SPECIAL CITY COUNCIL BUSINESS MEETING MONDAY, NOVEMBER? 7,2016  ITEMS DISCUSSED  1. CALLTOORDER/ROLL CALL/PLEDGE OF ALLEGIANCE  2. ACCEPTANCE OR MODIFICATION OF AGENDA/CONFLICT OFI INTEREST DISCLOSURE  3. PUBLIC COMMENT 4. CITY MANAGER'S REPORT 5. PRESENTATION 6. PUBLIC HEARINGS  A. LONG-TERM DEBT DISCUSSION, AB 16-150  A. ORDINANCE NO. 2016-33, DECLARATION OF SUBSTANTIAL NEED TO INCREASE THE PROPEKIYTAXLEVY B. ORDINANCE NO. 2016-20, RELATING TOTHE LEVY OF PROPERTY TAXES FOR THE FISCAL YEAR A. ORDINANCE NO. 2016-23, SETTING THE STORM AND SURFACE WATER MANAGEMENT RATES FOR2017, B. ORDINANCE NO. 2016-25, ADOPTING THE FINAL BUDGET OF THE CITY FOR FISCAL YEARS ENDING A. ORDINANCE NO.2 2016-28, RELATING TO LOW IMPACT DEVELOPMENT AND. AMENDING BAINBRIDGE B. WEST SOUND STORMWATER OUTREACH GROUP WITH KITSAP COUNTY SURFACE & STORMWATER CONSIDER FORWARDING MANAGEMENT INTERLOCAL. AGREEMENT, AB 16-152 C.F RESOLUTION: NO. 2016-24, ESTABLISHING A HIRING INCENTIVE FOR POLICE OFFICERS, D. CONSIDER APOINIMENISTOTHE MAYOR'S YOUTH ADVISORY COUNCIL, AB 16-153 EPROCLAMATIONI DECLARING NOVEMBER 11,2016 AS VETERANS' DAY,AB 16-155 B.A ACCOUNTS PAYABLE VOUCHER AND PAYROLL APPROVAL C.F REGULAR CITY COUNCIL STUDY SESSION MINUTES, OCTOBER 18, 2016 11. REVIEW UPCOMING COUNCIL MEETING AGENDAS  RATE IN EXCESS OF THE IMPLICIT PRICE DEFLATOR FOR COLLECTION IN 2017  COMMENCINGJANUARY 1,2017, AB 16-105  7. UNFINISHED BUSINESS AB 16-108 8. NEW BUSINESS  DECEMBER31, 2017A AND DECEMBER: 31, 2018, AB 16-109 ISLAND MUNICIPAL CODE TITLES 1,2, 12,13, 15,A AND 18, AB 16-151  CONSIDER FORWARDING AB 16-154 A. CONSENT AGENDA COVERSHEET  9. CONSENT AGENDA 10. COMMITTEE REPORTS 12. FOR THE GOOD OF THE ORDER 13. ADJOURNMENT  1. CALLTO ORDER, /ROLL CALL/P PLEDGE OF ALLEGIANCE7OOPMI  Deputy Mayor Medina called the meeting to order at 7:00 p.m. with Councilmembers Blossom, Peltier, Roth, Scott, Tollefson and Townsend present. Records Management Coordinator Jahraus monitored the recording oft the meeting and prepared the minutes. 2. ACCEPTANCE OR MODIFICATION OF AGENDA/CONFLICT OF INTEREST DISCLOSURE72OPM  The agenda was accepted as modified; move Ord 2016-33 discussion before Ord 2016-20.  3. PUBLIC COMMENT 7:02 PM  Sandy Fischer, Salmon Run Lane, thanked Council for all their actions in support of arts and cultural including 2%. for the Arts. Lindsay Masters, Executive Director of Bainbridge Island Arts & Crafts, thanked Council for their efforts but urged them to reinstate city Anne Smart, VP Development, Arts and Humanities Bainbridge, spoke in favor of funding the cultural element in the Comprehensive  funding as revised in the cultural element in the Comprehensive Plan.  Plan.    SPECIAL CITY COUNCIL BUSINESS MEETING MONDAY, NOVEMBER7,2016  4.  CITY MANAGER'S REPORT 7:10F PM City Hall is closed on Friday for the Veterans Day holiday.  The City's portion oft the work on Winslow Way in front of Bon Bon is complete. We are awaiting annual work plans from the citizen advisory committees annual work plans.  Public Art Committee: City Manager Schulze is not aware of any plans to bring the work in house. The 2% Contribution tol Public  Art Account is ini the budget. 5. PRESENTATION712F PM  A. LONG-TERM DEBT DISCUSSION, AB 16-150  Dave Trageser of DA Davidson provided a recap oft thel bond market and process and al look at hypothetical numbers.  6. PUBLIC HEARINGS  A. ORDINANCE NO. 2016-33, DECLARATION OF SUBSTANTIAL NEED TO INCREASE THE PROPERTYTAXLEVY RATE IN EXCESS OF THE IMPLICIT PRICE DEFLATOR FOR COLLECTION IN 2017, AB 16-1497:49PM Action Item: Consider approval of Ordinance No. 2016-33, Declaration of Substantial Need to increase the regular property tax levy rate in Part of the process for approving the 2017 City Budget includes setting the 20161 Property Tax Levy for collection in 2017. Setting the property tax levy is an annual part of the budget process. As provided by Initiative 747, passed by Washington voters in 2001, ifthe value of the implicit price deflator (IPD) (ar measure of inflation) is 1% or more, property tax levies can increase by a maximum of 1%. Ifthe IPDi is less than 1%, jurisdictions that would liket to raise their property tax levies byt the maximum 1% must pass an ordinance establishing The 2016 Adopted Budget and the modifications now proposed to the Council include al 1.0% increase in the dollar amount being collected (plus charges on new construction). In order tol levy this dollar amount, the City must declare substantial need. Ifthe City does not make  excess of thei implicit price deflator for collection in 2017.  History:  substantial need. This year, thel IPD is 0.953%.  this declaration, it will not be able to levy this difference in the future, which will reduce ongoing revenue levels. The revenue estimates in the 2017 budget reflect the dollars stated in this agenda bill and Ordinance 2016-33.  Budget:  Mayor Tollefson opened and closed the Public Hearing at 7:51 p.m.  7:54PM  MOTION: I move that the City Council approve Ordinance No. 2016-33, Declaration of Substantial. Need, to increase the  regular property tax levy rate in excess of the implicit price deflator for collection in 2017.  SCOTT/ROTH: The motion carried 6-1 (Peltier).  B. ORDINANCE NO. 2016-20, RELATINGTOTHE LEVY OF PROPERTY TAXES FOR THE FISCAL YEAR Action Item: Conduct public hearing and consider approval ofOrdinance No. 2016-20 relating to the levy of property taxes for the City of Part of the process for approving the 2017 City Budget includes setting thel Property Tax Levy for collection in 2017. The budget proposes ani increase in the dollar amount being collected (plus charges on new construction) ini the amount allowed by Initiative 747 as calculated by thel Kitsap County assessor. The dollar increase for the Property Taxi is $48,889, the new construction amount is $117,600, and the tax refund amount is $20,178, bringing the total levy to $7,312,117 on total assessed valuation of $6,905,819,349. Additional detail is Because the Implicit Priçe Deflator for the past 12 months as of August 2016 is 0.953%, less than 1%, a Substantial Need Resolution will In addition, Ordinance No. 2016-20 will levy $604,050 to pay the 2017 debt service cost of the Open Space General Obligation Bonds.  COMMENCING JANUARY 1,2 2017, AB 16-105 7:541 PM Bainbridge Island for the fiscal year commencing January 1,2017.  Background:  provided on the attached sheets, which are provided by Kitsap County to explain the calculations.  bea approved to allow the collection of the 1%i increase. Thel levy is equal to the amount of the debt service.  2    SPECIAL CITY COUNCIL BUSINESS MEETING MONDAY, NOVEMBER 7,2016  Budget:  The revenue estimates in the 2017City Budget reflect the dollars stated in this agenda bill and Ordinance No. 2016-20.  Mayor Tollefson opened and closed the Public Hearing at 7:56 p.m.  7:56P PM  MOTION: I move that the City Council approve Ordinance No. 2016-20.  SCOTT/ROTH: The motion carried 6-1. (Peltier)  7. UNFINISHED BUSINESS  A. ORDINANCE NO. 2016-23, SETTING THE STORM AND: SURFACE WATER MANAGEMENT RATES FOR2 2017, AB 16-108 8:02 PM (moved down to accommodate a discussion. that will inform the budget discussion (Item 7B) Action Item: Consider approval ofOrdinance No. 2016-23, Setting the Storm and Surface Water Management Rates for 2017. Section 13.24 oft the Bainbridge Island Municipal Code states that the charge peri impervious surface unit (ISU) shall be adopted by ordinance and published in the City's combined fee schedule. The budget proposed for 2017 includes a 15% increase to Storm and Surface  History:  Water Utility rates, from $146.76 annually to $169.00 per ISU per year.  8:12PM  MOTION: Imove that the City Council approve Ordinance No.. 2016-23, Setting the Storm and Surface Water  Management. Rates for 2017.  ROTH/SCOTT: The motion carried. 5-2. (Peltier, Blossom)  B. ORDINANCE NO. 2016-25, ADOPTING THE FINAL: BUDGET OF THE CITY FOR FISCAL YEARS ENDING  DECEMBER31,2017 AND DECEMBER31,2018, AB 16-109 8:15PM  Mayor Tollefson opened the Public Hearing at 7:58 p.m.  Public Comment  Dominique Cantwell, representing Bainbridge Performing Arts, made comment regarding cultural funding in the 2017 budget.  Mayor Tollefson closed thel Public Hearing at 8:02 p.m.  Budget Motions 9:19PM 9:20PM 9:21PM 9:24P PM 9:27PM 9:34PM  MOTION: Imove 10 addi two police officers in 2017. BLOSSOMPELTIER: The motion carried7-0. MOTION: Imove to addi two police vehicles in 2017. BLOSSOMTOWNSEND: The motion carried7 7-0.  MOTION: Imove to eliminate the current, planner position) from the 2017 budget discussion. MOTION: Imove to add: 50K for Professional Services for Phase IIL.I.D. code development.  BLOSSOMPELTIER: The motion) failed 2-5 (Blossom, Peltier) PELTIERMEDINA: The motion carried 7-0.  MOTION: Imove the City extend the 6% sewer and water tax to other public and for-proft utilities and direct stafft to  prepare an ordinance.  MEDINA/SCOTT: The motion carried 6-1. (Blossom)  MOTION: Imove to addj funding for benches (30K) per the MAC, recommendation. MEDIMATOWNSEND: The motion carried 5-2. (Blossom, Peltier)  3    SPECIAL CITY COUNCIL BUSINESS MEETING MONDAY, NOVEMBER 7, 2016  9:36PM 9:37PM  MOTION: Imove to add 150K in. 2017 and 2018 for cultural funding. TONSENDELOSSON: The motion carried 6-1 (Roth)  MEDINA/SCOTT: The motion carried 7-0.  MOTION: Imove to add: 50kj for an audit to be conducted on the SSWMj fund in 2017.  B. WEST SOUND STORMWATER OUTREACH GROUP WITH KITSAP COUNTY SURFACE & STORMWATER CONSIDER FORWARDING MANAGEMENT INTERLOCAL AGREEMENT, AB 16-152 9:41F PM Action Item: Consider placement on the November 22, 2016, Consent Agenda the Interlocal Agreement (ILA) with Kitsap County for the West Sound Stormwater Outreach Group, from 2017 through 2019, int the total amount ofs $41,918.00. Thisi is a continuation from previous years of an interlocal agreement relationship with the West Sound Stormwater Outreach Group for Permittees under Section S5C.1 oft the NPDES Phase III Municipal Stormwater Permit are required to provide stormwater education and outreach programs designed to achieve measureable reductions in behaviors that cause or contribute tot the degradation of water quality. The Stormwater Outreach Group collaborates in the development, implementation, and funding of stormwater education and outreach activities as required by thel NPDES Phase II Permit. This interagency cooperative effort between Kitsap County, Poulsbo, Bremerton, Port Orchard, Gig Harbor, Port Angeles, and the City of Bainbridge Island allows the City to meet these stormwater NPDES: requirements in MOTION: Imove that the City Council forward to thel November 22, 2016, Consent Agenda the Interlocal Agreement with the Kitsap County West Sound. Stormwater Outreach Group, for stormwater education and outreach activities in  Background:  stormwater education and outreach activities.  acost effective manner. See attached scope of work for more details.  the multi-year amount of$41,918.00. SCOTT/PELTIER: The motion carried 7-0.  C.RESOLUTION: NO. 2016-24, ESTABLISHING A HIRING INCENTIVE FOR POLICE OFFICERS, AB 16-154 9:44 PM Consideration of Resolution No. 2016-24, relating tot the establishment ofal hiring incentive program for the Bainbridge Island Police In order to combat what is widely seen as a national shortage of qualified police candidates, the City of Bainbridge Island proposes the establishment ofal hiring incentive program fort the hiring of lateral police officers. Thej program as proposed would authorize the City Manager to provide newly hired lateral police officers with al hiring incentive payment of five thousand dollars ($5,000), consisting of two thousand fivel hundred dollars ($2,500) payable upon hire, and the remainder payable upon completion ofa 12-month probationary period, provided that an officer receiving this incentive payment would be required to fully refund the City for thej payment ift that officer voluntarily separates from employment with the Bainbridge Island Police Department within three (3)years from the date ofhire with the MOTION: Imove that the City Council forward. Resolution No. 2016-24, relating to the establishment ofa hiring incentive program, for the Bainbridge Island. Police Department. to thel November 22, 2016 consent agenda carried 7-0. D.CONSIDER APPOINTMENTS TO THE MAYOR'S YOUTH ADVISORY COUNCIL, AB 16-1539:54PM  Department.  City.  TOWNSEND/MEDINA: The motion carried 7-0.  Action Item: Consider confirming appointments to the Mayor's Youth. Advisory Council. Former Mayor Anne Blair established al Mayor's Youth Advisory Committee (MYAC)i in2 2014.  Background:  The MYAC advises and makes recommendations to the! Mayor of Bainbridge Island on local government issues and those of particular interest tot teens and young people. MYAC offers Bainbridge High School and Eagle Harbor High School students a direct and meaningful role developing and shaping city policies and serves as an identifiable communication link between the island's young people and the City  of Bainbridge Island.  4    SPECIAL CITY COUNCIL BUSINESS MEETING MONDAY/NOVEMBER7,2016  Last year's MYAC met once a month through May, studying the Comprehensive Plan, and in May made aj presentation to thel Planning This year, we had many more qualified Juniors apply fort thel MYAC, and propose to expand the membership to take advantage of their interest and enthusiasm. Subject to agreement oft the MYAC when it first meets next week, this year they willl be working on thes subject of  Commission that was quite impressive and well received.  affordable housing on Bainbridge Island.  9:56PM  MOTION: Imove the City Council confirm the appointment of thej following students to the Mayor's Youth Advisory Seniors: Alexander. Dudley, Charles Fordyce, Ethan Glaze, Julia. Jackson, Lia. Johansen, Scott Musselwhite and Colin Juniors: Jennifer. Allen, Adda Amelang, Julia Batson, Allie Berry, John Carroll, Jonathan Coonan, Julia Footh, Luke Frank, Avery Gori, Brit Hepworth, Charlie Hoberg, Joshua. Jelcick, Olivia Marshall, Olivia Pells, Shaila Perry, Charlie  Council to a term ending. June, 2017:  O'Keefe.  Shrout, Stella. Streufert, Peter Van Ness, and Andrew. Zech. SCOTTMEDINA: The motion carried 7-0.  E.P ROCLAMATION DECLARING NOVEMBER 11,2 2016 AS VETERANS DAY, AB16-1559:56PM  The motion declaring November 11, 2016 Veterans Day carried7 7-0.  CONSENT AGENDA 9:58 PM A. CONSENT AGENDA COVERSHEET  B. ACCOUNTS PAYABLE VOUCHER AND PAYROLL APPROVAL  Last check from previous run: 342824 for $44.33. EFT check number 2361 for $14,669.41.ACH check number 237 -2 238 for a total of $11,465.32 Manual check numbers 342825-3 342838 for $231,331.36. Regular check run numbers 342839 - 342919: for $214,323.70. Normal check run (direct deposit) check sequence 037184- 037299 for $247,261.36. Normal check run (regular) check sequence 107850 - 107855 for $8634.45. Vendor check run sequence 107856 - 107870 for $262,597.47. Federal Tax Electronic Transfer for $100,615.51.  Total disbursements = $471,789.79 Payroll Check Run - November 4, 2016  Total = $619,108.79.  C.R REGULAR CITY COUNCIL STUDY SESSION MINUTES, OCTOBER 18, 2016  MOTION: Imove we accept consent agenda items A -C. ROTH/PELTIER: The motion carried 7-0.  9. COMMITTEE REPORTS 9:581 PM  None offered.  10. REVIEW UPCOMING COUNCIL MEETING AGENDAS9:58PM  A. UPCOMING MEETING CALENDAR November 15 Ordinance No. 2016-29, Comprehensive Plan Update Council Budget Discussion Increasing Vehicle Tab Fees (Discussion)  Islandwide Transportation Plan (Consider Scheduling al Public Hearing for 12/6)  5    SPECIAL CITY COUNCIL BUSINESS MEETING MONDAY, NOVEMBER7,2016  November 22  Ordinance No. 2016-29, Comprehensive Plan Update  Public Hearing: Ordinance No. 2016-28, Low Impact Development (Consider Forwarding to 12/13 Unfinished Business) Ordinance No. 2016-34, Creating BIMC 15.19- New Site Assessment Development Permits (Schedule Public Hearing for 12/13) Lodging Tax Advisory Committee Funding Recommendations (Consider Forwarding to 12/13 Consent Agenda) Public Hearing: Ordinance No. 2016-31, Interim Ordinance Affecting Certain Properties in thel Business/Industrial Zoning District Ordinance No. 2016-32, Final Budget Adjustments (Consider Forwarding to Consent Agenda 12/13) Resolution' No. 2016-26, Amending thel Fee Schedule Related tol New Site Assessment Development Permits (Consider Forwarding to West Sound Stormwater Outreach Group Interlocal Agreement (Consider Approval) Resolution No. 2016-24, Regarding thel Establishment ofal Hiring Incentive for Police Officers (Consider Approval)  Ordinance No. 2016-19, Utility Taxes, Unfinished Business (Consider Approval) Ordinance No. 2016-25, 2017-2018 Biennial Budget (Consider Approval)  (Consider Approval) 12/13 Unfinished Business)  11. FOR THE GOOD OF THE ORDER 10:03 PM  None offered.  12. ADJOURNMENT 10:03 PM The meeting was adjourned at 10:03 p.m.  Val  el  ahrau MNe  6