities Assessment Report, (WEB Report, pp.9-27) Mr. Williams presented a PowerPoint presentation of the report detailing the assessments of six facilities: City Hall, Library, Maintenance Services Building, South Shore Fire Station, Adult Community Center (ACC), and West End Building (WEB). He explained that, for each facility, they looked at four elements: building conditions, space program needs, options (including estimated options costs), and public opinion. He reviewed the multiple and significant building and systems deficiencies in City Hall (WEB Report, p.8). He noted the need for more office space, especially for police and 9-1-1 dispatch (WEB Report, p.9). He explained that he derived the recommended City Hall square footage increase to 80,000 square feet based on an eventual Lake Oswego population of 50,000. He presented pictures illustrating the serious mold problem inside the walls, and the water leakage in the basement. He reviewed the main four options and associated costs for addressing the City Hall issues (W►EB Report, pp.9-10). He indicated to Councilor Hennagin that the $25 million cost for Option 1 including the purchase price of the WEB. He clarified to Councilor Olson that the $20 million purchase price of the WEB did not include the $3 to $4 million already spent by the City because those were 'sunk costs,' which the City could not recoup regardless of what decision the Council made. He indicated that staff could easily provide costs for the additional five options listed (WEB Report, p.10), including locating police and 9-1-1 at a location other than the WEB (although that would add a property purchase price to the building a new center cost). He clarified to Councilor Olson that he did not include a land purchase price in (2) (c) in Exhibit Q (building a new City Hall at another downtown location) because it should be mostly offset by selling the current site. He concurred with Councilor Jordan that the estimates did not include the cost of the additional land needed to expand the parking for any of these options. He indicated that he used $25,000 per stall in his cost estimate for a parking structure. He noted that SERA Architects' cost estimates for repairing City Hall versus rebuilding City Hall were two and a half years old. If the Council wanted to go in that direction, and, given the significance of the issue, he suggested taking the prudent step of getting another estimate by a different firm for a peer review of those numbers in today's market. He indicated to Councilor Hennagin that he would provide him with more information about the pros and cons of transferring 9-1-1 dispatch to Clackamas County. He mentioned that he and Mr. McIntyre have discussed developing a decision process for the Council to use in working through these issues and deciding on which option to move forward on. He indicated that Mr. Eggleston concurred that getting a second opinion on the costs was the right thing to do. He indicated to Councilor Jordan that all the scenarios proposed keeping the courtroom with the City Hall functions, and not separating it out with a new police and 9-1-1 dispatch center. He commented that, in talking with the Police Chief, the Chief felt that the priority was to keep 9-1-1 dispatch with the police. Councilor Jordan mentioned that the municipal judge had told her that he was comfortable with separating the court facility from the police facility. Mr. Williams clarified to Councilor Olson that a new police station would include a bigger evidence storage area, but storage for large evidence (i.e., vehicles) would likely remain at the Maintenance Services yard. He reviewed the public opinion results for dealing with City Hall, noting that 71% supported repairing the existing building (WEB Report, p. 10). He indicated that the participants knew that it would cost less to rebuild from the ground up than to repair the existing building (Exhibit K, p. 94). City Council Special Meeting Minutes Page 7 of 10 February 10, 2009 55 Councilor Hennagin commented that he had interpreted that result as the participants thinking that the City could replace things over time, rather than incurring the cost all at once. Councilor Moncrieff concurred. Mr. Williams clarified that they did not do a study on how much more it would cost to do incremental improvements over time, but staff did think it was a safe assumption to say that it would cost more to do repairs incrementally than all at once, because that was an inefficient way of working. He clarified to Councilor Moncrieff that the participants did not have any financial information. The information sheet only said that the study found that it would cost more to repair City Hall than it would to replace it. Mayor Hoffman suggested asking Mr. Davis to come back for a more in-depth discussion of the public opinion research results. Mr. Williams reviewed the results for locating police and 9-1-1 dispatch (WEB Report, pp.10-11). He noted that the results would move these services out of City Hall (63%). He reviewed the funding priorities, noting that funding police and 9-1-1 had the highest priority (WEB Report, p.11). He confirmed to Councilor Olson that the participants were only given four options, and they had to rank all of them, whether or not they wanted a particular option. He mentioned that the online survey differed from the large group study, in that the online survey broke the tie between the City Hall and the community center, with the community center coming in fourth. Mr. Williams reviewed the Library building analysis (WEB Report, pp.12-14). He noted that, overall, the building was in decent shape. He indicated that its major problem was a need for more space for all functions, including parking. He said that the two independent studies done on the library recommended between 60,000 to 65,000 square feet for a new library building. He stated that including land costs in the estimate for building a new library in the downtown raised the $19.1 million cost given in the report to $24 million. Councilor Jordan mentioned that there was money from the County and the Friends of the Library available for library use. Mr. Williams pointed out that the community center project had looked at building a 50,000 square foot library and adding space on as necessary. He reviewed the public opinion research results for the library, noting that 65% of the large group study participants favored keeping the library at its present location, with or without additional library services located elsewhere. He pointed out that 82% thought that the City should find a way to provide expanded library services to meet demand; 65% favored the WEB, and 20% favored a downtown location. He indicated to Councilor Olson that the online survey results were consistent with the large group study results. He reviewed the Maintenance Services Building analysis (WEB Report, p.15-16). He discussed the various building condition problems, including health, safety, code, seismic, roof, and program space issues. He noted the $7 million cost to replace the building, unless they relocated it to address the seismic constraints with the maintenance yard (which would increase that number considerably). He mentioned that public opinion split between repairing the existing building or replacing it. He indicated to Councilor Tierney that contracting out maintenance work to Clackamas County was an option. He recalled that Councilor Johnson had suggested checking with the School District about consolidating yards. Councilor Jordan mentioned that the Lake Grove study looked at moving the School District bus barn out of the middle of Lake Grove, but found that it was a money issue because the District contracted for their bus services. She commented that finding a site large enough to house both facilities within Lake Oswego could be very costly. Mr. Williams reviewed the South Shore Fire Station building analysis (WEB Report, p.17-18). He explained that the fire department wanted to store a particular truck at this location but the vehicle bays were too short for the vehicle. He mentioned the inadequate space for a variety of uses. He noted the City's purchase of the residential property on the east of the fire station with the intent to City Council Special Meeting Minutes Page 8 of 10 56 February 10, 2009 build a replacement station on that site. He indicated that the public opinion research found 53% wanting to keep and repair the building and 47% wanting to replace it. He indicated to Councilor Jordan that there were options for looking at expanding the existing fire station to accommodate larger bays without re-doing the entire station. He commented that doing so would be challenging, given that the cost of a new fire station was $2.6 million. Mr. Williams reviewed the Adult Community Center building analysis (WEB Report, p.19-20). He mentioned that the building had been put together piecemeal in the 30 years since it was built in 1975. He discussed the building condition deficiencies, but pointed out that, compared to the other buildings, it was in relatively decent shape. He indicated that it would cost $840,000 to fix the building problems, but that would not address the program space needs. The public opinion research found 73% wanting to keep the ACC on site and 27% wanting to move it to a new community center. Councilor Hennagin asked why the ACC needed more space if there were a declining number of people using the programs and facility. Ms. Gilmer explained that the social service programs offered at the ACC were increasingly busy, but the recreational programs have leveled off because the facility was outdated and not able to offer the more active recreation, and health and wellness programs that the members wanted. She indicated that the average age of the facility users was 68 to 70. Mr. Williams reviewed the West End Building building analysis (WEB Report, p.21-26). He noted the financing for the WEB, and the average of$894,000 in annual interest and $250,000 a year in operational costs. He discussed the building condition deficiencies (pp.21-22). He pointed out that this was the only City facility currently underutilized. He mentioned the six potential public uses for the building (p.22), and listed several potential private uses, such as office and education. He reviewed the options and costs for different scenarios utilizing the WEB for various configurations of City Hall offices, a library, and police/9-1-1 dispatch. These included moving City Hall permanently to the WEB, using the WEB for a temporary City Hall while the City either built a new one in the downtown or repaired the current building, and either leasing or selling some or all of the WEB property. He pointed out that they could mix and match the individual elements in the scenarios however the Council wanted. He mentioned the suggestion from the Urban Land Institute to consider longer-term development strategies for an east end anchor for the Kruse Way corridor, and redeveloping the property to make a better connection between the Kruse Way and Lake Grove corridors. He reviewed the public opinion results on the various WEB options (p.26). He indicated that, while no one option received majority support, 30% would sell the building and the remaining 70% chose options in which the City kept the property. He mentioned that police/9-1-1 and a branch library received the most support as the types of services to move out to the WEB. He commented that, while staff identified several funding options for addressing facilities needs, they needed Council direction on the types of public uses involved before exploring funding options further. Councilor Jordan thanked Mr. Williams for the thoroughness of the report. The Council discussed scheduling another study session to discuss the next steps. Councilor Jordan suggested holding off on having Mr. Davis back until the Council has discussed the options and removed the obvious ones from the table. The Council agreed by consensus. Mr. Williams asked the Council to inform him of any other options that the members wanted to look at, so that staff could start gathering that information. Councilor Olson asked for an updated cost estimate for replacing City Hall versus repairing it. She indicated that she had options questions as well as the overall issue of making decisions on the facility management plan. City Council Special Meeting Minutes Page 9 of 10 February 10, 2009 57 Councilor Tierney spoke to holding off on refining cost estimates until after the Council has narrowed the decisions and options. Councilor Jordan expressed interest in the mix and match of various options. Councilor Jordan asked if the City had a property survey of the commercial properties around Lake Oswego of an appropriate size to accommodate what the City was doing, or parcels that could be put together. Mr. Williams commented that, while some of that information was undoubtedly available, he would like direction in terms of what types of facilities the Council wanted to move forward on before really studying that question. Councilor Hennagin commented that, following his tour of the Maintenance Services Building, he found it hard to believe that any repair or remodel of that building would make it viable. He noted that the South Shore Fire Station also had issues, but he did not know how pressing the need was to address those two buildings. He pointed out that the other four buildings interrelated with each other. He spoke to dealing with the interrelated facilities first, unless something had to be done on the first two facilities within a couple of years. Mayor Hoffman spoke to working with the options presented tonight, so as not to overload staff with too many additional options. Council members could bring up more options during the next steps discussion. He asked for a tour of the buildings, looking at them from a skeptic's perspective, before the next study session. Councilor Olson spoke to taking some steps at the study session, as opposed to simply discussing the matter further. Mr. Williams said that staff would lay out a strategy for looking at all the different options so that Council could decide what to take off or leave on the table. Mayor Hoffman confirmed that the Council would make some decisions at the next meeting. Mr. McIntyre asked those Council members with additional options they would like to consider to talk to Mr. Williams about them. He commented that Mr. Williams might have information on a given option that could clarify things for the Council member, or he might need to obtain hard data on the option. He spoke to making the next study session as productive as possible. The Council discussed the next study session, and scheduling it as soon as possible. 4. ADJOURNMENT Mayor Hoffman adjourned the meeting at 9:44 p.m. Respectfully submitted, Robyn hristie City Recorder APPROVED BY THE CITY COUNCIL: ON Jack D. Hoffman, Mayor City Council Special Meeting Minutes Page 10 of 10 February 10, 2009 58 X es 0 !"F 8 • 1 0,t.N.Eos A., .t, 0,Al C1 ark ! ite, CITY OF LAKE OSWEGO COUNCIL REPORT --,,--„_.. OREGa14 TO: Jack D. Hoffman, Mayor Members of the City Council Alex D. McIntyre, City Manager FROM: Brant Williams, Director of Economic and Capital Development Darin Rouhier, Finance Director SUBJECT: A Resolution of the Lake Oswego City Council Authorizing the City Manager to Sign an intergovernmental Agreement between TriMet, Metro, Clackamas County, City of Portland and the City of Lake Oswego for the Portland to Lake Oswego Transit Corridor Project DATE: March 19, 2009 ACTION Adopt Resolution 09-13 of the Lake Oswego City Council authorizing the City Manager to sign an Intergovernmental Agreement between TriMet, Metro, Clackamas County, City of Portland and the City of Lake Oswego for the Portland to Lake Oswego Transit Corridor Project. INTRODUCTION/BACKGROUND At its March 24 meeting, City Council will consider the Intergovernmental Agreement (lGA) for funding the next phase of the Portland to Lake Oswego Transit Corridor Project. The IGA also includes defining project oversight and contracting responsibilities. The eventual project will be improved transit service between Portland and Lake Oswego on or adjacent to Highway 43. This phase of work includes a refinement study, the development of a Draft and Final Environmental Impact Statement, an application to FTA for selecting and funding a preferred alternative, and preliminary engineering of this alternative. This work is necessary in order to apply for and receive Federal funding for final design and construction of a future transit project. As stated in Resolution 09-13, a number of previous planning processes and actions have occurred leading up to this phase of the project. These include the purchase of the Willamette Shore Line right-of-way, the adoption of transit projects in regional transportation plans and funding programs, and most recently, Metro Council's adoption in December 2007 of the Lake Oswego to Portland Transit and Trail Alternatives Analysis: Alternatives to Be Advanced into a Draft Environmental Impact Statement 59 Council Report March 19, 2009 Page 2 and Work Program Considerations. The alternatives being advanced are a streetcar line generally on the Willamette Shore Line right of way, two alternative streetcar alignments in the John's Landing area, two terminus options in Lake Oswego at the Albertson's and Safeway sites, one minimal operable segment for streetcar, enhanced bus service on Highway 43, and the no-build alternative. DISCUSSION The Portland to Lake Oswego Transit Corridor Project is the region's next funding priority for transit behind the Milwaukie to Portland and the Columbia River Crossing light rail projects. Funds for the refinement study, environmental impact statement and preliminary engineering will come from local agencies and the Metropolitan Transportation Improvement Program's (MTIP) Federal flexible funds, which are authorized by Metro. The funding plan for this phase of the project includes local funds from the City of Portland for $1 million, Clackamas County for $850,000 and the City of Lake Oswego for $150,000. The MTIP will provide, directly or indirectly, $4 million of Federal flexible funds. This week, Metro is scheduled to approve $4 million of MTIP funds for the Portland to Lake Oswego Project. These funds, however, are programmed for 2012-13. The partnering agencies wish to advance the project now instead of waiting until 2012. Doing this will: 1) ensure to the extent possible that improved transit service in the Highway 43 corridor will occur in a timely manner; 2) minimize financial risk associated with escalation costs; and 3) position the project to best compete for Federal construction dollars. Additional Federal funds may be available in the next six-year Federal Transportation Bill, which is scheduled for adoption later this year. To accomplish this, staffs from Portland and Lake Oswego have jointly developed a funding strategy that would allow the Draft Environmental Impact Statement (DEIS) to begin this spring. The funding strategy as provided for in the IGA has the City of Portland reallocating MTIP funds to this project from one of its existing MTIP-funded projects in the amount of $972,673. The City of Lake Oswego will advance $1.5 million of its general funds to TriMet to pay for work performed on the DEIS between April and September 2009. On September 30, 2012, TriMet will in turn repay the City of Lake Oswego $1.8 million. Lastly, the IGA defines Metro as the lead contracting agency for the refinement study. TriMet will be the lead contracting agency for the DEIS, the Final Environmental Impact Statement (FEIS), FTA application and preliminary engineering. ALTERNATIVES & FISCAL IMPACT The IGA commits the City of Lake Oswego to $150,000 as follows: • $57,000 payable to Metro by April 15, 2009 to support the Refinement Study; these funds are currently available in the 2008-09 budget; • $37,000 for the DEIS and FTA Application, which shall be paid to TriMet upon notification from TriMet that full funding for the DEIS/FTA Application phase is 60 Council Report March 19, 2009 Page 3 secured, with the anticipated payment to be made on November 1, 2009; these funds will need to be approved as part of the 2009-10 budget; ® $56,000 for the FEIS and preliminary engineering work, which will be paid to TriMet no later than March 31, 2010; these funds will need to be approved as part of the 2009-10 budget. Lake Oswego will advance $1,500,000 of general funds to TriMet to support the DEIS. These funds will be provided to TriMet in monthly draws in 2009 based upon verification of expenditures for the DEIS with draws anticipated from April to September of this year. TriMet will repay Lake Oswego $1.8 million in unrestricted general funds on or before September 30, 2012. If TriMet fails to make the repayment by September 30, 2012, interest on the outstanding amount owed shall accrue at the rate of 9% per year. RECOMMENDATION It is recommended that City Council adopt Resolution 09-13. ATTACHMENTS 1. Resolution 09-13 2. Attachment A— Intergovernmental Agreement for the Portland to Lake Oswego Transit Corridor Project including Exhibits A, B and C Reviewed by: Sustainability has been considered as part of this recommendation. IF !r /- i / .4. 9 , . Department Director „-------77-77- 77-.) Fin p nce Direc ii x x i ( i ,i' ity Att o n e v v lex D. clntyre City Manager 61 RESOLUTION NO. 09-13 A RESOLUTION OF THE LAKE OSWEGO CITY COUNCIL AUTHORIZING THE CITY MANAGER TO SIGN AN INTERGOVERNMENTAL AGREEMENT BETWEEN TRIMET, METRO, CLACKAMAS COUNTY, THE CITY OF PORTLAND AND THE CITY OF LAKE OSWEGO RELATING TO THE FUNDING OF THE DRAFT AND FINAL ENVIRONMENTAL IMPACT STATEMENTS, FTA GRANT APPLICATION AND PRELIMINARY ENGINEERING FOR THE PORTLAND TO LAKE OSWEGO TRANSIT CORRIDOR PROJECT WHEREAS, in 1988 a consortium of seven government agencies including the City of Lake Oswego purchased the Willamette Shore Line right-of-way for the purpose of preserving the right of way for future rail transit in the geographically constrained Portland to Lake Oswego Highway 43 corridor; and WHEREAS, the City of Lake Oswego has adopted a Transportation System Plan as a component of its Comprehensive Plan that states that Highway 43 is a congested corridor, and that the Willamette Shore Line right of way should be preserved for future high capacity transit; and WHEREAS, the City, along with other regional partners, has through its actions over the past 20 years, supported efforts to encourage future high capacity transit between Lake Oswego and Portland by contracting with the Oregon Electrical Railway Historical Society to operate a seasonal trolley on the Willamette Shore Line right of way in order to preserve its use for future transit; and WHEREAS, the Regional Transportation Plan, adopted by the Metro Council in 2004, called for a corridor refinement plan for evaluating high capacity transit options for the Lake Oswego to Portland Highway 43 corridor; and WHEREAS, in 2004, the City Council of the City of Lake Oswego appointed a Downtown Transit Alternatives Advisory Committee (DTAAC), consisting of neighborhood, business and transportation representatives, which examined preferred transit options for the City of Lake Oswego and concluded that streetcar, with multiple stops along State Street, is the type of transit and alignment that will best achieve the community's goals; and WHEREAS, in 2005, Metro applied for and obtained Metropolitan Transportation Improvement Program funds in order to conduct a Transit and Trail Alternatives Analysis to examine transit and trail options in the Highway 43 corridor, including the Willamette Shore Line right of way, and the City of Lake Oswego contributed funding for a portion of the local match, along with the City of Portland and TriMet; and WHEREAS, the Portland to Lake Oswego Transit Corridor Project was authorized in the Federal Transportation Bill signed into law on August 10, 2005, and as part of the Page 1 of 4--Resolution 09-13 63 authorization, Metro received Streetcar Corridor Funding to support work on the Portland to Lake Oswego transit study; and WHEREAS, in 2005, Metro initiated an alternatives analysis consistent with Federal Transportation Administration (FTA) requirements to assess the feasibility of transit and trail alternatives between Portland and Lake Oswego; and WHEREAS, a wide range of transit alternatives was evaluated in the alternatives analysis that included a no-build alternative, bus rapid transit with multiple alignments, streetcar with multiple alignments, river transit, and accompanying trail alignments; and WHEREAS, the alternatives analysis confirmed that highway widening in the Highway 43 corridor is infeasible and costly, and that reversible lanes are not warranted; and WHEREAS, an extensive public involvement process was undertaken as part of the alternatives analysis that included testimony before and after every meeting of the Lake Oswego to Portland Project Advisory Committee (LOPAC), community design workshops, open houses, small group meetings, neighborhood group meetings, individual property owner meetings, a bus rider survey, newsletters, and targeted mailings, resulting in over 1,200 direct citizen contacts; and WHEREAS, on October 2, 2007, the Lake Oswego City Council approved Resolution 07-57 that supported the Steering Committee's recommendations for the Lake Oswego to Portland Transit and Trail Alternatives Analysis; and WHEREAS, on December 13, 2007, Metro Council adopted the Lake Oswego to Portland Transit and Trail Alternatives Analysis: Alternatives to Be Advanced into a Draft Environmental Impact Statement and Work Program Considerations; and WHEREAS, the transit alternatives adopted in the Lake Oswego to Portland Transit and Trail Alternatives Analysis and that are being advanced to the Draft Environmental Impact Statement (DEIS) include a streetcar generally on the Willamette Shore Line right of way with two alternative alignments in the John's Landing area, two streetcar terminus options in Lake Oswego at the Albertson's and Safeway sites, one minimal operable segment for streetcar, enhanced bus service on Highway 43, and the no-build alternative; and WHEREAS, the adopted Transit and Trails Alternatives Analysis requires that Metro perform further study of alignment options for streetcar in the John's Landing neighborhood; and WHEREAS, the Portland to Lake Oswego Corridor Project is the region's next priority for FTA funding, following the Milwaukie to Portland and the Columbia River Crossing light rail projects; and Page 2 of 4 -Resolution 09-t 3 64 WHEREAS, the refinement study began in December 2008 with a budget of $471,000 and will continue until June 2009, and will prepare information to support the DEIS; and WHEREAS, this Intergovernmental Agreement (IGA) concerns funding the completion of the refinement study, the development of a DEIS and FEIS, the FTA application for a Federal grant, and initial preliminary engineering; and WHEREAS, the IGA also defines that Metro will be responsible for oversight and contracting the refinement study, TriMet will be responsible for contracting the DEIS, FEIS, FTA application, and preliminary engineering, and both TriMet and Metro will provide oversight over these aspects of the project; and WHEREAS, the City desires to advance the next phase of planning and engineering at this time to ensure that a future approved project moves forward in a timely manner to meet the transportation needs in the corridor and to minimize costs to the City and other local agencies by both avoiding escalation costs and taking advantage of potential Federal funding opportunities; and WHEREAS, the City, in its desire to begin work on the DEIS, will provide $150,000 as part of the local matching funds for the project along with $850,000 from Clackamas County and $1,000,000 from the City of Portland; and WHEREAS, since Federal funds to pay for the DEIS will not be available until 2012 at the latest, the City will provide $1,500,000 of its general funds to TriMet, the lead contracting agency for the DEIS, between April and September 2009 to pay for work performed on the DEIS; and WHEREAS, based on this advance payment, TriMet will repay the City $1,800,000 in unrestricted general funds by September 30, 2012; and WHEREAS, the City of Portland, in its desire to begin the DEIS this spring, will likewise redirect $972,673 of its Federal funds to TriMet in 2009; and WHEREAS, the parties listed in the Intergovernmental Agreement desire to enter into this Agreement for their mutual benefit; and BET RESOLVED by the Lake Oswego City Council that the City Manager is authorized to sign an Intergovernmental Agreement with TriMet, Metro, City of Portland, Clackamas County for the funding of the Draft and Final Environmental Impact Statements, the FTA grant application and the preliminary engineering for the Portland to Lake Oswego Transit Corridor Project in the form presented in Attachment A. Page 3 of 4—Resolution 09-13 65 This Resolution shall be effective upon passage. Considered and enacted at the regular meeting of the City Council of the City of Lake Oswego on the day of 111 111 AYES: NOES: EXCUSED: ABSTAIN: Jack D. Hoffman, Mayor ATTEST: Robyn Christie, City Recorder APP OVEDAST FORM: David Powell City Attorney Page 4 of 4—Resolution 09-13 66 ATTACHMENT A INTERGOVERNMENTAL AGREEMENT BETWEEN TRIMET, METRO, CITY OF LAKE OSWEGO, CLACKAMAS COUNTY AND CITY OF PORTLAND FOR THE PORTLAND LAKE OSWEGO TRANSIT CORRIDOR PROJECT THIS INTERGOVERNMENTAL AGREEMENT ("Agreement") is made and entered into by and between Tri-County Metropolitan Transportation District, a mass transit district organized under the laws of the State of Oregon, hereinafter referred to as "TriMet," Metropolitan Service District hereinafter referred to as Metro, Clackamas County, hereinafter referred to as "Clackamas", City of Lake Oswego, a municipal corporation of the State of Oregon, hereinafter referred to as "Lake Oswego", and the City of Portland, a municipal corporation of the State of Oregon, hereinafter referred to as "Portland". The parties to this Agreement are collectively known as Project Sponsors. RECITALS 1. The Portland-Lake Oswego Transit Corridor Project ("Project") was authorized in the reauthorization of the Transportation Bill ("SAFETEA-LU") signed into law on August 10, 2005. This Agreement concerns the completion of the Draft Environmental Impact Statement ("DEIS") and Federal Transit Administration ("FTA") approval to enter into and commence preliminary engineering ("PE"). 2. The Regional Transportation Plan, adopted by the Metro Council in 2004, called for a corridor refinement plan for evaluation of high capacity transit options for the Lake Oswego to Portland Highway 43 corridor. 3. In 2004, the Joint Policy Advisory Committee on Transportation ("JPACT") and the Metro Council allocated $1.16 million to study the transit and trail alternatives in the Lake Oswego to Portland Willamette Shore Line Corridor. 4. In 2005, Metro initiated an alternatives analysis consistent with FTA requirements to assess the feasibility of transit and trail alternatives between Lake Oswego and Portland. 5. A wide range of alternatives was evaluated in the alternatives analysis, including No-Build, Bus Rapid Transit with multiple alignments, Streetcar with multiple alignments, River Transit, and accompanying trail alignments. 6. On December 13, 2007, Metro Council adopted the Lake Oswego to Portland Transit and Trail Alternatives Analysis: Alternatives to Be Advanced into a Draft Environmental Impact Statement and Work Program Considerations, which is attached hereto as Exhibit A and incorporated by this reference herein, which required that Metro perform further study of the alignment in the John's Landing neighborhood (the Refinement Study"). 7. In the reauthorization of SAFETEA-LU signed into law on August 10, 2005, Metro received Streetcar Corridor Funding that has been used to support work on the Portland Lake Oswego Transit Study. Work on the Refinement Study began in December 2008, with a budget of $471,000. Work on the Refinement Study is to be conducted from December 2008 to June 2009, and will prepare information in support of the DEIS. 8. The parties desire to enter into this Agreement for their mutual benefit. Page 1 of 10 67 NOW, THEREFORE, the premises being in general as stated in the foregoing Recitals, which shall be considered a part of the Agreement, it is agreed by and between the parties hereto as follows: TERMS OF AGREEMENT; PROJECT DESCRIPTION & COSTS 1. The beginning date of this Agreement is December 1, 2008. The termination date of this Agreement is December 31, 2013. Metro is leading the Refinement Study, which will identify the options that will be formally considered in the DEIS. Once the Refinement Study is completed, TriMet will assume the lead contracting role for the Project, with Metro as lead agency for NEPA work. Metro has received federal funding for the Refinement Study. Local funding has been committed by Portland ($57,000) and by Lake Oswego ($57,000). Metro shall comply with all applicable federal laws, regulations, executive orders, rules, policies, procedures and directives, whether or not expressly set forth in this Agreement. 2. This Agreement is subject to a financial assistance agreement between TriMet and the Federal Transit Administration (FTA). TriMet shall comply with all applicable federal laws, regulations, executive orders, rules, policies, procedures and directives, whether or not expressly set forth in this Agreement, including but not limited to the following, which are incorporated into and made a part hereof: (1) the terms and conditions applicable to a "recipient" set forth in the October 1, 2008 FTA Master Agreement between TriMet and the FTA; (2) 49 CFR Part 18, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments; (3) OMB Circular A-87, Cost Principles Applicable to Grants and Contracts withState and Local Governments; and (4)p pp � ......... .................. ........... FTA Circular 5010.1 D. 3. Costs incurred after December 1, 2008, which are deemed allowable costs for this Project, will be reimbursed once all parties have signed this Agreement. Metro shall maintain the budget, contracts and reporting for the Refinement Study phase of the project. TriMet shall maintain the budget for the DEIS phase and each additional phase of the Project as determined by the Project Sponsors. 4. Upon Metro's completion of the Refinement Study, TriMet will assume the lead contracting role for the Project, on behalf of the Project Sponsors, beginning with the DEIS. Metro, as lead agency for NEPA work, shall participate, guide and support TriMet on the DEIS. Metro's role as lead agency for NEPA work shall be further defined by an Intergovernmental Agreement (the "DEIS-LPA IGA") between Metro and TriMet. The initial funding is intended to complete the DEIS and receive FTA approval to enter and commence PE for the entire Project. The Project is described in Exhibit B, which is attached hereto and incorporated by this reference herein. The Project Sponsors agree to establish a Steering Committee to establish the policy commitments and a project management group to oversee the preparation of the technical analysis and recommendations. 5. The Portland-Lake Oswego Transit Corridor Project is intended to address the transit access needs for the entire corridor. The process calls for the analysis of options, preparation of the DEIS, selection of the locally preferred alternative, application to the FTA for capital funding, engineering design and construction of the locally preferred alternative. While the Project may be developed in phases, all Project Sponsors are 68 Page 2of10 committed to selecting a solution that best suits the entire corridor and support its consideration as a single project. 6. A combination of funding sources will be used to finance the Project. Funding in the amount of $465,355 to support the Refinement Study, which will be conducted in 2009, is identified and committed in this Agreement. The Refinement Study will be funded as follows: $351,355 existing federal streetcar funds from Metro, $57,000 of local match funds from Portland, and $57,000 of local match funds from Lake Oswego. Approximately $21,000 of the local match funds provided by the Portland and Lake Oswego will be used as match for Refinement Study expenses incurred prior to December 1, 2008. Portland and Lake Oswego will pay these local match funds to Metro no later than April 15, 2009. Work on the Refinement Study will be performed by both TriMet and Metro, and will be further described in Amendment No. 3 to the Agreement between TriMet and Metro for Lake Oswego Transit Alternatives Analysis (Metro Contract No. 927168 and TriMet Contract No. OH070180TL). Other than the Refinement Study work described in this Paragraph, no funds will be obligated or expended until the DEIS-LPA IGA is executed between TriMet and Metro. 7. Funding in the amount of $5,586,000 has been identified to support the DEIS, FTA application and Preliminary Engineering. The Project Sponsors agree to pursue additional grants from the FTA 5339 program for $4,000,000 toward funding the DEIS and concept design in order to reallocate MTIP and local match toward the completion of the FEIS and engineering design of the Project. The Project Sponsors agree to seek alternative sources of funding in the event the Section 5339 funds are not obtained. 8. Federal sources of unding are proposed and pending approval from Metro and FTA. Federal FY 12-13 regional flexible transportation funding through the Metro allocation process totaling $4,000,000 will be sought to support the Project, with final Metro approval anticipated by August 2009. Due to the need for program funding for this Project before October 1, 2009, Metro will seek to execute funding commitments to advance $972,673 of funds to the Project by reprogramming funds from other transportation projects such as Portland's Central Eastside Bridgeheads (Key#13528). Regional flexible transportation funding of $1,227,327 is being sought for the DEIS/FTA Application portion of the Project. Funding approved through this process can be obligated beginning October 1, 2009. It is understood that if funds are expended at that time, the reimbursement from these funds would not occur until FY 2012-13. In that case, one of the Project Sponsors in this Agreement will have to advance funding to enable expenditure as scheduled. In that case, the Project Sponsors agree to work in good faith to identify an advance funding source and arrangements for repayment. If no such funding source is identified by August 30, 2009, work on the Project will stop after October 31, 2009 until such funds are identified. Metro approval of the proposed and pending federal sources of funding set forth in this paragraph is expressly conditioned upon the execution of a mutually satisfactory DEIS-. LPA IGA with TriMet 9. Clackamas County commits $850,000 to the Project, of which $220,000 is committed to match funding for the DEIS phase of the project, which will be paid to TriMet no later than April 1, 2009. The remaining $630,000 will be provided to support the preliminary engineering phase of the project, and will be paid to TriMet no later than March 31, 2010. Page3of1O 69 10. Lake Oswego commits $150,000 in support of the Project, as follows: $57,000 payable to Metro by April 15, 2009 to support the Refinement Study; $37,000 for the DEIS/FTA Application, which shall be paid to TriMet upon notification from TriMet that full funding for the DEIS/FTA Application phase is secured, with the anticipated payment to be made on November 1, 2009; and $56,000 for the FEIS and preliminary engineering work, which will be paid to TriMet no later than March 31, 2010. Lake Oswego also agrees to advance $1,500,000 to TriMet to support the DEIS, which will be provided to TriMet in monthly draws in 2009 based upon verification of expenditures for the DEIS with draws anticipated from April 2009 to September 2009. Lake Oswego's obligation to provide these advance payments is contingent upon Metro appropriating $4 million of 2012 MTIP funds to the Project. TriMet agrees to repay the $1,500,000 to Lake Oswego by September 30, 2012. However, the total amount of the repayment shall be $1,800,000. TriMet's repayment will be in unrestricted general funds. If TriMet fails to make the repayment by September 30, 2012, interest on the outstanding amount owed shall accrue at the rate of 9% per year. 11. Metro agrees that, conditioned upon the execution of a mutually satisfactory DEIS-LPA IGA with TriMet, Metro will request programming of regional flexible transportation funds for FY 2012-13 that support the Lake Oswego Transit Corridor Project totaling $4,000,000. Funding would be apportioned $972,673 to City of Portland for street improvements listed in item 13528 of the STP, $1,227,327 for Portland Lake Oswego Transit Corridor Project, and $1,800,000 to TriMet for STP funding for preventive maintenance. 12. Portland has identified the sources of funding for the full commitment contained in this agreement through the DEIS process. This includes $57,000 payable to Metro by April 15, 2009 to support the Refinement Study and $83,000 ($23,000 payment and $60,000 in- kind services) for the DEIS and FTA application as match for MTIP funding of $1,227,327. The DEIS payment shall be due on November 1, 2009 upon notification from TriMet that the regional flexible transportation funding can be utilized to support the DEIS work. Portland agrees to seek an additional $860,000 from the Portland City Council in the FY 10-11 budget to support the FEIS and preliminary engineering. 13. The sources of funding for the DEIS, DEIS and FTA Application and FEIS/Preliminary Engineering are attached hereto as Exhibit C, which is incorporated by this reference herein. TRIMET RESPONSIBILITIES 1. TriMet shall perform the work and provide the deliverables adopted by the Steering Committee. The description of phases is included in Exhibit B, which is attached hereto and incorporated herein by this reference. 2. TriMet shall perform the work under this Agreement as an independent contractor. TriMet shall be exclusively responsible for all costs and expenses related to its employment of individuals to perform the work and for providing for employment-related benefits and deductions that are required by law, including, but not limited to, federal and state income tax withholdings, unemployment taxes, workers' compensation coverage, and contributions to any retirement system. 70 Page 4of10 3. In the event that TriMet believes that the funding set forth in this Agreement is insufficient to complete the work, TriMet shall so notify the other Project Sponsors. In such event, the other Project Sponsors agree to work in good faith in order to authorize sufficient funding to complete the work. If sufficient funding is not promptly forthcoming, TriMet may terminate this Agreement. 4. TriMet shall present progress reports and deliverables, as applicable, to the Project Sponsors once a month. 5. TriMet shall maintain all fiscal records relating to this Agreement in accordance with generally accepted accounting principles. In addition, TriMet shall maintain any other records pertinent to this Agreement in such a manner as to clearly document TriMet's performance. TriMet acknowledges and agrees that Project Sponsors and PTA shall have access to such fiscal records and other books, documents, papers, plans, and writings that are pertinent to this Agreement to perform examinations and audits and make copies, excerpts and transcripts. TriMet also acknowledges and agrees that TriMet shall retain such documents for a period of three years after termination of this Agreement, or such longer period as may be required by applicable law. In the event of, any audit, controversy or litigation arising out of or related to this Agreement, TriMet shall retain such documents until the conclusion thereof. Copies of applicable records shall be made available to Project Sponsors upon request. 5. If TriMet engages a personal services contractor(s) to accomplish any of its work under this Agreement, TriMet shall: a. Provide Project Sponsors with the opportunity to participate in the personal services contractor selection process; b. Select personal services contractor(s) in accordance with TriMet procedures and applicable law, and advise Project Sponsors of TriMet's recommendation; c. Provide a TriMet project manager to: i) be TriMet's principal contact person for the personal services contractor(s) for the Project; ii) monitor and coordinate the work of the personal services contractor(s); iii) review and approve bills and deliverables (work products) produced and submitted by the personal services contractor(s); and iv) advise Project Sponsors regarding payments to the personal services contractor(s). 7. All work products that result from TriMet's agreement(s) with personal service contractor(s) for TriMet's work under this Agreement shall be considered the joint work products of the Project Sponsors. The Project Sponsors intend that such work products be deemed "work made for hire" of which the Project Sponsors shall be jointly deemed the author. If, for any reason, the work products produced by any personal service contractor(s) are not deemed "work made for hire," TriMet agrees to jointly assign rights, title, and interest in and to any and all of the work products to the Project Sponsors, whether arising from copyright, patent, trademark, trade secret, or any other state or federal intellectual property law or doctrine. Page 5 of 10 71 8. TriMet shall ensure that any work products produced pursuant to this Agreement include the following statement: This Project is partially funded by the Federal Transit Administration. 9. TriMet shall submit two hard copies of all final work products produced in accordance with this Agreement to Project Sponsors. 10. Within 30 days after the termination date of this Agreement, TriMet shall provide Project Sponsors with a completion report. The report must contain: a. A summary of qualified costs incurred for the Project, including reimbursable costs and matching amount; b. The intended location of records (which may be subject to audit); and c. A list of final deliverables. 11. Without limiting the generality of the foregoing, TriMet expressly agrees to comply with (I) Title VI of Civil Rights Act of 1964; (ii) Sections V and 504 of the Rehabilitation Act of 1973; (iii) the Americans with Disabilities Act of 1990 and ORS.659A.142; (iv) all regulations and administrative rules established pursuant to the foregoing laws; and (v) all other applicable requirements of federal and state civil rights and rehabilitation statutes, rules and regulations. 12. All employers, including TriMet, that employ subject workers who work under this Agreement in the State of Oregon shall comply with ORS 656.017 and provide the required Workers' Compensation coverage unless such employers are exempt under ORS 656.126. TriMet shall require each of its contractors to comply with these requirements. METRO RESPONSIBILITIES 1. Metro shall perform the work and provide the deliverables for the Refinement Study, as set forth in the attached Exhibit B, which is incorporated herein by this reference. 2. Metro shall perform the work under this Agreement as an independent contractor. Metro shall be exclusively responsible for all costs and expenses related to its employment of individuals to perform the work and for providing for employment-related benefits and deductions that are required by law, including, but not limited to, federal and state income tax withholdings, unemployment taxes, workers' compensation coverage, and contributions to any retirement system. 3. In the event that Metro believes that the funding set forth in this Agreement is insufficient to complete the work, Metro shall so notify the other Project Sponsors. In such event, the Project Sponsors agree to work in good faith in order to authorize sufficient funding to complete the work. If sufficient funding is not promptly forthcoming, Metro may terminate this Agreement. 4. Metro shall present progress reports and deliverables, as applicable, to the Project Sponsors once a month. 72 Page 6 of 10 5. Metro shall maintain all fiscal records relating to this Agreement in accordance with generally accepted accounting principles. In addition, Metro shall maintain any other records pertinent to this Agreement in such a manner as to clearly document Metro's performance. Metro acknowledges and agrees that Project Sponsors and FTA shall have access to such fiscal records and other books, documents, papers, plans, and writings that are pertinent to this Agreement to perform examinations and audits and make copies, excerpts and transcripts. Metro also acknowledges and agrees that Metro shall retain such documents for a period of three years after termination of this agreement, or such longer period as may be required by applicable law. In the event of, any audit, controversy or litigation arising out of or related to this agreement, Metro shall retain such documents until the conclusion thereof. Copies of applicable records shall be made available to Project Sponsors upon request. 5. If Metro engages a personal services contractor(s) to accomplish any of its work under this Agreement, Metro shall: a. Provide Project Sponsors with the opportunity to participate in the personal services contractor selection process; b. Select personal services contractor(s) in accordance with Metro procedures and applicable law, and advise Project Sponsors of Metro's recommendation; c. Provide a Metro project manager to: i) be Metro's principal contact person for the personal services contractor(s) for the Project; ii) monitor and coordinate the work of the personal services contractor(s); iii) review and approve bills and deliverables (work products) produced and submitted by the personal services contractor(s); and iv) advise Project Sponsors regarding payments to the personal services contractor(s). 7. All work products that result from Metro's agreement(s) with personal service contractor(s) for its work under this Agreement shall be considered the joint work products of the Project Sponsors. The Project Sponsors intend that such work products be deemed "work made for hire" of which the Project Sponsors shall be jointly deemed the author. If, for any reason, the work products produced by any personal service contractor(s) are not deemed "work made for hire," Metro agrees to jointly assign rights, title, and interest in and to any and all of the work products to the Project Sponsors, whether arising from copyright, patent, trademark, trade secret, or any other state or federal intellectual property law or doctrine. 8. Metro shall ensure that any work products produced pursuant to this Agreement include the following statement: This Project is partially funded by the Federal Transit Administration. 9. Metro shall submit two hard copies of all final work products produced in accordance with this Agreement to Project Sponsors. 10. Within 30 days after the termination date of this Agreement, Metro shall provide Project Sponsors with a completion report. The report must contain: Page 7 of 10 73 a. A summary of qualified costs incurred for the Project, including reimbursable costs and matching amount; b. The intended location of records (which may be subject to audit); and c. A list of final deliverables. 11. Without limiting the generality of the foregoing, Metro expressly agrees to comply with (i) Title VI of Civil Rights Act of 1964; (ii) Sections V and 504 of the Rehabilitation Act of 1973; (iii) the Americans with Disabilities Act of 1990 and ORS.659A.142; (iv) all regulations and administrative rules established pursuant to the foregoing laws; and (v) all other applicable requirements of federal and state civil rights and rehabilitation statutes, rules and regulations. 12. All employers, including Metro, that employ subject workers who work under this Agreement in the State of Oregon shall comply with ORS 656.017 and provide the required Workers' Compensation coverage unless such employers are exempt under ORS 656.126. Metro shall require each of its contractors to comply with these requirements. GENERAL PROVISIONS 1. Budget modifications and major adjustments from the work described in Exhibit B must, as applicable, be processed as written amendments to this Agreement signed by all Project Sponsors and as written amendments to any personal services contracts). 2. This Agreement may be terminated by mutual written consent of all parties. 3. Metro may terminate this Agreement effective upon delivery of written notice to Project Sponsors, or at such later date as may be established by Metro, under, but not limited to, any of the conditions set forth in this Paragraph. TriMet may terminate this Agreement effective upon delivery of written notice to Project Sponsors, or at such later date as may be established by TriMet under, but not limited to, any of the following conditions: a. Failing to timely receive financial commitments from Project Sponsors as specified in this Agreement. b. If federal or state laws, regulations or guidelines are modified or interpreted in such a way that either the work under this Agreement is prohibited or either Metro or TriMet is prohibited from paying for such work from the planned funding source. c. If TriMet or Metro fails to receive appropriations, limitations or other expenditure authority sufficient to allow TriMet or Metro, in the exercise of its reasonable administrative discretion, to continue to make payments for performance of this agreement. d. TriMet has performed its obligations under Paragraph 3 of TriMet Responsibilities, above, and the parties are unable to obtain sufficient funding to complete the work. e. Metro has performed its obligations under Paragraph 3 of Metro Responsibilities, above, and the parties are unable to obtain sufficient funding to complete the work. Any termination of this agreement shall not prejudice any right or obligations accrued to the parties prior to termination. 74 Page 8of10 4. In the event of litigation by or against a third party or parties related to this Agreement or the work or work products created hereunder, the Project Sponsors agree to work in good faith to establish a fair allocation of costs to be shared associated with such litigation, including but not limited to attorney fees and expert witness fees. 5. Except as otherwise expressly provided in this Agreement, any communications between the parties hereto or notices to be given hereunder shall be given in writing by personal delivery, facsimile, or mailing the same, postage prepaid, to each Project Sponsor at the address or number set forth below, or to such other addresses or numbers as any party may hereafter indicate by giving notice in accordance with this Paragraph. Any communication or notice so addressed and mailed is considered to have been delivered five (5) days after the date postmarked. Any communication or notice delivered by facsimile shall be deemed to be given when receipt of the transmission is generated by the transmitting machine and confirmed by telephone notice to the Project Sponsor representative. Any communication or notice by personal delivery shall be deemed to be given when actually delivered. 6. All communications between the parties regarding this agreement shall be directed to the parties' respective Project Sponsor representatives as indicated below: TriMet—Joe Recker Metro— Ross Roberts 710 NE Holladay Street 600 N.E. Grand Avenue Portland, OR 97232 Portland OR 97232 Phone (503) 962-2893 Phone (503) 797-1752 Lake Oswego— Brant Williams Clackamas County— Elissa Gertler 380 A Avenue Public Services Building P.O. Box 369 2051 Kaen Road Lake Oswego, OR 97024 Oregon City, OR 97045 Phone (503) 635-6138 Phone (503) 742-5900 Portland — Paul Smith 1120 S.W. Fifth Avenue, #800 Portland, OR 97204 Phone (503) 823 7736 7. This Agreement shall be governed by and construed in accordance with the laws of the State of Oregon without regard to any jurisdiction's conflict of law principles, rules or doctrines. Any claim, action, suit or proceeding (collectively, "Claim") between any Project Sponsors that arises from or relates to this Agreement shall be brought and conducted solely and exclusively within the Circuit Court of Multnomah County for the State of Oregon or the United States District Court for the District of Oregon in Portland, Oregon, as applicable. In no event shall this section be construed as a waiver by any the parties of any form of defense or immunity from any claim or from the jurisdiction of any court. 8. This Agreement and attached exhibits constitute the entire agreement between the parties on the subject matter hereof. There are no understandings, agreements, or representations, oral or written, not specified herein regarding this Agreement. No waiver, consent, modification or change of terms of this Agreement shall bind any party unless in writing and signed by all parties. Such waiver, consent, modification or change, if made, shall be effective only in the specific instance and for the specific purpose given. The Page 9 of 10 75 failure of any party to enforce any provision of this Agreement shall not constitute a waiver by that party of that or any other provision. IN WITNESS WHEREOF, the parties hereto have set their hands and their seals as of the day and year hereinafter written. Clackamas County Lake Oswego By: By: Lynn Peterson, Chair Jack Hoffman Clackamas County Commission Mayor Metro By: Michael Jordan Chief Operating Officer City of Portland TriMet By: By: Sam Adams Fred Hansen Mayor General Manager By: Gary Blackmer City Auditor APPROVED AS TO FORM FOR CITY OF APPROVED AS TO FORM FOR TRIMET: PO RTLAN D: By: By: Mark Moline Lance Erz Deputy City Attorney Assistant General Counsel 76 Page 10 of 10 EXHIBIT 2 0'. 5 - BEFORE THE METRO COUNCIL FOR THE PURPOSE OF IDENTIFYING ) RESOLUTION NO.07-3887A ALTERNATIVES TO ADVANCE INTO A DRAFT ENVIRONMENTAL IMPACT STATEMENT FOR THE PORTLAND TO LAKE ) OSWEGO CORRIDOR TRANSIT PROJECT ) Introduced by Councilor Rex Burkholder WHEREAS, in 1988 a consortium of seven government agencies purchased the Willamette Shore Line right-of-way for the purpose of preserving the right of way for future rail transit in the geographically constrained Portland to Lake Oswego Highway 43 corridor;and WHEREAS,the Willamette Shore Line right-of-way has appreciated significantly in value since its purchase and can be used as local match for federal transit funds,and WHEREAS,the Regional Transportation Plan,adopted by the Metro Council in 2004 called for a corridor refinement plan for evaluation of high capacity transit options for the Lake Oswego to Portland Highway 43 corridor; WHEREAS, in 2004 the Joint Policy Advisory Committee on Transportation(JPACT)and the Metro Council allocated$1.16 million to study the transit and trail alternatives in the Lake Oswego to Portland Willamette Shore Line Corridor;and WHEREAS,in 2005,Metro initiated an alternatives analysis consistent with Federal Transportation Administration(FTA)requirements to assess the feasibility of transit and trail alternatives between Lake Oswego and Portland;and WHEREAS,a wide range of alternatives was evaluated in the alternatives analysis that included No-Build,Bus Rapid Transit with multiple alignments,Streetcar with multiple alignments,River Transit, and accompanying trail alignments;and WHRERAS,the alternatives analysis confirmed that highway widening in the Highway 43 corridor is infeasible and costly,and that reversible lanes are not warranted,and WHEREAS,ridership and cost information was developed in the alternatives analysis that evaluated an extension of the proposed Milwaukie light rail line to the Albertsons terminus on an alignment parallel to the Portland and Western Railroad;and WHEREAS,an extensive public involvement process was undertaken from July 2005 to the present that included testimony before and after every meeting of the Lake Oswego to Portland Project Advisory Committee(LOPAC),community design workshops,open houses,small group meetings, neighborhood group meetings,individual property owner meetings,a bus rider survey, newsletters,and targeted mailings,resulting in over 1,200 direct citizen contacts;and WHEREAS,on July 16,2007,a public hearing was held by the Steering Committee and public comments were received on the Lake Oswego to Portland Transit and Trail Alternatives Analysis Evaluation Summary Public Review Draft:and PageI Resolution No.07-3887A 77 WHEREAS,on July 31,2007,the Lake Oswego to Portland Project Advisory Committee (LOPAC)adopted their recommendation to the Steering Committee regarding transit and trail alternatives to advance for further study in a Draft Environmental Impact Statement;and WHEREAS,on August 29,2007 the Lake Oswego to Portland Project Management Group (PMG)adopted their recommendation to the Steering Committee regarding transit and trail alternatives to advance for further study in a Draft Environmental Impact Statement; and WHEREAS,on September 10,2007 the Steering Committee,after consideration of LOPAC and PMG recommendations,public input,the Lake Oswego to Portland Transit and Trail Alternatives Analysis Draft Public Comment Summary report,and the Lake Oswego to Portland Transit and Trail Alternatives Analysis Evaluation Summar),Public Review Draft report; adopted the Steering Committee Recommendations on Alternatives to be Advanced into a Draft Environmental Impact Statement and Work Program Considerations, attached as Exhibit A;and WHEREAS,the transit alternatives adopted by the Steering Committee on September 10,2007 included No-Build,Enhanced Bus and Streetcar,including streetcar alignment alternatives on SW Macadam Avenue,the Willamette Shore Line right-of-way,or combinations of the two that may include all or parts of the Johns Landing Masterplan alignment through Johns Landing,a temporary minimum operable segment terminus in the vicinity of Nevada Street in Johns Landing,the Willamette Shore Line right-of-way from the vicinity of Nevada Street to the existing trolley barn and south to the Albertsons terminus option or west via A and B Avenues to the Safeway terminus option in Lake Oswego;and WHEREAS,the Lake Oswego to Portland Corridor Project could be the region's next priority for FTA funding, following the Portland Streetcar Loop Project and Milwaukie to Portland Light Rail Project;and WHEREAS,the bicycle and pedestrian trail element of the alternatives analysis received a high level of public support,and the Steering Committee Recommendation from September 10,2007 included a recommendation to advance and refine the pedestrian and bicycle trail options in the corridor,including additional design work,cost reduction strategies,potential trail phasing strategies,resolution of legal issues and identification of construction funding sources;and WHEREAS, on November 19,2007,the Steering Committee amended their September 10,2007 recommendation to add a permanent Johns Landing terminus to the alternatives to be advanced,and to initiate a Refinement Study in the Johns Landing area prior to the start of the Draft Environmental Impact Statement,attached as Exhibit A,based on public comment and recommendations from the LOPAC Chair and Vice-chairs, and WHEREAS,the Lake Oswego City Council,Portland City Council,TriMet Board of Directors, Multnomah County Board of Commissioners and Clackamas County Board of Commissioners submitted letters of support and/or resolutions endorsing the Steering Committee recommendations,attached as Exhibit B, and WHEREAS,the Metro Council has considered previous public comments,public testimony at this hearing,and public agency endorsements of the Steering Committee Recommendation as amended November 19,2007;now therefore rage 2 Resolution No.07-3887A 78 BE IT RESOLVED,that the Metro Council adopts the Lake Oswego to Portland Transit and Trail Alternatives Analysis Alternatives to be Advanced into a Draft Environmental Impact Statement and Work Program 19,Considerations dated December 13,2007,attached as Exhibit A. ADOPTED by the Metro Council this day of December 20074 David Bragdon,Council President Approved as to Form: Daniel B. Cooper,Metro Attorney Pao 3 Resolution No.07-3887A 79 Exhibit A to Resolution No.07-3887A Lake S swe • o to ' ortland Transit and Trail Alternatives Analysis Metro Council Action Alternatives to be Advanced into a Draft Environmental Impact Statement and Work Program Considerations Adopted December 13, 2007 ‘t, METRO 81 Metro Council Action Alternatives to Advance into a Draft Environmental Impact Statement Adopted December 13, 2007 I. OVERVIEW This document presents the Metro Council adoption of alternatives to be advanced into a Draft Environmental Impact Statement(DEIS)for the Lake Oswego to Portland corridor. The transit alternatives and their accompanying trail components have been fully evaluated against the projects purpose and need and goals and objectives, and this evaluation is documented in the Lake Oswego to Portland Transit and Trail Alternatives Analysis Evaluation Summar),Public Review Draft dated July 12, 2007.The Metro Council action considers recommendations from the Transit Alternatives Analysis Steering Committee dated November 19, 2007, the Lake Oswego to Portland Project Advisory Committee(LOPAC) dated July 31, 2007, the findings of the Project Management Group dated September 3, 2007, public input received during the two public open houses held on June 27 and 28, 2007, a public hearing before the Steering Committee held on July 16, 2007, testimony before the Council on December 13, 2007 as well as all other comments received as described in the Public Comment Summary dated September 10, 2007 and updated to include public comments through December 13, 2007. This action by the Metro Council selects transit mode, terminus of the transit project and specific alignments to be studied in a Draft Environmental Impact Statement. In addition, a strategy is presented for further development of a trail connection in the corridor. The mode section presents findings and recommendations regarding the No-Build, Bus Rapid Transit(BRT)and Streetcar alternatives.The terminus section presents findings and recommendations about the three terminus options including the Trolley, Safeway and Albertsons termini sites.The alignment section describes findings and recommendations for the three potential streetcar alignments within the Johns Landing area; the Willamette Shore Line right of way, SW Macadam Avenue and the Johns Landing Master Plan alignment. IL FINDINGS Context The Lake Oswego to Portland corridor is environmentally,topographically and physically constrained. Future roadway expansion is not anticipated and previous planning studies have concluded that a high capacity transit improvement is needed to provide additional capacity. In 1988, a consortium of seven government agencies purchased the Willamette Shore Line right of way connecting Lake Oswego to Portland for the purpose of preserving the rail right of way for future rail transit service. The 2004 Regional Transportation Plan (RTP) identified the need for a corridor refinement plan for a high capacity transit option for this corridor, which was the genesis of this alternatives analysis. Existing and future traffic conditions in this corridor are projected to worsen as population and employment projections for Portland, Lake Oswego and areas south of Lake Oswego in Clackamas County continue to grow. The corridor already experiences long traffic queues, poor levels of service and significant capacity constraints at key locations. Travel times in the corridor are unreliable due to congestion on Highway 43. Lake Oswego to Portland Transit and Trail Alternatives Analysis 2 Metro Council Action—December 13, 2007 82 Project Sequencing A transit project in the Lake Oswego to Portland Corridor is one of several regional projects that would seek funding through Federal Transit Administration's(FTA) New Starts and Small Starts funding programs.The financial analysis prepared during this alternatives analysis evaluated the sequencing of funding for this project based on current regional commitments.The Milwaukie to Portland Light Rail Project is the region's top priority for FTA New Starts funding following projects currently funded and under construction. The Columbia Crossing Project would also include a New Starts transit component and is proceeding concurrently with the Milwaukie to Portland LRT Project.The Portland Streetcar Loop project is the region's priority project for FTA Small Starts funding. The Lake Oswego to Portland Corridor Project could be the region's next priority for FTA funding,with construction funding capacity becoming available starting in 2012 and continuing through 2017. In order to fit into the regional sequence of projects, the Metro Council recognizes that the Portland to Lake Oswego Corridor Draft Environmental Impact Statement would need to be initiated in Fall 2008 as the Milwaukie to Portland Light Rail Project Final Environmental Impact Statement nears completion. In the Work Program Considerations section of these Metro Council findings,a number of steps are outlined which would need to be taken prior to the initiation of the DEIS, including preparation of a more detailed schedule that identifies key New Starts milestones and deliverables for the project. Willamette Shoreline Right of Way The Willamette shoreline rail right of way was purchased from the Southern Pacific Railroad in 1988 for$2 million dollars by a consortium of local governments including Metro,the cities of Lake Oswego and Portland, Clackamas and Multnomah counties,the Oregon Department of Transportation (ODOT) and TriMet. Knowing that the Highway 43 corridor is very constrained; the purchase was made with the intent of preserving the corridor for future transit use. The value of the right-of way has increased dramatically over 20 years.TriMet estimates currently value the right-of-way at $75 million in 2007 dollars. This value is critical to a transit project that would use the right-of-way because the value of the right of way can be counted as local match for federal funds. A request for New Starts project funding from the Federal Transit Administration would typically be for 60 percent of a project's capital cost leaving 40 percent to be supplied locally. If$75 million in right of way value were applied as part of local match,the remaining share of local funds required would be significantly reduced. For the reasons stated above,whether an alternative uses the Willamette Shore Line right—of way is a significant factor in project funding. For the Streetcar alternative, the$75 million value of the Willamette Shore Line right of way could leverage as much as$112.5 million in federal funds. Because it would not be using the right of way,the BRT alternative would not be able to leverage value of the right of way as part of its funding plan. A. Transit Mode:Streetcar Streetcar is the transit mode that best meets the project's purpose and need and the goals and objectives for the Lake Oswego to Portland Transit and Trail Alternatives Analysis. 3 Lake Oswego to Portland Transit and Trail Alternatives Analysis Metro Council Action—December 13, 2007 83 The Metro Council finds that the Streetcar mode should advance for further study in a DEIS because: • Streetcar would have the highest ridership of all the transit alternatives. ▪ Streetcar travel times would be up to 18 minutes faster between key corridor destinations and would be more reliable than the other transit alternatives. In peak travel periods, the Streetcar would provide faster travel times than autos between downtown and Lake Oswego. Faster travel time and higher reliability is gained through operation of streetcar in exclusive right of way on the Willamette Shore Line. ▪ Streetcar would have the lowest operating and maintenance costs of any alternative, including the No-Build. This is due to the marginal cost of extending a line that already operates in the corridor,the carrying capacity of the Streetcar vehicles compared to buses and the travel time advantage over BRT and No-Build. The Streetcar also replaces some corridor bus service,which results in a cost savings. 10 The Streetcar alternative could leverage up to 3.3 million square feet of total new transit supportive development within three blocks of the proposed alignments. ▪ Streetcar is compatible with the existing transit system and would operate as an extension of the existing streetcar line that operates between NW 23 Avenue and the South Waterfront. s The$75 million of value in the Willamette Shoreline right of way could leverage as much as $112.5 million in federal funds if the project proceeds as a Federal Transit Administration (FTA) News Starts project. The Metro Council finds that the Bus Rapid Transit(BRT)mode should not advance for further study in a DEIS because: • It may not be a practical option to achieve the travel time and ridership as modeled in this alternatives analysis. The queue bypass lanes used to bypass congestion at key intersections in the BRT alternative would have to be extended to between 500 and 1,000 feet instead of the 200 feet in the current designs and cost estimates. m The BRT alternative would include property impacts at the key intersections where transit improvements are constructed. There would be additional property impacts associated with the additional queue jump length required to bypass congestion. This also would include removal of trees within the sidewalk area. • Initial BRT capital costs were the lowest of all the transit alternatives, however,these do not include the additional costs of the longer queue jump lanes, which would be required. • The BRT alternative would have the highest operating cost due to the greater number of vehicles required to meet demand, and the fact that the BRT line would require added service, unlike the Streetcar alternative which would replace existing bus service. • For the entire length of the corridor, BRT travel times are subject to the same delays and congestion as the general traffic in areas where queue jump lanes are not provided, resulting in decreased reliability. • The BRT alternative would not leverage transit supportive economic development beyond what would be expected with the No-Build alternative. te The BRT alternative would not leverage the$75 million value of Willamette Shore Line right of way,which could match federal transit funding of up to$112.5 million. The Metro Council finds that an enhanced bus alternative should be studied as a more practical option for this constrained corridor. Such an option would avoid the property impacts of the BRT while providing improved service, bus pullouts where possible and better shelters and lighting at stations. Enhanced bus would act as the base case for comparison Lake Oswego to Portland Transit and Trail Alternatives Analysis 4 Metro Council Action—December 13, 2007 84 to Streetcar alternatives in the DEIS. It would operate in mixed traffic, though this has implications for travel time, reliability and long-term efficiency of the line. B. Alignments: Willamette Shore Line and SW Macadam Avenue During the alternatives analysis process three alignments were evaluated in the John's Landing area: the Willamette Shore Line right of way, SW Macadam Avenue and the John's Landing Master Plan alignment. The Metro Council recommends that two alignment options be studied further in the John's Landing area north of the SeMood Bridge: the Willamette Shore Line right of way alignment and the SW Macadam Avenue alignment. In addition, combinations of the two alignments should be evaluated to maximize the potential benefits and minimize impacts in the John's Landing area. The Metro Council recognizes that alignments, which would avoid or minimize impacts through John's Landing, may need to be developed that are not part of either the Macadam Avenue or Willamette Shoreline alignments. These could include all or portions of the John's Landing Master Plan alignment or other rights of way. The Metro Council finds that the Willamette Shore Line right of way alignment should advance for further study for the following reasons: • Streetcar on the Willamette Shore Line right of way would yield higher reliability and faster travel times than the other alignments due to the 100%exclusive right of way. In the DEIS, Issues of pedestrian and vehicle safety and proximity to private properties must be considered in the analysis of this alignment. • The Willamette Shore Line right of way is in public ownership and could potentially be used as local match towards the capital cost of the project. Current estimates value the entire right of way at$75 million. For the portion north of SW Nevada Street, the value of the right of way is estimated at approximately$35 million,which could leverage an additional$58 million in federal funds. • The Willamette Shore Line Right-of-Way alignment has received public support from Lake Oswego residents because it has faster travel time, better reliability and less impact to Highway 43 traffic operations and safety than an alignment that would use Macadam Avenue in John's Landing. The Metro Council finds that the SW Macadam Avenue alignment should advance for further study for the following reasons: • The SW Macadam Avenue alignment was the preferred alignment of the LOPAC based on community support, development potential, and the ability to avoid residential impacts of the Willamette Shore Line alignment. The LOPAC emphasized that the alignment should be on SW Macadam Avenue for as much of the length of the route as possible from the South Waterfront to the vicinity of the intersection of SW Macadam Avenue and SW Nevada Street. • The SW Macadam Avenue alignment would leverage the most potential transit supportive development, approximately 2.2 million square feet of total new development in John's Landing. • The SW Macadam Avenue alignment would avoid some of the potential property impacts associated with use of the Willamette Shore Line right of way. • The SW Macadam Avenue alignment has emerged with the most public support from residents and businesses in John's Landing. 5 Lake Oswego to Portland Transit and Trail Alternatives Analysis Metro Council Action-December 13, 2007 85 • As LOPAC recommended, a bicycle and pedestrian trail could be established along the Willamette Shore Line with the Macadam Avenue alignment. This trail has the potential to reduce conflicts between recreational and commuter user groups on the existing Willamette River Greenway trail by providing a more direct route through Johns Landing. Note: The Metro Council recognizes ODOT's expressed concerns regarding the SW Macadam Avenue alignment option and will ensure that questions related to potential streetcar operations in mixed traffic on SW Macadam Avenue are addressed. South of the John's Landing area and north of the Trolley Terminus site in Lake Oswego, the Willamette Shore Line right of way was the only alignment to advance to the completion of the alternatives analysis. As part of its design option narrowing decision, Steering Committee eliminated Highway 43 south of John's Landing from consideration as a Streetcar alignment for safety and operational reasons, making the Willamette Shore Line alignment the only option in this segment of the corridor.The Evaluation Summary Report contains a description of the alternative and design option narrowing decisions that were made during the alternatives analysis. C. Lake Oswego Full-Length Termini:Albertsons and Safeway The Metro Council finds that the Albertsons and Safeway termini should advance into the DEIS. The Trolley terminus should not be advanced into the DEIS. These termini options are preferred because they would serve more population and employment, have higher ridership, disperse park and ride spaces, and have greater potential for transit-supportive development while demonstrating similar traffic impacts. The Metro Council finds that the Albertsons terminus should advance for further study for the following reasons: • The Albertsons terminus would allow for the possible future extension of Streetcar south to West Linn or Oregon City. • The Albertsons terminus has strong public support from the residents south of Lake Oswego and citizens within Lake Oswego. In 2006, Lake Oswego's Downtown Transit Alternatives Analysis Committee(DTAAC) recommended the Albertsons terminus site, partly because it would intercept traffic from the south before it reaches the center of downtown, II The Albertsons terminus could generate substantial transit supportive development in Lake Oswego (0.9 million square feet). The Metro Council finds that the Safeway terminus should advance for further study for the following reasons: ▪ The Safeway terminus would allow for the possible future extension of Streetcar to the west. ▪ The Safeway terminus could provide park and ride access west of downtown Lake Oswego, intercepting traffic before it reaches the center of downtown. M The Safeway site could leverage the most potential transit supportive development (1,1 million square feet in Lake Oswego), as compared to the Albertsons or Trolley terminus options. Lake Oswego to Portland Transit and Trail Alternatives Analysis 6 Metro Council Action—December 13, 2007 86 a The Safeway site would allow the Streetcar to act as a circulator for trips within downtown Lake Oswego between the Foothills district and the west end of downtown, The Metro Council acknowledges that an at-grade crossing of streetcar with Highway 43 under the Safeway terminus option would require additional study and coordination with ODOT and the City of Lake Oswego to ensure that a safe and efficient crossing is feasible. Additionally, the Metro Council acknowledges that it may be necessary to construct a project that would utilize the Trolley Terminus as a temporary Interim terminus while joint development construction plans are finalized at either the Albertsons or Safeway terminus sites. D. Temporary Johns Landing Short Terminus.Minimum Operable Segment (MOS) If a full-length project cannot be built for financial or other reasons,the FTA allows for Minimum Operable Segments (MOS)to be considered as interim termini for a project. In this corridor, preliminary analysis was done for a MOS for Streetcar that would terminate in the vicinity of Nevada Street in John's Landing on either the Willamette Shore Line right-of- way or the Macadam Avenue alignments. A streetcar terminus in Johns Landing should include enhanced bus service to Lake Oswego as part of the complete alternative. The Metro Council finds that this alternative advance for further study for the following reasons: • Significant public support was expressed for this option from participants in the process all through the corridor. a A minimum operable segment(MOS) provides flexibility to initiate a project with available funding while pursuing additional funding to complete the remainder. E. Johns Landing Permanent Terminus A permanent terminus in Johns Landing was selected by the LOPAC along with a full-length Streetcar alternative as their preferred options to be advanced into the DEIS. The LOPAC preference was that this terminus be paired with the Macadam Avenue alignment; in Johns Landing however this terminus option could be paired with either the Willamette Shoreline or Macadam alignments. A streetcar terminus in Johns Landing should include enhanced bus service to Lake Oswego as part of the complete alternative.. The Metro Council finds that this alternative should be advanced into the DEIS for the following reasons: a There is strong community support for this option in both Johns Landing and Dunthorpe. a Analysis of a permanent terminus in addition to a temporary Minimum Operable Segment terminus would allow a full range of choices that could respond to funding constraints, environmental impacts and community preferences. a This terminus option could maintain the ability to cross a new or reconstructed Sellwood Bridge in the future. Lake Oswego to Portland Transit and Trail Alternatives Analysis Metro Council Action—December 13, 2007 87 III. TRAIL CONSIDERATIONS Context As part of the Willamette River Greenway vision,a trail was proposed to run along the Willamette Shore Line right of way from Willamette Park in Portland to downtown Lake Oswego between Highway 43 and the Willamette River.As part of this Alternatives Analysis, the feasibility of a continuous trail between Portland and Lake Oswego was evaluated. Each transit alternative carried with it a complementary trail component. The BRT alternative would have used the Willamette Shore Line right of way for exclusive trail use. The Streetcar alternative, which the Metro Council advances for further study, would require shared use of the Willamette Shoreline between Streetcar and a trail.The discussion below focuses on the trail components that would accompany the Streetcar alignments. A. Trail Component The bike and pedestrian trail component of this study has received tremendous community support. A trail in the corridor would provide a critical link in the regional transportation system, connecting other regional and local trails. A continuous, safe and level trail component is a desired outcome in this corridor. However, as currently designed, the trail component may not be practical to build for its entire length because of the high capital costs associated with shifting the Streetcar alignment to accommodate the trail in a tightly constrained right of way and very difficult topography. Because some portions of the trail are more easily implemented than others, and because funding for the entire trail may not be available at one time, the trail may need to be developed in phases. B. Trail Component Refinement Next Steps The Metro Council finds that a trail component should be advanced for further study. However, additional refinement is needed to determine how to advance the trail and the transit alternatives,either together or separately.The following identifies additional considerations for the trail and next steps: s Further consideration is required to determine trail project sponsors and potential funding sources. Metro may or may not be the appropriate agency to lead the effort to advance a trail in the corridor. Additional design work is needed to identify ways to design and construct a trail in this corridor with lower capital costs and impacts while still accommodating the transit project. The trail design should change and adapt to constraints in the corridor.The width of the trail does not need to be the same for the entire alignment and flexibility will be required with regard to various jurisdictions design standards and requirements. a Trail phasing should be considered so that the most cost-effective segments could move forward. The additional design work required for the more difficult and expensive portions will take more time and effort. Lake Oswego to Portland Transit and Trail Alternatives Analysis 8 Metro Council Action-December 13, 2007 88 'a Additional study is needed to evaluate the potential for the Portland and Western railroad bridge and an eastside connection to the SeMood Bridge to provide a useful pedestrian and bike trail connection between Lake Oswego and Portland a Further study is needed regarding the outstanding legal questions in order to facilitate decisions about the Willamette Shore Line right of way and its use for a trail, IV. WORK PROGRAM CONSIDERATIONS The Metro Council finds that several actions are needed prior to advancing the project into the Draft Environmental impact Statement phase of project development. Because a DEIS for the Lake Oswego to Portland Corridor is not included in Metro's current fiscal year budget, it is recognized that there will be a gap before the DEIS can commence. 1. The Metro Council finds that the following actions are necessary to advance the project Into the Draft Environmental Impact Statement: a. Metro should work with the FTA to Publish a Notice of Intent to Prepare a Draft Environmental Impact Statement in the Federal Register, and initiate the DEIS Scoping Process.The FTA has recommended that this action be taken immediately.This action would ensure that all of the work completed during the alternatives analysis would be documented under the National Environmental Policy Act(NEPA). Public comment received prior to the Metro Council action on advancing the project into the DEIS phase would also be included as part of the NEPA record. The Scoping phase of a DEIS includes meetings with the public as well as local, state and federal agencies and affected tribal jurisdictions. The dates of the public, agency and tribal meetings would be published along with the notice of intent.The Scoping meetings present proposed alternatives and solicit input on potential additional alternatives that could be included in a DEIS. b. Metro should prepare a work scope, budget and schedule for the DEIS. In order to secure funding for a DEIS, a cost estimate is required. The estimate is based on a scope of work and schedule that meet all appropriate FTA and NEPA requirements. This DEIS will need to meet new requirements for public and agency participation covered under Section 6002 of the SAFETEA-LU Act. Metro staff will convene the PMG to discuss and review the scope of work, schedule and budget, including agency roles and responsibilities during the DEIS phase. c. Metro should work with project partners,through the Project Management Group,to Identify and secure funding for the DEIS.Along with the scope, schedule and budget, Metro will work with project partners to identify potential sources of funding for the DEIS, as well as the next phases of project development, Preliminary Engineering and the Final Environmental Impact Statement. Potential sources of funding include FTA Section 5339 or other funds through the MTIP process, and local jurisdiction, TriMet, or ODOT contributions. 9 Lake Oswego to Portland Transit and Trail Alternatives Analysis Metro Council Action—December 13, 2007 89 2. In order to advance the goal of implementing a bicycle and pedestrian trail that connects Portland and Lake Oswego,the Metro Council directs that the following steps be taken: a. Metro,with assistance from project partners through the TAC and PMG, should develop a process to undertake the Trail Refinement Next Steps listed above.The result of this process would be to resolve key issues and determine the relationship of the trail and the transit project during the DEIS phase. Of particular importance are: I. Involvement of the public and advocacy groups in improving the trail concept Definition of the lead agency for advancement of a trail iii. Development of an approach to reduce capital costs iv.Analysis of possible phasing of trail segments v. Identification of potential trail capital funding sources 3. The Metro Council finds that prior to initiation of the DEIS, Metro,with the assistance of the PMG, should develop actions or conditions for each participating agency that would help to ensure that the project can meet FTA thresholds with regard to ridership and financing and achieve the important development objectives for the Corridor. These could include: a. Development of local funding mechanisms b. Demonstrated progress toward development objectives c. Resolution of technical issues, e.g. ODOT concerns regarding the SW Macadam Avenue alignment d. Threshold criteria for selecting a full-length option over an MOS or vice versa 4. The Metro Council finds that the following concerns need to be addressed by Metro and its project partners as the project moves forward into a DEIS: a. The alternative should be constructed in such a manner as to allow coordination with transportation alternatives across the Sellwood Bridge or its replacement. b. Maximize the alternative to establish a safe and attractive transit, pedestrian and bicycle route from Lake Oswego to Portland. Minimize negative impacts to residents and property values. c. The DEIS should include an analysis of the conflicts between use of the corridor as a commuter route and the stated desire of Johns Landing residents for a more pedestrian and retail friendly environment. d. Continue to analyze redevelopment opportunities in Johns Landing and Lake Oswego. e. Strive for closer integration of Johns Landing and South Waterfront urban planning and work to improve pedestrian, bicycle, automobile and streetcar connections. Lake Oswego to Portland Transit and Trail Alternatives Analysis 10 Metro Council Action—December 13, 2007 90 6. The Metro Council finds that the PMG should undertake a Johns Landing Alignment Refinement Study that would precede the start of the DEIS. This study would support the DEIS detailed definition of alternatives and should focus on: a. The operational, design and cost trade-offs between the various alignment options in the Johns Landing segment. b. Financial mechanisms to capture the full value of the Willamette Shore Line so that the value of the WSL right of way could be used to leverage federal dollars and be applied to a project as local match. These mechanisms could include purchase by adjoining property owners,formation of a local improvement district and/or a right of way trade that could be counted as local match c. Design solutions through and/or around the most constrained parts of the Willamette Shore Line alignment d. Initial operating concepts for the Streetcar in Macadam Avenue that address ODOT concerns regarding shared traffic operations. e. Refinement of temporary and permanent Johns Landing terminus locations. f. Funding for the refinement study should be equitably shared by the participating agencies. 1 I Lake Oswego to Portland Transit and Trail Alternatives Analysis Metro Council Action—December 13, 2007 91 RESOLUTION 07-57 A RESOLUTION OF THE LAKE OSWEGO CITY COUNCIL SUPPORTING THE LAKE OSWEGO TO PORTLAND TRANSIT AND TRAIL ALTERNATIVES ANALYSIS STEERING COMMITTEE RECOMMENDATIONS FOR THE DRAFT ENVIRONMENTAL impArr STATEMENT STUDY FOR THE HIGHWAY 43 CORRIDOR WHEREAS,the Regional Transportation Plan(RV) designates Highway 43 between Portland and Lake Oswego as a„.planned frequent bus.line and the Willamette Shore Line Rail right of Way as a planned/proposed streetcar line;and WHEREAS,in 1988,the City of Lake Oswego,along with six other agencies,purchased the Willamette Shore Line rail right of way for the purpose of preserving the line for future high capacity transit;and WHEREAS,the City of Lake Oswego has adopted a Transportation System Plan as a component of its Comprehensive Plan that indicates that Hwy.43 is a congested corridor, and that the Willamette Shore Line right of way should be preserved for future high capacity transit;and WHEREAS,the City of Lake Oswego,along with other regional partners,has through its actions over the past 19 years,supported efforts to encourage future high capacity transit between Lake Oswego and Portland by contracting with the Oregon Electrical Railway Historical Society to operate a seasonal trolley on the Willamette Shore Line right of way in order to preserve its use for future high capacity transit;and WHEREAS,in 2004,the City Council of the City of Lake Oswego appointed a Downtown Transit Alternatives Advisory Committee (DTAAC),consisting of neighborhood,business and transportation representatives,which examined preferred transit options for the City of Lake Oswego;and WHEREAS,in 2005,Metro applied for and attained Metropolitan Transportation Improvement Program fun.4s in order to conduct a Transit and Trail Alternatives Analysis to examine transit and trail options in the Highway 43 Corridor,including the Willamette Shore Line right-of-way,and the City of Lake 0sweg9 contributed funding for a portion of the local match,along with the City.of Portland and TriMet;and WHEREAS,an Alternatives Analysis,consistent with Federal Transit Administration • requirements,was conducted;and WHEREAS,representatives on the Transit and Trail Steering Committee,consisting of elected and appointed members from the City of Lake Oswego,the City of Portland, Multnomah.and Clackamas Counties,Trirviet,Metro,Oregon Department of Resolution 07-57,Supporting the Recommendations of the Lake Oswego to Portland Steering Committee Page 1 of 3 93 Transportation,and Portland Streetcar,Inc.(PSI),have reviewed the Evaluation Alternatives Report as well as recommendations from the Lake Oswego to Portland Advisory Committee (LOPAC),and have recommended that the project alternatives as outlined in Attachment A should be forwarded to Metro Council for further study in a Draft Environmental Impact Statement;and BE IT RESOLVED by the City Council of the City of Lake Oswego: ection.1. The Lake Oswego City Council hereby supports the September 10,2007 recommendation of the Lake Oswego to Portland Transit and Trail Alternatives Analysis Steering Committee,attached as Exhibit A,generally including streetcar and enhanced bus modes,two alternative streetcar alignments and two termini options and one minimum operable segment. ection 2. The City Council urges that Metro incorporate the recommended project alternatives into the study for the Draft Environmental Impact Statement for the Highway 43 Corridor. Sermon 3. The City Council conveys that support for study of the MOS to Nevada Street should not be viewed as support for streetcar to Nevada Street as a project terminus as it would not meet the identified Purpose and Need for the project and would significantly increase the cost of the project it Resolution 07-57,Supporting the Recommendations of the Lake Oswego to Portland Steering Committee Page 2 of 3 94 Section 4. Effective P . This Resolution shall take effect upon passage. Considered and enacted at the meeting of the City Council of the City of Lake Oswego held on the 2nd day of October,2007. AYES: Mayor Hammerstad, MaPeak, Groznik, Hennagin, Jordan, Johndon IMES:. none EXCUSED: Turchi ABSTAIN: none 4041, 6466....40 die Hammerstad,Mayor ATTEST: ea/am:Aim_ Rol;;Eistie,City Recorder APPROVED 0 FORM: David Powell City Attorney Resolution 07-57,Supporting the Recommendations of the Lake Oswego to Portland Steering Committee Page 3 of 3 95 Martha Schrader Chair Lynn Peterson Commissioner nitt gennemer Commissioner CLACKAMAS COUNTY BOARD OF COUNT', COMMISSIONERS rusLIC SiRVICir% BUILDING December 7,2007 Z051 KAM ROM) I ORIECiON CITY. OR 97045 David Bragdon,President Metro Council 600 NE Grand Ave. Portland,OR 97232-2736 Dear President 3ragdon: The Clackamas County Board of Commissioners has reviewed the Lake Oswego Transit and Trail Alternatives Analysis Steering Committee recommendation to advance alternatives into a Draft Environmental impact Statement and we support the recommendation of the Steering Committee. While we are supportive of this recommendation,we would like to emphasize several issues, We agree with the need to continue to study a Streetcar as the preferred mode,especially recognizing the limitations of bus rapid transit.However,we believe it is important to study all modes more thoroughly in the next stage of analysis. Additionally,though we have agreed to further study of a minimum operable segment to Nevada Street,we believe that this would not meet the purpose and need of the project and would add significantly more cost to the project. Regarding the alignments through the Johns Landing area,we support continued study of both the Willamette Shore Line right of way and SW Macadam Avenue.We recognize and want to maximize the value of the Willamette Shore Line right of way but also realize that a Macadam Avenue alignment could potentially provide a positive tradeoff between benefits and impacts. While the segment of the corridor that is within unincorporated Clackamas County does not anticipate increased development,there are key development opportunities In the Lake Oswego town center.The county supports further study of both terminus locations in order to better understand the benefits and impacts of both options.Additionally,we are fully supportive of the predevelopment efforts currently underway by the City of Lake Oswego. Providing a bicycle/pedestrian component is very important to Clackamas County.We recognize the physical constraints involved as wet as the possible legal Issues of the Willamette Shore Line right of way.We are willing and eager to play a leadership role with Metro,project partners and the public to address the challenges of creating a safe,continuous trail through the corridor at a reasonable cost.We look forward to future opportunities to develop and consider creative options and make recommendations as appropriate. We thank you for this.opportunity to lend our support to this project that will provide new transportation choices In the corridor and beyond,into broader Clackamas County,where our population and employment continue to grow and demand additional transportation capacity. Sincerely, Martha Schrader L n Peterson Bill Kennemer Chair Commissioner Commissioner P. 503,655.8581 I r. 503.742-5919 I www.co.cLAct(AmAs.ocus 97 0 TedWheeler, Multnomah Count Chair 4ii,,,,,,z0 Z „ .,:._:0 ..;,4, , 501 SE Hawthorne Blvd., Suite 600 to va 1041W- 1,0! 0*2\\\:61. .- ' Portland Oregon1� '�7214 � Phone. � ��� ��3 308 " -� Email:mu t.cl1air co.multfomah.or.us November 26, 2007 David Bragdon, President Metro Council 600 NE Grand Avenue Portland, OR 97 32 2736 Dear President Bragdon: The Multnomah County Board of Commissioners has reviewed both LOPAC's and the Steering Committee Recommendation for the Lake Oswego to Portland Transit and Trails Alternatives Analysis. This letter will offer alternatives into a Draft Environmental Impact Statement and provide the following recommendation. After reviewing the Steering Committee Revised Recommendation we agree with the need to continue to study a Streetcar as the preferred mode,especially recognizing the limitations of bus rapid transit. That said,we encourage that a streetcar to Johns Landing and enhanced bus to Lake Oswego be studied as an alternative for this corridor,as well as the Steering Committee's recommendation of studying Streetcar to Lake Oswego as an alternative. Regarding the alignments through the South Waterfront area,we support continued study of the Willamette Shore Line right of way and SW Macadam alignments. We recognize the value of the Wi l lamette Shore Line right of way, but we do not wish to see its value as the driving force, only that it and the SW Macadam Avenue alignments each be given full consideration. With respect to a terminus in Lake Oswego we believe that a Trolley Terminus be considered while the advantages of the other two locations(Safeway and Albertsons)receive further study. We recognize that there are several advantages that accompany streetcar development. First is the transit demand at the terminus as well as the potential for continuation of the line, and second the potential for economic development that might occur along an alignment. Therefore, consideration of a Trolley Terminus is also important to allow some flexibility before committing to one terminus or the other. At our briefing we also heard from citizens from unincorporated Multnomah County as well as members of LOPAC and wish to support their recommendation. While their recommendation(s) is included in the Steering Committee's Revised Recommendation,there are some key differences that bear consideration. First,we would like to reiterate our desire to see the SW Macadam alignment studied as per LOPAC's recommendation. Second,while we wish to see the Trolley Terminus as an alternative,we again concur that studying a terminus in Johns Landing should also be reviewed as an alternative with enhanced bus service to south to Lake Oswego. 98 IW David Brain November 26,2007 Page 2 of 2 Providing a bicycle/pedestrian component is very important to Multnomah County. We recognize the physical constraints involved as well as the possible legal issues of the Willamette Shore Line right of way,, We encourage establishing a subcommittee to closely review the options and make recommendations as appropriate. Finally,the effect of any of the alternatives on the environment must be a component of the DEIS. We continued to be concerned about the potential impact any of the alternatives may have on the environment and believe that the preferred alternative be one that also meets key sustainability measures. Multnomah County supports moving ahead with the DEIS as recommended by both LOPAC and the Steering Committee. We thank you for this opportunity to tend our support. Sincerely, 72:17) Ted Wheeler Multnomah County Chair 99 114,11.4A, CITY OF Sam Adams,Commissioner 1221 S,W. Fourth Avenue, Rm. 220 411.7 Portland, Oregon 97204-1994 '4417, P • TEA: D OREGON (503) 823-3008*Ait4:.?fvi FAX (503)823-3017 ° 4 0 E:aproadams@ci„portiand.ccus OFFICE OF PUBLIC UTILITIES www.commissionersam.corn 80, Metro Council 600 NE Grand Ave. Portland,OR 97232 Honorable President Bragdon and Metro Councilors: As Commissioner in charge of the Portland Office of Transportation and City of Portland representative in the Lake Oswego to Portland Transit and Trail Alternatives Analysis Steering Committee, I support the Steering Committee recommendations as amended and approved at the November 19th,2007 meeting. In advancing the Steering Committees Recommendations, I appreciate the hard work that citizens of Portland and along the corridor put into the project for over two years. I understand that planning for high capacity transit in this corridor has been a controversial endeavor going back to the master planning efforts of the 1970s.Given this history,the recommendations of the Lake Oswego to Portland Project Advisory Committee and the Steering Committee are important steps toward a workable solution. Though this study resolved many issues,many questions remained unanswered. I believe this refinement study is the best way to continue to explore options with the community and try to build towards an agreement on the options to be studied as part of the environmental impact study work (EIS). In advancing this project to the next level of planning, the City of Portland is interested in a process that will lead to solutions that meet the City's and the region's transportation and land use objectives and reflect the needs and aspirations of stakeholders along the corridor. As such, I am recommending that as part of the refinement study referred to in the Steering Committee's recommendations, the following elements be incorporated: 1. This refinement study is for the area of Johns Landing between South Waterfront and the Sellwood Bridge,and should be conducted with active participation from businesses and residents along the corridor, 2. The refinement study should be consistent and supportive of the NEPA process; 3. The refinement study work should be scoped for and executed so that the end result will be a narrowing of streetcar alignments in the Johns Landing segment to be advanced into the EIS; 4. The refinement study should be conducted concurrently with trail planning, and if that is not possible,the refinement study should consider the impacts on trail development in its alternative selection process; 5. Opportunities and constraints to build a citywide streetcar system should be part of the criteria for alternative selection;and 6. The scope of work and execution of the refinement study should be done in a cooperative effort with the City of Portland, Metro, TriMet,ODOT and the public at large. Sincerely, Commissioner Sam Adams 101 T RI-at December 11,2007 Metro Council 600 NE Grand Avenue Portland,OR 97232-2736 Dear President l3ragdon: On behalf of TriMet,I recommend that you adopt the Lake Oswego to Portland Steering Committee Recommendations as amended on November 19,2007. These recommendations propose a sound range of project alternatives that present the public and decision-makers with sensible choices on how to proceed with transit improvements in the Lake Oswego to Portland Corridor. Each of the alternatives will benefit from the careful analysis of impacts and mitigations that can only take place within the NEPA process. As the project moves forward,TriMet,Metro and our regional partners will seek to develop creative design solutions that address the community concerns expressed during the alternatives analysis,while maintaining reliable andquick transit options Hugh the corridor.Balancing the regional transportation needs with local impacts will be particularly challenging in this highly constrained corridor. TriMet also wants to emphasize its belief that the value of the Willamette Shore Line railroad right of way should be preserved as local match for FTA funds and not given up prematurely. Whether the match is created through direct use of the right of way or by separate funding that ensures that the value is captured by other means,capture of the right of way's value will need to be addressed as we advance into the DEIS. We look forward to working with you on this important project. Sincerely, 3-03) lAf3. Fred Hansen General Manager Tr ounty Metropolitan Transportation O strkt of Oregon 4012 SE 17th Avenue,Portland,Oregon 97202 • 5O3 238-RIOE • TTY 503-135- 81 • trim:t,ory 103 STAFF IMPORT IN CONSIDERATION OF RESOLUTION 07-3887,FOR THE PURPOSE OF IDENTIFYING ALTERNATIVES TO ADVANCE INTO A DRAFT ENVIRONMENTAL IMPACT STATEMENT FOR THE PORTLAND TO LAKE OSWEGO CORRIDOR TRANSIT PROJECT Date: December 13,2007 Prepared by: Ross Roberts BACKGROUND Council Action This resolution would effectively advance the Lake Oswego to Portland Corridor into the Draft Environmental Impact Statement phase of project development,and would identify transit mode,terminus and alignments to be studied in the DEIS. In addition,this action would set in motion activities to prepare for the DEIS including development of work program,budget,schedule,and funding plan for the DEIS. At the completion of the DEIS,the Council would select a locally preferred alternative. Policy+ op ext The Region 2040 Growth Concept calls for high capacity transit connections between centers.The 2004 Regional Transportation Plan called for a corridor refinement plan in the Lake Oswego to Portland Corridor to examine high capacity transit improvements. Subsequently,the Lake Oswego to Portland Transit and Trail Alternatives Analysis was initiated by Metro in July 2005 to evaluate transit alternatives that would connect the Portland Central City with the Lake Oswego Town Center.The Council funded the alternatives analysis through two MTIP allocations.Metro is lead agency for the project,and TriMet, ODOT,the cities of Lake Oswego and Portland,Multnomah and Clackamas Counties and Portland Streetcar Inc are project partners. Project Decision-Making The Metro Council has final authority for this project decision and is acting on a recommendation by the Transit Alternatives Analysis Steering Committee. The Steering Committee provides policy oversight and includes elected officials or executives from all of the project partners. Councilors Burkholder and Colette are the Council's representatives on the committee and serve as co-chairs. In addition to the project partners,the chairs of the Lake Oswego to Portland Project Advisory Committee(LOPAC)and the Portland Streetcar Loop Project Advisory Committee have seats on the Steering Committee.The LOPAC and the Project Management Group,made up of jurisdiction senior staff,made recommendations to the Steering Committee on alternatives to be advanced into a Draft Environmental Impact Statement (DEIS). The Steering Committee considered those recommendations as well as technical analysis from the Evaluation Summaty Report Public Review Draft,and public comment as heard at a public hearing in July 2007,and as summarized in the Public Comment Report. Public n9Ivern An extensive public involvement process was undertaken from July 2005 to the present that included testimony before and after every meeting of the LOPAC. Community design workshops were held early in the process in May 2006 to identify a wide range of alternatives for transit and trail options in the corridor. Small group meetings followed from September to November 2006 to refine alignments. Project staff met with neighborhood groups throughout the corridor,including West Linn. Two open 105 houses were held to review the technical analysis in June 2007. Individual property owner meetings were held as needed throughout the process. A bus rider survey was completed of 670 transit users in the corridor.The project also utilized newsletters,and targeted mailings to advertise meetings and provide updates. In all,the public involvement effort resulted in over 1,200 direct citizen contacts. Steering Committee Reeom mepdation The Steering Committee Recommendation was adopted on September 10,2007. Subsequent to that adoption,concerns were raised by Chair and Vice-Chairs of LOPAC and residents of Dunthorpe. After meetings with the interested parties that included Council President Bragdon and Councilor Burkholder,a proposed amendment to the recommendation was forwarded to the Steering Committee by Councilor Burkholder,and was adopted on November 19,2007. The amendment added the permanent Johns Landing terminus preferred by LOPAC to the alternatives to be studied in the DEIS and added language to the work program considerations that would add an alignment refinement study in Johns Landing that would precede the DEIS and be undertaken by Metro,TriMet,the City of Portland and ODOT. The Steering Committee Recommendation,as amended is summarized below: ▪ Context. After the Portland to Milwaukie Light.Rail Project and Portland Streetcar Loop,the Lake Oswego to Portland Corridor would be the region's next priority for Federal Transit Administration funding.The publicly owned Willamette Shore Line right-of-way is valued at$75 million(2007 dollars)and as local match for FTA New Starts funding,it could leverage as much as$112.5 million(2007 dollars)in federal funds. • Transit Mode. Streetcar was recommended to be advanced for further study because it would have the highest ridership, fastest travel times,highest reliability,and lowest operating and maintenance costs of any alternative including the No-Build. Streetcar could leverage substantial development-up to 3.3 million square feet of total new transit supportive development within three blocks of the alignment. Streetcar would also be compatible with the existing transit system,operating as an extension of the existing streetcar line. The Steering Committee did not recommend that Bus Rapid Transit be advanced due to the impracticality of proposed queue jump lanes,but did recommend that an enhanced bus alternative be studied further in the DEIS. • A Ii gnn-eat. Two alignments were recommended to be studied further in Johns Landing:the Willamette Shore Line right-of-way and SW Macadam Avenue—with combinations of the two primary alignments and all or part of the Johns Landing Masterplan alignment to be evaluated to maximize the potential benefits and minimize adverse impacts in the Johns Landing area.The Willamette Shore Line was recommended because it would provide higher reliability and faster travel times,and could be used for$75 million(2007 dollars)in local match. This alignment received a high level of public support from Lake Oswego residents.The SW Macadam Avenue alignment was selected because it was the preferred alignment of LOPAC,could leverage the most potential transit supportive development and would avoid proximity impacts of the Willamette Shore Line alignment. This alignment received a high level of public support from residents and businesses in Johns Landing. ▪ Terminus. The Steering Committee recommended two Lake Oswego full-length terminus options,the Albertsons and Safeway sites. A Temporary Johns Landing Terminus option was included as an interim step to a full length project. A Permanent Johns Landing Terminus option was added by the November 19,2007 amendment. • �. A continuous,safe bike and pedestrian trail between Lake Oswego and Portland's South Waterfront area received tremendous community support. However,as currently designed,high 106 capital costs make trail implementation difficult. Additional refinement is needed to determine how to advance the trail either separately or with the transit alternatives. Other refinement issues include identification of funding sources,determination of lead agency, additional design work, development of a trail segment phasing strategy,evaluation of the potential for use of the Portland and Western railroad bridge and an eastside connection to the Sellwood Bridge and evaluation of outstanding legal questions. to Work Program Considerations. The Steering Committee Recommendation also includes activities would be initiated by Metro and our project partners in preparation for the DEIS: o Iniate the FTA Draft Environmental Impact Statement process. o Prepare DEIS scope,budget and schedule. o Develop actions or conditions for each participating agency that would help to ensure that the project can meet FTA thresholds with regard to ridership and financing and achieve the important development objectives for the Corridor. o Undertake a Johns Landing Refinement Study prior to the start of the DEIS o Develop a process to refine trail options in the corridor o Continue coordination with the Sellwood Bridge project and ongoing planning activities in South Waterfront o Ensure that impacts to residents and property values are minimized o Continue to analyze redevelopment opportunities in Johns Landing and Lake Oswego. ANALYSIS/INFORMATION 1. Known Opposition ▪ Opposition my be encountered from Johns Landing residents,business interests or LOPAC members that have advocated for removing the Willamette Shore Line from further study in the Johns Landing segment. The LOPAC recommendation would have taken the Willamette Shore Line off the table in favor of a SW Macadam alignment. The Steering Committee felt that the Willamette Shore Line's value as local match,shortest travel times and highest reliability made it too valuable to drop at this early stage of project development.The Macadam alignment is included in the Steering Committee recommendations,however added work is needed to refine the alignment and address operational challenges on SW Macadam. In their November 19 amendment,the Steering Committee called for Metro to undertake a Johns Landing Alignment Refinement Study along with PDOT,ODOT and TriMet prior to the start of the DE1S. w Dunthorpe opposition could be encountered,although the inclusion of a permanent streetcar terminus alternative in Johns Landing is an option that could end the project north of Dunthorpe. Opposition to the full-length streetcar alternative can be expected. ▪ Clackamas County and Lake Oswego voted against the November 19 amendment to add a permanent Johns Landing terminus to the Steering Committee recommendation,citing the project's purpose and need to connect Lake Oswego and Portland. 2. Legal Antecedents The proposed action,initiating a DEIS in the Lake Oswego to Portland Corridor would fall under the jurisdiction of the National Environmental Policy Act(NEPA)and would be undertaken in accordance with Federal Transit Administration policies,guidance and rules. 107 Further,there are several Metro Council resolutions that provide legal antecedents including the following: Resolution No.86-715 For the Purpose of Entering Into an Intergovernmental Agreement and Expending Funds to Preserve the Southern Pacific Right-of-Way(Jefferson Street Branch)Between Portland and Lake Oswego. Resolution No.05-3569 For the Purpose of Confirming Metro Council Representatives to the Eastside and Portland/Lake Oswego Transit Alternatives Analysis Steering Committee and Identifying Other Representative Categories to the Committee, Resolution No.05-3647 For the Purpose of Approving a Consultant Services For the Lake Oswego to Portland Transit Alternatives Analysis. 3. Anticipated Effects Adoption of the Steering Committee recommendation would define the alternatives to be evaluated in the DEIS and direct staff to prepare a DEIS scope,schedule and budget. Staff would also begin the Johns Landing alignment refinement study and begin to seek funding for the DEIS from FTA and local partner jurisdictions. In addition,work would begin to refine the trail alternatives and find funding sources for trail construction. 4, Budget Impacts Metro's FY 2008 budget includes the second half of the SAFETEA-LU Streetcar Earmark,and some of those funds can be used for the Lake Oswego to Portland Corridor. This funding should be sufficient for the alignment refinement study in Johns Landing and to prepare for DEIS start-up. Approximately$5.5 million would be required for the DEIS,based on recent experience with the Portland to Milwaukie Light Rail SDEIS. Metro staff prepared an appropriations request for$4.0 million in FTA Section 5339 funding for FY 09. The remainder of the DEIS funding would be sought from local partners. RECOMMENDED ACTION Approve Resolution No.07-3887,For The Purpose of Identifying Alternatives to Advance to A Draft Environmental Impact Statement for the Portland to Lake Oswego Corridor Transit Project. 108 Portland to Lake Oswego Transit and Trail Alternatives Analysis Project Description Exhibit B The Portland to Lake Oswego Transit and Trails Alternatives Analysis is intended to identify the feasibility of a federally eligible project for improving access in the Highway 43/Willamette Shore Corridor connecting Lake Oswego to Portland. Metro has conducted the alternatives analysis to date and will continue to lead the refinement analysis,Draft Environmental Impact Statement and selection of the Locally Preferred Alternative. TriMet will serve as the contracting agency commencing with the Draft Environmental Impact Statement. Lake Oswego,Portland, Clackamas County will participate on the Steering Committee with TriMet,Metro and the Portland Streetcar,Inc. (operator of current streetcar in Portland)to conduct the analysis and participate in the implementation of the locally preferred alternative. The project intends to seek federal support through the Federal Transit Administration capital grants program. TriMet will be the grant recipient The project will be conducted in phases based upon selection of alternatives. Funding has been identified for the initial phases of the analysis. The agreement includes provisions that allow for conducting the engineering and construction of the locally preferred alternative. Funding for subsequent phases can only be identified once the LPA is selected. The following phases have funding identified in the agreement: Refinement: Metro has received $357,000 in Streetcar Corridor Funding money from FTA which has been matched by$20,000 from the City of Portland and$94,000 from Lake Oswego. The purpose of the refinement study is prepare alternatives for the Draft Environmental Impact Statement(DEIS). The refinement will also address the role of the trail considerations in the DEIS. Draft Environmental Impact Statement: Metro will serve as lead and TriMet will serve as contracting agency for the conduct of the DEIS and selection of the Locally Preferred Alternative (LPA). A combination of MTIP,Lake Oswego loan to TriMet and match from Clackamas County will fund this effort which is scheduled to be completed in November 2009. Final Environmental Impact Statement and FTA Application: The Final Environmental Impact Statement and submittal of the grant application to FTA would prepared in this phase based upon the selection of the LPA. Funding for this phase would come from MTIP and match provided by the City of Portland. 1 09 Preliminary Engineering: With approval from FTA to proceed with preliminary engineering, TriMet would authorize design work to begin on the LPA. Partial funding for this phase has been identified which includes a request for FTA Section 5339 funding,City of Portland, Clackamas County and Lake Oswego funds. 110 Portland Lake Oswego Transit Corridor Cost of Phases EXHIBIT C im4HiiiHHvgwo ipowywrirlp. Refinement Study Dec 08-Apr 09 Corridor Funding $351,355 City of Portland $57,000 Lake Oswego $57,000 Total $465,355 DEIS Apr-Nov 09 MT1P $2,472,673 COP Swap 13528 $272,779 COP Swap /3528 $699,894 Lake Oswego Advance Payment $1,500,000 Clackamas $220,000 Total $2,692,673 DEIS Publication Nov 09-Mar 10 MT1P $1,227,327 Lake Oswego $37,000 City of Portland $83,000 Total $1,347,327 FTA Application/FEIS/PE Mar-Dec 10 City of Portland $860,000 * Clackamas $630,000 Lake Oswego $56,000 $1,546,000 5339 Funding $4,000,000 Requested Total Funding Committed to TriMet $5,586,000 TriMet pays Lake Oswego in 2012 $1,800,000 Lake Oswego Transit $1,227,327 TriMet (STP Funding) $1,800,000 City of Portland $972,673 $4,000,000 * Contingent upon Portland City Council approval in the FY10-11 budget. Shiels Obletz Johnsen 03/19/2009 LOPTIGA Exhibit C 3-24-09.xls 111 ( jI \ t) CITY OF LAKE ❑SWEGO COUNCIL REPORT °REDO TO: Jack D. Hoffman, Mayor Members of the City Council Alex D. McIntyre, City Manager FROM: Darin Rouhier, Finance Director SUBJECT: Study Session - Wastewater Revenue Bonds DATE: March 19, 2009 ACTION The primary purpose of the study session is to: • Review the updated Financing Schedule • Review the draft Bond Ordinance that, if approved at the April 7 meeting, would increase bonding authority by up to $24.5 million Time permitting, two discussion topics will follow: • Senior and subordinate lien financing options • Emerging factors that will influence future wastewater rates INTRODUCTION/BACKGROUND The Project: The LOIS system will replace the interceptor sewer line, the backbone of the City's wastewater system, located in Oswego Lake. Replacement of the interceptor is critical to ensuring the environmental protection of Oswego Lake and maintaining sewer service for residents. The existing interceptor is undersized, resulting in overflows during heavy rains, and is vulnerable during an earthquake. The first major construction phase will occur later this year. Funding: The total present worth costs for the project, originally estimated at $100 million, was revised to $124.5 million in February 2009 to account for design and other changes. This figure includes initial design, construction, estimated escalation, and contingency costs. In October 2007, the City commenced the first phase of financing by selling $12 million in bond anticipation notes (BANS) to fund costs through the start of construction. In July 2008, the Council authorized the issuance of up to $100 million in revenue bonds to retire the BANs and finance the remainder of the project. In light of the revised cost estimate, an increase in the $100 million authorized limit is necessary. 113 Council Report March 19, 2009 Page 2 DISCUSSION Financing Schedule (revised): The revised financing schedule (Attachment A) will be reviewed with the Council. Key dates include: April 7 City Council approval of the resolution for additional bond authorization April 10 Presentation to the rating agencies April 29 Bid opening May 13 Closing Proceeds from the initial bond sale are scheduled to be received by the City in late May. Draft Bond Ordinance: The draft Bond Ordinance (Attachment B) authorizes the issuance of up to $24.5 million in additional sewer revenue bond to finance the increase in the project's cost. The draft Bond Ordinance also delegates authority to the City Manager and/or the Finance Director to prepare, execute and deliver the Master Sewer Bond Declaration. This ordinance will come before Council on April 7 so as to precede. the presentation to the rating agencies scheduled for April 10. Senior and Subordinate Debt Options: Based on market interest rates and other factors, issuing a single $124.5 million bond series to fund the full project may not be the most cost-effective approach. An option that includes a combination of senior and subordinate debt, which would be issued in stages, is currently being developed to minimize the City's financing costs. An overview of these financing structures will be provided and discussed. Factors Influencing Future Wastewater Rates: Several factors have emerged that will have a bearing on the wastewater rate increases necessary to meet debt service requirements in the coming years. 1) "Gross Revenue" changes will reduce the amount that would otherwise be available for debt service coverage: a) Market forces have reduced interest earnings and system development charge revenue over the past 12-24 months. b) A reduction in winter average water usage from 2006-07 to 2007-08 diminished the net effect of the 2008-09 rate increase from 10% to about 8%. Usage data for this winter is due out in late April, which could influence the net effect of a rate increase enacted for July 1, 2009. 2) "Operating Expense" changes will reduce the amount that would otherwise be p available for debt service coverage: a) Transfers to the General Fund and the Community Development Fund were excluded from `Operating Expenses" in past analyses. Based on the draft Bond Declaration, most of these costs must be recognized as Operating Expenses. 114 Council Report March 19, 2009 Page 3 ALTERNATIVES & FISCAL. IMPACT The Council has the option to provide additional bonding authority over the $124.5 million amount contemplated in the draft Bond Ordinance to provide flexibility for unforeseen future developments. The City's Financial Advisor will discuss the pros and cons of a less restrictive authorization if the Council so desires. RECOMMENDATION No action is required at this time. The finalized Bond Ordinance will be forwarded to City Council at its April 7 meeting for consideration. ATTACHMENTS 1. Attachment A — Financing Schedule (revised) 2. Attachment B - Draft Bond Ordinance Reviewed by: Sustainability has been considered as part of this recommendation. Department Director Fina ce Director City Attorn y Alex D. McIntyre City Manager 115 Attachment B ORDINANCE NO. AN ORDINANCE OF THE CITY OF LAKE OSWEGO AUTHORIZING THE ISSUANCE OF SEWER REVENUE BONDS IN ONE OR MORE SERIES IN AN AGGREGATE PRINCIPAL AMOUNT NOT EXCEEDING [$24,500,000]; AUTHORIZING THE EXECUTION OF A MASTER SEWER REVENUE BOND DECLARATION TO PROVIDE FOR THE ISSUANCE OF SEWER REVENUE BONDS; AND RELATED MATTERS. WHEREAS, the City Council (the "City Council") of the City of Lake Oswego, Oregon (the "City"), a municipal corporation of the State of Oregon, previously enacted Ordinance No. 2521 on July 15, 2008 ("Ordinance No. 2521") authorizing the issuance of sewer revenue bonds in one or moreseries in an aggregate principal amount not exceeding $100,000,000; WHEREAS, to finance and refinance the Project (as such term is defined in Ordinance No. 2521), the City has determined that an additional [$24,500,000] of funding will be required; WHEREAS, the City finds that it is financially feasible for the. City and that it is in the City's best interest to authorize the issuance of additional sewer revenue bonds to finance and refinance the Project in an amount not to exceed [$24,500,000]; WHEREAS, when combined with the authorization provided in Ordinance No. 2521, the total amount of sewer revenue bonds authorized by the City Council shall be [$124,500,000]; WHEREAS, the City is authorized to finance the Project by issuing revenue bonds pursuant to the authority of Oregon Revised Statutes ("ORS") Section 287A.150 (the "Act"); WHEREAS, the revenue bonds will not be general obligations of the City, nor a charge upon its property tax revenues, but will be payable solely from the revenues that the City pledges to payment of the revenue bonds; and WHEREAS, the City shall prepare a plan showing that the estimated sewer revenues that will be pledged or designated to pay the bonds are sufficient to pay the estimated debt to be incurred by the City under the revenue bond issue authorized by this Ordinance. The City of Lake Oswego ordains as follows: Section 1. Sewer Revenue Bonds Authorized. (a) The City Council hereby authorizes the issuance of Sewer Revenue Bonds (the "Bonds") in one or more series in an aggregate principal amount not exceeding [$24,500,000] to finance and refinance the Project. Such authorization is in addition to the $100,000,000 of sewer revenue bonds authorized by the City Council in Ordinance No. 2521. The combined amount of sewer revenue bonds authorized by the City Council in Ordinance No. 2521 and this Ordinance will be [$124,500,000]. OHS Idest:260621798.2 43294-5 LAB I/G 5B 117 (b) Pursuant to the Act, the City Manager of the City, the Finance Director of the City, or their designee (each an "Authorized Representative"), are each hereby authorized, on behalf of the City and without further action of the City Council, to prepare, execute and deliver a Master Sewer Revenue Bond Declaration (the "Master Declaration") to provide for the issuance of revenue bonds (including the Bonds), future revenue bonds, subordinate revenue bonds and other obligations payable from sewer revenues. (c) Pursuant to the Act, the Authorized Representative is authorized to determine the date of the issuance of Bonds and any other terms, conditions or covenants regarding the Bonds, the Project or the revenues that are necessary or desirable to effect the sale of the Bonds including, without limitation, authorizing the preparation and distribution of any disclosure or offering documents. The Authorized Representative is authorized to select a trustee, paying agent, registrar, credit enhancer and municipal bond insurance provider, if any, with respect to the Bonds. Section 2. Bonds Payable Solely From Revenues. The Bonds shall not be general obligations of the City, nor a charge upon its tax revenues, but shall be payable solely from the revenues that the City pledges to payment of the Bonds pursuant to the Act and the resolution or ordinance to be adopted by the City authorizing the issuance, sale and delivery of the Bonds. Section 3. Establishment of Responsibilities and Terms of Bonds. Pursuant to the Act, the Authorized Representative is hereby authorized, on behalf of the City and without further action of the City Council, by certificate, supplemental action, written declaration or otherwise, to take any or all of the following actions: (a) determine the dated dates, the maturity dates, principal amounts, redemption provisions, interest rates or method of determining variable or adjustable interest rates, denominations, and other terms and conditions of the Bonds; (b) establish the date for a public competitive sale of the Bonds and approve the final form of and cause an Official Notice of Bond Sale (the "Notice of Bond Sale"), substantially in the form as approved by the Authorized Representative, or a summary thereof, to be published electronically, award the successful bid or reject the bids for the Bonds as required pursuant to applicable law, and as directed in Section 4 hereof, or if the Authorized Representative determines to sell the Bonds pursuant to a negotiated sale, to make arrangements for a negotiated sale of the Bonds and approve, execute and deliver a bond purchase agreement in connection therewith; (c) appoint a registrar and paying agent for the Bonds; (d) take such actions as are necessary to qualify the Bonds for the book-entry only system of The Depository Trust Company; (e) approve, execute and deliver a Continuing Disclosure Certificate pursuant to SEC Rule 15c2-12, as amended (17 CFR Part 240, § 240.15c2-12); of IS West.2606321798.2 — 2 — 43294--8 LAI VG 5B 118 (1) approve of and authorize the distribution of one or more preliminary and final official statements for the Bonds and the execution of one or more final official statements; (g) obtain ratings on the Bonds if necessary; (h) determine the need for a Credit Facility (including without limitation, municipal bond insurance) or a Reserve Credit Facility for the Bonds, and if purchased, direct expenditure of Bond proceeds to pay any Credit Facility or Reserve Credit Facility premium, set forth terms for the Bonds reasonably required by a Credit Provider, and execute and deliver any insurance agreements, certificates, or related documents or agreements that are reasonably required by a Credit Provider; (i} approve, execute and deliver the Bond closing documents and certificates, and direct the deposit of proceeds of the Bonds; j) enter into covenants regarding the use of the proceeds of the Bonds and the projects financed or refinanced with the proceeds of the Bonds, to maintain the tax- exempt status of the Bonds; (k) execute and deliver a certificate, supplemental action, written declaration or other document specifying the actions taken by the Authorized Representative pursuant to this Section 3 and to execute and deliver any other certificates, documents or agreements that are reasonably required to issue, sell and deliver the Bonds in accordance with this Ordinance. Section 4. Procedures for Sale of the Bonds. If the Authorized Representative determines that the sale of the Bonds shall be a competitive sale, the Authorized Representative shall cause the Notice of Bond Sale, or a summary thereof, to be published electronically on the Internet prior to the sale date stated in the Notice of Bond Sale. For a competitive sale, bids to purchase the Bonds will be received and reviewed on the date specified by the Authorized Representative in the Notice of Bond Sale or upon such later date determined by the Authorized Representative if the sale is postponed based on market or other conditions. The Authorized Representative is authorized, on behalf of the City, to accept or reject the bids for the Bonds. The Authorized Representative may postpone the sale of the Bonds to a later date, cancel the sale based upon market conditions or enter into a negotiated sale of the Bonds, and if it is determined by the Authorized Representative to sell the Bonds pursuant to a negotiated sale, the Authorized Representative is authorized to approve, execute and deliver a bond purchase agreement in connection therewith. Section 5. Reimbursement. (a) The City Council hereby finds: (i) the City intends to incur expenditures in connection with the Proj ect; (ii) the City expects to pay certain expenditures (the "Reimbursement Expenditures") in connection with the Project prior to the issuance of of IS West:260G21798.2 _ 3 43294-8 LAII/G5B 119 indebtedness for the purpose of financing costs associated with the Project on a long-term basis; (iii) the City reasonably expects to issue revenue bonds, bond anticipation notes, or other debt obligations in an aggregate principal amount not to exceed [$124,500,000] and that certain of the proceeds of such revenue bonds, bond anticipation notes, or other debt obligations will be used to reimburse the Reimbursement Expenditures; and (iv) Section 1.150-2 of the Treasury Regulations (the "Treasury Regulations") requires the City to declare its reasonable official intent to reimburse prior expenditures for the Project with proceeds of a subsequent borrowing. (b) This Section 5 of the Ordinance is adopted solely for purposes of establishing compliance with the requirements of Section 1.150-2 of the Treasury Regulations. This Section 5 of the Ordinance does not bind the City to make any expenditure, incur any indebtedness, or proceed with the Project. (c) The City hereby declares its official intent to use proceeds of bond anticipation notes, general obligation bonds, revenue bonds or other debt obligations to reimburse itself for Reimbursement Expenditures. Section 6. Effectiveness of Ordinance No. 2521. Ordinance No. 2521 shall remain unchanged and remains in full force and effect. Section 7. Severability. The provisions of this Ordinance are severable. If any portion of this Ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portions of this Ordinance. Section 8. Effective Date. This Ordinance shall take effect on the thirtieth (30t ) day following enactment by the City Council. Enacted at the regular meeting of the City of Lake Oswego held on the [ 7th ] day of April, 2009. AYES: NOES: ABSTAIN: ABSENT: By: Jack D. Hoffman, Mayor CST IS West:26O621798,2 — 4 43294-8 LAH/G5B 120 ATTEST: By: Robyn Christie, City Recorder APPROVED AS TO FORM: By: David D. Powell, City Attorney of IS Wcst:260621.798.2 - 5 43294-8 LAI-I/G5B 121 Attachment A City of Lake Oswego Sewer Revenue Bonds, Series 2009A Financing Schedule FEBRUARY MARCH APRIL MAY SMTWT F S SMTWT F S S M T W T F S S ll! T W T F S 1 2 3 4 5 6 7 1 2 3 4 5 6 7 1 2 3 4 1 2 8 9 10 11 12 13 14 8 9 10 11 12 13 14 5 6 7 8 9 10 11 3 4 5 6 7 8 9 15 16 17 18 1.9 20 21 15 16 17 18 19 20 21 12 13 1.4 15 1.6 17 18 1 O 11 12 13 14 15 16 22 23 24 25 26 27 28 22 23 24 25 26 27 28 19 20 21 22 23 24 25 17 18 19 20 21 22 23 29 30 31 26 27 28 29 30 24 25 26 27 28 29 30 31 Key to Participants: LO=City of Lake Oswego Bond Counsel=Orrick Herrington FA=Western Financial Group WG=Working Group(all of above) Fri-Feb-20-09 Distribute 1st draft of draft indenture BC Wed-Mar-4-09 Working Group meeting to review draft Declaration WG Mon-Mar-16-09 File.Form One with Oregon State Treasurer FA Mon-Mar-16-09 Distribute 2nd draft of Declaration BC Thu-Mar-19-09 Distribute 1st draft of rating presentation FA Thu-Mar-19-09 Distribute 1st draft of preliminary officials statement FA Wed-Mar-25-09 Comments due on 1st draft of rating presentation WG Wed-Mar-25-09 Comments due on 1st draft POS and 2nd draft of Declaration WG Tue-Mar-31-09 Distribute 2nd draft of rating presentation FA Tue-Mar-31--09 Distribute 2nd draft of preliminary officials statement and 3rd draft of Declaration BC,FA Thu--Apr-2-09 Resolution provided to City for inclusion in Council packet BC Fri-Apr-3-09 Working Group call to discuss POS and Declaration WG Mon-Apr-6-09 Deadline for Structure revisions LO Tue-Apr-7-09 City Council approves Authorizing Resolution LO Tue-Apr-7-09 Final draft of POS and legal documents distributed BC,FA Tue-Apr-7-09 Send rating agencies draft POS,legal documents FA Wed-Apr-8-09 Printing of Rating Presentation FA Fri-Apr-10-09 Rating Agency Presentations in San Francisco LO,FA Fri-Apr-17-09 Ratings received FA Fri-Apr-17-09 Electronic posting of POS FA Wed-Apr-29-09 Bid Opening LO,FA Page 9 123 City of Lake Oswego Sewer Revenue Bonds, Series 2009A Financing Schedule FEBRUARY MARCH APRIL MAY SMTWT F S SMTWT F S SMTWT F S SMTWT F S 1 2 3 4 5 6 7 1 2 3 4 5 6 7 1. 2 3 4 1 2 8 9 10 11 12 13 14 8 9 10 11 12 13 14 5 6 7 8 9 10 11 3 4 5 6 7 8 9 15 16 17 18 19 20 21 15 16 17 18 19 20 21 12 13 14 15 16 17 18 10 11 12 13 14 15 16 22 23 24 25 26 27 28 22 23 24 25 26 27 28 19 20 21 22 23 24 25 17 18 19 20 21 22 23 29 30 31 26 27 28 29 30 24 25 26 27 28 29 30 31 Key to Participants: LO=City of Lake Oswego Bond Counsel=Orrick Herrington FA=Western Financial Group WG=Working Group(all of above) Thu-Apr-30-09 Transcript preparation begins BC Thu-Apr-30-09 File Form Two with Oregon State Treasurer FA Fri-May-1-09 Preparation of final official statement FA Tue-May-5-09 Closing documents distributed to WG BC Tue-May-5-09 Final official statement to printer FA Wed-May-6-09 Final official statement to underwriters FA Tue-May-12-09 PRE-CLOSING WG Wed-May-13-09 CLOSING WG Page 2 124