REGULAR CITY COUNCIL BUSINESS MEETING TUESDAY, NOVEMBER 17,2015  ITEMS DISCUSSED  1. EXECUTIVE SESSION: REVIEW QUALIFICATIONS OF AN APPLICANT FOR CITY EMPLOYMENT (RCW 42.30.1100)8); PROPERTY DISPOSITION (RCW 42.30.110(1)); PROPERTY ACQUISITION (RCW 42.30.110()b);  POTENTIAL LITIGATION (RCW 42.30.110(1)0)) 2. CALLTOORDENROLL CALL/ PLEDGE OF ALLEGIANCE  3. ACCEPTANCE OR MODIFICATION OF AGENDAICONFLICT OF INTEREST DISCLOSURE A. UPDATE ON COMPREHENSIVE PLANNAVIGATE BAINBRIDGE UPDATE  4. PUBLIC COMMENT 5. CITY MANAGER'S REPORT 6. PRESENTATION 7. PUBLIC HEARINGS  A. KITSAP ECONOMIC DEVELOPMENT ALLIANCE QUARTERLY REPORT- KEDA EXECUTIVE A. ORDINANCE NO.2015-16, AMENDING ACCESSORY DWELLING UNITS (ADU) REGULATIONS, B. PUBLIC HEARING ON THE COUNCIL'S INTENTTO DISSOLVE THE TRANSPORTATION BENEFIT DISTRICT,. AND. ASSUME THE! RESPONSIBILITIES OF THE TRANSPORTATION BENEFIT DISTRICT, A. UPDATE ON STATE TRANSPORTATION FUNDING FOR STATE ROUTE: 305, AB 15-207- -P PUBLIC WORKS B. AUTHORIZE GRANT APPLICATIONS TO ROTARY CLUB FOR AM. EMERGENCY RADIO EQUIPMENT, C. RIGHT OF FIRST REFUSAL ON WILIAM CARLSON PROPERTY, AB 15-201-LEGAL B. REPORT ON PLAN TO PROVIDE INFORMATION REGARDING ELECTRIC POWER SERVICES,  DIRECTOR. JOHN POWERS AB 15-182 - PLANNING AB 15-184 - EXECUTIVE AB 15-206 - EXECUTIVE 9. UNFINISHED BUSINESS  8. NEW BUSINESS (PUBLIC COMMENT INVITED ON EACHI ITEM)  A. MADISON DINER LICENSE AGREEMENT, AB 15-021-LEGAL C. PUBLICSAPETYFACIEITYUPDATE, AB 14-008 - EXECUTIVE B. ACCOUNTS PAYABLE VOUCHERS AND: PAYROLL APPROVAL C.  REGULAR BUSINESS MEETING MINUTES, NOVEMBER 3, 2015 D. TELEMETRY PROGRAMMING UPGRADE, AB 15-195- - PUBLIC WORKS  AB 15-183 - EXECUTIVE 10. CONSENT AGENDA A. CONSENT AGENDA BILL  E. WATERFRONT PARK PHASEI II DESIGN PROFESSIONAL SERVICES AGREEMENT AMENDMENT F. RESOLUTION NO.2015-19, AMENDING THE FEE SCHEDULE RELATED TO WIRELESS G. ORDINANCE NO. 2015-20, RELATING TO: STORM AND SURFACE WATERS AND. AMENDING BIMC A. NON-MOTORIZED TKANSPORTATION ADVISORY COMMITTEE NOTES, NOVEMBER 4, 2015 B. PUBLIC WATER ACCESS COMMITTEE NOTES, NOVEMBER 9,2015 - MAYOR BLAIR :. HUMAN SERVICES FUNDING ADVISORY COMMITTEE NOTES, NOVEMBER 5AND  NO.1,AB 13-025 - PUBLIC WORKS FACILITIES, AB 15-159- - EXECUTIVE 13.24, AB 15-151-F PUBLIC WORKS COUNCILMEMBER ROTH  11. COMMITTEE REPORTS  NOVEMBER 10, 2015 - DEPUTY MAYOR SCOTT 12. REVIEW UPCOMING COUNCIL MEETING AGENDAS  13. FOR THE GOOD OF THE ORDER 14. ADJOURNMENT  1. EXECUTIVE SESSION: REVIEW THE PERFORMANCE OF AN EMPLOYEE (RCW 42.30.110()g); PROPERTY DISPOSITION (RCW 42.30.110()(), PROPERTY ACQUISITION (RCW 42.30.110()(b); At5:01 PM, Mayor Blair adjourned the meeting to an executive session with Councilmembers Bonkowski, Roth, Scott, Tollefson, and City Attorney Marshall to review the performance of an employee (RCW 42.30.110()), discuss property disposition (RCW 42.30.110()C), property acquisition (RCW 42.30.110(1)b), and potential litigation (RCW 42.30.110(1)0).  POTENTIAL LITIGATION (RCW 42.30.110(1)0) 5:01 PM    REGULAR CITY COUNCIL BUSINESS MEETING TUESDAY, NOVEMBER 17,2015  Councilmember Blossom arrived at 5:04 PM. Councilmember Townsend participated remotely. The recording system was turned off and ar notice was posted on the Council Chamber door. At6:55 PM, Mayor Blair extended the executive session for an additional  201 minutes.  2. CALLTOORDENROLL CALL/PLEDGE OF ALLEGIANCE 7:28 PM  Mayor Blair reconvened the meeting at 7:28 PM with aforementioned Councilmembers present. Councilmember Townsend participated remotely. City Clerk Lassoff monitored the recording of the meeting and prepared the minutes. Everyone stood for the 3. ACCEPTANCE OR MODIFICATION OF AGENDA/CONFLICT OF INTEREST DISCLOSURE 7:29P PM  Pledge of Allegiance.  MOTION: II move acceptance oft the agenda. ROTH/SCOTT- Motion carried 7-0.  Councilmember Bonkowski indicated he would not be voting on thel Rotary Club grant application since he is a member of Rotary and serves on their grant committee. Councilmember Blossom indicated: she would not be voting on Ordinance No. 2015-161 related to Mayor Blair commented on the recent election results regarding the police safety facility. There was al brief discussion regardinga Wendy Jones, 9891 NEI Nelson Hill Lane and Elizabeth Rofson, 495 Robinwood Drive, gave an overhead presentation on their group  affordable housing as she has as applied to build an accessory dwelling unit.  minor modification tot tonight's agenda regarding accepting public comment with respect to that vote.  4. PUBLIC COMMENT7:34! PM Salmon is Life Bainbridge.  Chris Van Dyke commented on the open public meetings act regarding executive session. Debbi Lester, 266 Erickson Avenue NE, gave an overhead presentation and commented on Proposition l Edith Hartman, 250 Morrel Place, shared her views regarding the last few months on thei island. A. COMPREHENSIVE PLANNAVIGATE BAINBRIDGE UPDATE City Manager Schulze gave a brief update from his weekly report.  5. CITY MANAGER'S REPORT7:48 PM  PRESENTATION  A. KITSAP ECONOMIC DEVELOPMENT ALLIANCE QUARTERLY REPORT - KEDA EXECUTIVE Kitsap Economic Development Alliance Executive Director Powers gave al briefreport on their Q3,2015 report. He thanked Mayor  DIRECTOR. JOHN POWERS7:521 PM  Blair, Deputy Mayor Scott and Councilmember Bonkowski for their work with KEDA.  7. PUBLIC HEARINGS  A. ORDINANCE NO. 2015-16, AMENDING ACCESSORY DWELLING UNITS (ADU) REGULATIONS, Planning Director Cook introduced thei item. The proposed ordinance increases the maximum size of accessory dwelling units from  AB 15-182- PLANNING 8:02 PM  800 square feet to 900 square feet.  Mayor Blair opened the public hearing at 8:03 PM.  Robert Dashiell, NE Tolol Road, commented on the proposed ordinance. Theresa Muzzi, Old Milll Road, spoke in favor ofthe proposed ordinance. Ted. Jones, 9891 Nelson Hill Lane, commented on the condominium issue, Cindy Anderson, 9407 Sands, encouraged passage of the ordinance. Mayor Blair closed the public hearing at 8:101 PM.  2    REGULAR CITY COUNCIL BUSINESS MEETING TUESDAY,NOVEMBER 17,2015 Following staff comments, a motion was made.  MOTION: Imove that the City Council approve Ordinance No. 2015-16. OMAOMSAITOLERON: Motion carried 6-1 with one abstention (Blossom).  B. PUBLICHEARING ON THE COUNCIL'S INTENTTO DISSOLVE THE TRANSPORTATION BENEFIT DISTRICT, AND ASSUMETHE RESPONSIBILITIES OF THE TRANSPORTATION BENEFIT DISTRICT, City Attorney Marshall introduced thei item. Effective July 15, 2015, a municipality may assumei the rights, powers, functions, and obligations ofat transportation benefit district (TBD) when the boundaries oft the' TBD are the same as the boundaries ofthe On October 6, 2015, the City Council approved Resolution No. 2015-17 declaring the City's intent to assume the Transportation Benefit District and setting a public hearing for October 27,2015 on the same. Due to noticing requirements, the public hearing was Should the City Council wish to dissolve the TBD1 following the public hearing, the Council would pass an ordinance at as subsequent meeting, or as early as December 1,2015, to dissolve the Transportation Benefit District and assume the rights and obligations oft the TBD. The ordinance dissolving the' TBD and assuming the rights and obligations ofthe TBD willl be effective on December 31, 2015. Mayor Blair opened the public hearing at 8:181 PM. As no one had signed up to provide comment, the public hearing was closed.  AB 15-184- EXECUTIVE 8:17PM  municipality.  opened and additional public hearing date was scheduled for November 17,2015.  MOTION: Imove the City Council. schedule thej first reading of Ordinance No. 2015-31 dissolving the Transportation Benefit District and assuming the responsibilities ofthe  TBDj for December 1,2 2015. BONAOHSAISCOIT Motion carried: 7-0.  8. NEWT BUSINESS (PUBLICT COMMENTINVITED ONT EACHITEM)  A. UPDATE ON STATETRAISPORTATON FUNDING FORSTATE ROUTE. 305, AB 15-207- - Public Works Director Loveless gave al PowerPoint presentation. The Washington State Legislature during their 2015 session approved $36.8 million in funding for SR-305 corridor improvements. This funding is to be provided over three biennium spanning 2017 through 2023 and will be funded by newly approved gasoline taxes, The basis fort the funding package approved is the list of  PUBLIC WORKS 8:201 PM  proposed improvements developed by the West Sound Alliance of governments.  This item was informational.  B. AUTHORIZE GRANT. APPLICATIONSTO ROTARY CLUB FOR. AM EMERGENCY RADIO EQUIPMENT, City Manager Schulze gave an overhead presentation. During the past year, work has been done to obtain an Emergency. AMI Radio License from the Federal Communications Commission and develop plans to install an Emergency Radio System on Bainbridge Island. With assistance from Sustainable Bainbridge and Bainbridge Community Broadcasting, the project has reached the point Initially, funding oft the equipment acquisition andi installation was intended to be provided by the City's General Fund. However, there is an opportunity for funding from the Bainbridge Island Rotary Club's. Judd Huney Fund. Prior to moving forward with the The Emergency AM! Radio could provide al key element of communication between City ofl Bainbridge Island Emergency Management and members of the community ini the event ofar natural disaster or other emergency event.  AB 15-206- - EXECUTIVE 8:30PM  where equipment purchases andi installation are awaiting funding.  Judd Huney Fund application process, City Council authorization is required.  Public Comment  Barry Peters supported the proposed grant.  Cindy Anderson, Sands Avenue, spoke in favor of the grant.  3    REGULAR CITY COUNCIL BUSINESS MEETING TUESDAY, NOVEMBER 17,2015  MOTION: Iwould like to move that the City Manager be authorized to apply for ag grant from the Bainbridge Island Rotary Club'sJudd. Huney Fund in the amount of$30,000 for purchase of  emergency. AMradio equipment.  BONROSKISCOTT- Motion carried 6-1 (Bonkowski abstaining).  C. RIGHT OF FIRST REFUSAL ON WILIAM CARLSON PROPERTY, AB 15-201 -) LEGALI 8:55 PM City Attorney Marshall introduced thei item. The City has al Right of First Refusal ("RoFR") on ap parçel of property near the Forest to Sky" Trail. William Carlson and the Bainbridge Island Land' Trust have entered into a Conservation Agreement for the protection of approximately 25 acres ofthis property, solely owned by William Carlson. In order to complete the transaction prior to the end of 2015, the City has been asked to terminate its RoFR on the property. Staff requests that the City Council authorize the City Manager  to execute thel RoFR in a form substantially similar to what was provided in the agenda packet.  MOTION: Imove to authorize the City Manager to approve the Carlson Right of First Refusal inaf form. substantially. similar to the attached in our agenda packet. SCOTT/BONKOWSA - Motion carried 6-0 (Roth not at the dais during vote).  9. UNFINISHED BUSINESS  A. MADISON DINER LICENSE AGREEMENT, AB 15-021 -1 LEGAL 8:581 PM  City Attorney Marshall introduced thei item, which was initially approved by the City Council on March 10, 2015. Subsequent to City Council's approval, the Madison Diner owner requested additional changes to thel License Agreement. The changes appear ini redline in the License Agreement. The first change is a clarification regarding the term and thel basis upon which the owner may terminate the Liçense within five years of execution, and the second revision clarifies that the City will not use its powers ofeminent domain with respect to not only the current owner, but alsoi its subsidiaries and affiliates. This condition does not apply to subsequent owners, Third, an improved map of the pedestrian area of the License Agreement. Background on the License Agreement is as follows: The 305 Madison Diner property contains a well-used pedestrian pathway that connects Shepard Way to Madison. Avenue. When the Diner property was developed about 14 years ago, the developer constructed as staircase on the western boundary ofhis property to accommodate access from his property to Shepard Way. Pedestrian traffic typically enters the property from the east, travels across The Madison Diner property owner desires to enter into the attached. Agreement toj prevent any legal exposure to the Diner that may arise from the public's use of the Diner property as at trail connection. Under the agreement, the City does not pay for the use oft the Diner property. The City's use of the property without paying for iti iss something the Diner property owner is giving up; in exchange for use oft the property without charge, the City is accepting possible liability for personal or property damage on the trail. The term of thei initial license agreement is for five years, renewing for suçcessive five-year periods thereafter. The agreement requires the City to maintain insurance; if personal injury arose from the public's use ofthe Diner property, it would most likely be covered by the City's  the Diner parking lot, up the stairs on the westerly border of the property, and onto Shepard Way.  insurance carrier (WCIA).  MOTION: I move the City Council authorize the City Manager to execute the attached  Madison Diner License Agreement. BONKOWSI/SCOTT- Motion carried7-0.  B. REPORT ON PLANTO PROVIDE INFORMATION REGARDING ELECTRIC POWER SERVICES, City Manager Schulze gave al PowerPoint presentation. At the October 6, 2015 City Council meeting, the City Council asked fora plan that willj provide the Council and community with comprehensive information to help make a decision on electric power service on Bainbridge Island. Over the past several weeks, information was gathered through discussions with electric utility general managers, legal counsel specializing in electric utility issues, Puget Sound Energy and consultants. Based on these conversations,  AB 15-183-) EXECUTIVE 9:001 PM  there are three general areas of study or assessment recommended:  Financial  Acquisition cost and funding options Cost of Service Rate Study  4    REGULAR CITY COUNCIL BUSINESS MEETING TUESDAY, NOVEMBER 17,2015 Engineering Capacity Transmission  Energy Efficiency and Renewable Resources Plan Conservation Potential Assessment Process for Acquisition of System  Legal  Ifthe City Council wishes to move: forward, al Request for Proposals would be prepared and advertised. Based on the information received, iti is anticipated that the cost for the deliverables int this Scope of Work would be in the range of $200,000 to $250,000.  Public Comment  Ted. Jones, 9891 NE Nelson Hill, spoke in support as aj proponent ofaj public electric utility.  Lauren Roman, 6330 Fletcher Bay Road, was interested in knowing what communities had done a feasibility study for as low as Doug Rauh, 12266 Kenneth Place(?), said the City needed to look down the road and the prospect of making enough money to pay for  $25,000. She was curious tol know what the outcomes where.  this.  Barry Peters, Vinland Lane, supported the City approving a thorough study. Ben Avery, 96461 NEI Evergreen, supported the proposal.  Ms. Swenson, Puget Power representative, appreciated everyone's 's patience during reçent storms. She believed that citizens would  find Puget Power as the best electric service provider for this community.  MOTION: Iwould like to go ahead and move that we direct the City Manager to) prepare arequest) forA proposals to include the scope ofwork identified by the City Managerfor  our review.  BONAOWSAIROTH: - Motion carried 6-1 (Blossom agains!).  C. PUBLIC SAFETY FACILITY UPDATE, AB 14-008-E EXECUTIVE 9:32PM  The purpose ofthis agenda item is toj provide the City Council with an opportunity to discuss options for replacement of the police and court facilities. This is the first time the City Council has met since thel November. 3, 2015 election and voter rejection of Proposition Although no polling or surveying has been done, iti is clear that voters rejected Proposition No. 1 because of cost concerns. Concerns regarding unknown costs and delays associated with contamination oft the preferred site also contributed to the rejection. A quote for additional environmental testing on the Landmark, LLC property has been received. This additional testing willl help determine the extent of contamination. Specifically, ift the contamination has reached groundwater and ifit! has migrated to adjacent property, which includes City Hall. This testing ist recommended even ift the site is no longer considered. The cost for the completed Phase III Environmental Assessment and additional testing is below the $30,000 contracting authority ofthe City Manager.  No. 1.  Following briefcomments, a motion was made.  9:46 PM  MOTION: move to direct the City Manager to abandon the processes to evaluate both proprieties north ofCity Hall as a site for Public. Sqfety Facility and not to: spend any  more money on any issues associated with those sites. BONKOHSK/BLOSSON - Motion carried 7-0.  5    REGULAR CITY COUNCIL BUSINESS MEETING TUESDAY, NOVEMBER 17,2015 structural safety oft thel building. 10. CONSENT AGENDA 9:55 PM A. CONSENT AGENDA BILL  Council expressed concern regarding the existing facility. City Manager will ask that the building official provide information on the  B. ACCOUNTS PAYABLE VOUCHERS, AND PAYROLL. APPROVAL  Accounts Payable Voucher ACH Check Number 199-201, Manual Check Run Numbers 339913-339919, and Regular Check Run Numbers 339920-340036 for at total of$I,007,846.01. Payroll Direct Deposit Check Numbers 034417-034532, Regular Check Numbers 107326-107331, Vendor Check Numbers 107332-107339, Void Vendor Check Numbers 107340-107345, Vendor Check Numbers 107346-107351  and Federal Tax Electronic Transfer for a total of$619,385.64. REGULAR BUSINESS MEETING MINUTES, NOVEMBER: 3,2015 D. TELEMETRY PROGRAMMING UPGRADE, AB 15-195-PUBLIC WORKS Contract with S & BI Inc. for the Telemetry Programming Upgrade for $202,073.30.  E. WATERFRONT PARK PHASEI II DESIGN PROFESSIONAL SERVICES AGREEMENT AMENDMENT Amendment No. 1 to the Professional Services Agreement with Walker Macy for the Waterfront Park F. RESOLUTION NO. 2015-19, AMENDING THE FEE: SCHEDULE RELATED TO WIRELESS Amends Section 9 oft the fee schedule to establish a fee fora a Wireless Cellular Facilities permit application G. ORDINANCE NO. 2015-20, RELATINGTOSTORMI AND SURFACE WATERS AND. AMENDING BIMC  NO. 1, AB 13-025- - PUBLIC WORKS Phase 1 Design for $79,700. FACILITIES, AB 15-159. - EXECUTIVE and a fee for al Eligible Facility Modifications permit application. 13.24, AB 15-151 -1 PUBLIC WORKS Amends Bainbridge Island Municipal Code 13.24.  MOTION: Imove we approve the consent agenda items. POMAOMSA/TOLLEPSON: Motion carried7-0.  11. COMMITTEE REPORTS 9:551 PM  A. NON.MOTORIZEDTRANSPORTATION ADVISORY COMMITTEE NOTES, NOVEMBER 4,2015 B. PUBLIC WATER ACCESS COMMITTEE NOTES, NOVEMBER 9, 2015- - MAYOR BLAIR C. HUMAN SERVICES FUNDING ADVISORY COMMITTEE NOTES, NOVEMBERS/ AND  COUNCILMEMBER ROTH  NOVEMBER 10, 2015- DEPUTY MAYOR SCOTT 12. REVIEW UPCOMING COUNCIL MEETING AGENDAS9:56PM City Manager Schulze reviewed the December 1 agenda and upcoming calendar.  13, FORTHE GOOD OF THE ORDER 10:041 PM  Councilmember Tollefson indicated the Council received a letter from the park district expressing interest in the Lost Valley Trail and he wanted to know ifanyone had any time concerns. Thei item would be brought forward sometime next year.  Mayor Blair thanked those who attended an AWC legislative event last week.  14. ADJOURNMENT 10:06P PM The meeting adjourned at 10:06 PM.  REA for Anne S. Blair, Mayor  JpalidD.one Rosalind D. Lassoff, City Clérk  6