Councilmembers present: Alan Kiest, Carolyn Armanini, Dwight Thompson, Mary Jane Goss, Nate Herzog, Roger Olstad, Ed Sterner

Staff present: David R. Hutchinson, Mayor; Douglas Jacobson, City Administrator; Michael Ruark, City Attorney; John Hawley, Finance Director; Sarah Phillips, Government & Community Relations Coordinator; Ty Peterson, City Planner; Susan Stine, City Clerk; Evelyn Jahed, Deputy City Clerk

Others present: Three visitors

Mayor Hutchinson called the regular meeting to order at 7:34 p.m.

Hutchinson opened the public hearing on Ordinance 865/Establishing 2002 Property Tax Rate and Ordinance 866/Adopting Year 2002 Budget at 7:35 p.m.

Teri Howatt, Friends of Third Place Commons, 5123 NE 182^nd, Michelle Rudnick, staff of Friends of Third Place Commons, thanked the city for its support in 2001 and requested that the city support them again when adopting next year’s budget. They described the history of the organization and the various activities that have taken place during the year.

In response to questions from council, Rudnick discussed their annual budget and sources of revenue. She stated that she would provide council with a breakdown of the budget.

Ros Bird, 16761 37^th Ave NE, Shoreline-Lake Forest Park Arts Council, said she appreciates the investment the city has made in the arts council and the arts in the community. She noted that local support is crucial.

In response to questions from council, Bird discussed funding for school programs and grants for various projects. She noted that these programs have reached over 25,000 people.

Hutchinson reported on his meetings with Suburban Cities Association and Association of Washington Cities. He noted there would be a meeting on November 28 to discuss the county utility tax being proposed by King County Executive Ron Sims. A workshop to discuss land supply and markets is being scheduled for sometime in December.

Cmbr. Herzog moved adoption of the agenda. Cmbr. Armanini seconded.

Armanini requested the November 8, 2001 Council regular meeting minutes be deleted from the consent calendar.

Herzog requested to pull the November 1, 2001 council special meeting minutes from the consent calendar.

Herzog moved to amend the minutes as follows:

Page 6, line 32: "…The motion carried unanimously with six five votes."

Page 6, line 43: "…Herzog Armanini seconded. The motion carried unanimously."

Thompson moved adoption of the consent calendar as amended as follows:

1. November 1, 2001 Council Special Meeting Minutes
2. November 15, 2001 Finance Committee Report covering Warrant Nos. 40384 through 40452 in the amount of $579,215.55, automatic withdrawal from checking account, 11/29/01, $418.42, monthly bank services fees.

In response to a question from Cmbr. Goss regarding Warrant No. 40443, City Administrator Doug Jacobson and City Planner Ty Peterson discussed payment of this warrant.

In response to a question from Herzog, Jacobson stated that Chief of Police Dennis Peterson has been out of town. Peterson will review the budget committee’s questions and respond at an upcoming meeting.

Cmbr. Thompson moved to advance Ordinance 865/Establishing 2002 Property Tax Rate and Ordinance 866/Adopting Year 2002 Budget to second reading calendar.

In response to questions raised by Armanini regarding outdated information in the transportation element, City Planner Peterson discussed the work of the Planning Commission and agreed to provide additional information for council review at the next council meeting.

Finance Director John Hawley noted that on page 2, line 1 the monthly fee of $1,083 should be inserted as recommended by the budget committee.

Thompson moved to amend the agreement as follows:

Page 2, line 1: "…a monthly fee of $1,083."

Thompson moved to adopt Resolution 656/Authorize Mayor to Sign Agreement with Nancy Thompson for Probation Services. Armanini seconded. The motion carried unanimously.

Thompson moved to take Ordinance 866/Adopting Year 2002 Budget item prior to Ordinance 865/Establishing 2002 Property Tax Rate.

Thompson moved that the amendments proposed by the budget committee at its November 13, 2001meeting be incorporated into the proposed year 2002 budget of Ordinance 866 and become a part of the working document for council review.

Armanini moved to increase the proposed line item for arts council from $6,580 to $14,443. Thompson seconded.

Following discussion, the motion carried 5-2 (Aye - Armanini, Thompson, Goss, Sterner, Olstad; Nay - Kiest, Herzog.)

Thompson moved to increase the mayor’s reserve from $6,000 to $12,000. Herzog seconded.

Following discussion, the motion did not carry 3-4 (Aye - Thompson, Herzog, Olstad; Nay - Kiest, Armanini, Goss, Sterner.)

Thompson moved to insert from Ordinance 846 into Ordinance 866 after Section 2 as follows:

"Section 3. Proviso Statement. The Mayor may not reallocate or otherwise expend funds identified in provisos of this budget ordinance for any purpose except as allowed in the specific proviso or with City Council approval.

Thompson moved to insert from Ordinance 846 into Ordinance 866 after the new Section 3 as follows:

"Section 4. Mayor’s Reserve Account. The Mayor shall notify the City Council no later than the regular meeting prior to his authorization of the allocation of funds from the Mayor’s Reserve for any extraordinary expense that exceeds $1,000."

Goss seconded.

Armanini offered a friendly amendment to strike the word "extraordinary", which was accepted by the maker and seconder.

Thompson moved to amend the motion as follows:

"…regular meeting prior after…"

Goss seconded. The motion to amend carried unanimously.

Thompson moved to insert from Ordinance 846 into Ordinance 866 after the new Section 4 as follows:

"Section 5. Summer Program Scholarships. The summer activity scholarships and program subsidy shall only be used for programs provided within the City limits of Lake Forest Park."

Thompson moved to insert from Ordinance 846 into Ordinance 866 after the new Section 5 as follows and to renumber the following sections:

"Section 6. Marine Patrol Services. The Mayor shall not expend, for any purpose, any portion of the $12,000 identified for Marine Patrol Services without prior City Council approval of a contract."

In response to question from Cmbr. Kiest, Hawley discussed the city’s banked levy capacity.

Armanini noted that the county has provided preliminary numbers regarding assessed value, and it would be prudent to adjust the proposal accordingly.

Armanini moved to amend Ordinance 865 as follows:

Section 2: "…a levy rate of $1.75 $1.80 per thousand dollars…"

Herzog moved to amend Ordinance 865 as follows:

Thompson moved to advance Ordinance 865/Establishing 2002 Property Tax Rate to final action calendar. Armanini seconded. The motion carried unanimously.

Armanini moved to adopt Ordinance 865/Establishing 2002 Property Tax Rate. Sterner seconded.

Following discussion, the motion carried 6-1 (Aye - Kiest, Armanini, Thompson, Goss, Sterner, Olstad; Nay - Herzog).

A five-minute recess was taken at 9:39 p.m.

The meeting was resumed at 9:52 p.m.

Armanini reported on meetings of the solid waste advisory committee. She discussed the work of the school district’s land bank committee and noted that she had met with the Parks and Recreation and Human Services Commissions regarding the proposed future use of the Aldercrest complex.

Goss reported on the SeaShore Transportation Committee meeting where discussion focused on the proposed fuel conversion for buses.

Community and Government Affairs Coordinator Sarah Philips discussed the upcoming inaugural ceremony.

Jacobson reported on jail negotiations with the county and discussed the positions of various municipalities.

Hutchinson noted that a policy discussion is needed to consider issues related to detention and alternatives to jail.

City Attorney Mike Ruark stated that he was contacted by the city of Shoreline’s city attorney regarding recent litigation involving an adult entertainment establishment. He noted that the court ruling couldn’t be cited until it is published.

Thompson moved to authorize the city attorney to file the legal papers necessary to get the noted opinion published. Goss seconded. The motion carried unanimously.

Hutchinson noted that the next item on the agenda is a 30-minute executive session to discuss personnel matters related to the city administrator’s proposed employment agreement. Those not required to remain for the executive session exited the meeting at this time.

A three-minute recess was called for at 10:31 p.m.

The regular meeting was resumed at 10:34 p.m.

The regular meeting was recessed to executive session for approximately 30 minutes at 10:35 p.m. for discussion of personnel matters.

The executive session was extended for an additional 15 minutes at 11:05 p.m.

The regular meeting was resumed at 11:12 p.m.

Armanini moved that the public hearing on Ordinance 866/Adopting Year 2002 Budget be continued to Thursday, November 29, 2001 at 7:30 p.m. and that a special council meeting be added on November 29, 2001 for the purpose of additional discussion of Ordinance 866/Adopting Year 2002 Budget and the city administrator’s personal services agreement.

There being no objection, the meeting was adjourned at 11:15 p.m.

Susan Stine, City Clerk

APPROVED:
David R. Hutchinson, Mayor