City Council - Regular Meeting

City of Bellingham City Council Regular Meeting Minutes November 8, 2021, 7:00 PM Mayor Seth Fleetwood Contact: (360) 778-8200, ccmail@cob.org Council Members Hannah Stone, Gene Knutson, Daniel Hammill, www.cob.org/council Pinky Vargas, Lisa Anderson, Michael Lilliquist and All meetings are held in the City Hall Council Chambers at Hollie Huthman 210 Lottie Street, Bellingham, WA, unless otherwise noted. Legislative Assistant Nalini Margaitis Please note the doors to City Hall unlock at 6:30 PM. Call to Order The meeting was called to order by Council President Stone at 7:00 p.m. Announcements & Upcoming Meetings: Bellingham City Council meets all requirements of the State of Washington Open Public Meetings Act. 1. On November 22, 2021 at 7:00 PM there will be a Public Hearing to consider the City of Bellingham’s 2021-2022 Mid-Biennium Budget Adjustment 2. On December 6, 2021 at 7:00 PM there will be a Public Hearing on the consideration of staff initiated amendments to the Infill Housing Toolkit provisions of the Bellingham Municipal Code 3. The next three City Council public comment sessions will be held at 7:00 PM on November 15, November 29, and December 20). Public comment sessions may be accessed via Zoom at: https://cob.org/commentzoom (Meeting ID: 923 0705 9297 Password: 018602) Roll Call Present: Council President Hannah Stone, First Ward Council Member Daniel Hammill, Third Ward Council Member Pinky Vargas, Fourth Ward Council Member Lisa Anderson, Fifth Ward Council Member Michael Lilliquist, Sixth Ward Council Member Hollie Huthman, At-Large Excused Council Member Gene Knutson, Second Ward Public Hearing 23145 1. First Public Hearing on the 2021-2022 Mid-Biennium Budget Adjustment City of Bellingham Regular City Council Meeting Page 1 of 10 11/8/2021 Minutes  The 2021-2022 Mid-Biennium Budget adjustment adds new Citywide revenues of $61.8M, including $12.6M in the General Fund, and new Citywide expenditures of $65.3M, including $6.7M in the General Fund. It also adds, removes and changes budgeted positions throughout the City for a net increase of 49.25 FTEs. Forrest Longman provided the Council with a presentation on the mid-biennium adjustment. New resources leveraged for increased services: investments in downtown (community ambassador program, increasing public resources for downtown cleaning), funding for unarmed response for community member in crisis, expanding staffing in Parks & Recreation to improve maintenance, upkeep and safety in parks and on trails, 23 new positions in the Fire Department for a dedicated BLS unit (5th medic unit), continuation of Library programming instituted for COVID (including Wi-Fi hotspot lending), expanded Library staff, 4 new positions in Dispatch, Communication and outreach staff to improve transparency and timely, accurate information about city activities and services. Enhanced internal services: 3 positions in ITSD, 1 dedicated to Library technology, financial staff in Parks and Recreation Department, HR & Police staff focused on technology. Diversity, equity & inclusion: dedicated funds for proposed Racial Equity Commission, funding for further DEI training for entire Fire Department, establishment of Juneteenth as official City holiday. Planning for future needs: reserving 600 West Holly revenue for future environmental remediation needs, increase funding for claims and litigation fund, staffing in Public Works to ensure proper management of biosolids project and plant management, funding to design upgrades in Old Town streets & sidewalks and Woburn operations site. The overall budget impact includes: $25 million in additions citywide offset by $16 million in revenue, $40 million technical clean-up in revenue and expense related to 2021 bond funding. If approved, the total Biennial Budget will be $780.1 million up from $713.6 million. Council President Stone opened the Public Hearing. No one registered or spoke during the public comment period. The Public Hearing was closed. Mayor's Report Standing time for briefings, updates and reports to Council by the Mayor, if needed. Information only. 23157 1. Mayor's Reappointment of Kolby LaBree to the Historic Preservation Commission (Approval) Hollie Huthman / Daniel Hammill moved to approve the Mayor's Reappointment of Kolby LaBree to the Historic Preservation Commission, which will expire on November City of Bellingham Regular City Council Meeting Page 2 of 10 11/8/2021 Minutes  5, 2024, at which time she may be reappointed. MOTION CARRIED 6-0-1, Gene Knutson excused. 23158 2. Mayor's Reappointment of David Frankel to the Mayor's Neighborhood Advisory Commission (Information) The Mayor reappoints David Frankel as the South Hill Neighborhood Representative to his final term, which will expire on November 21, 2023. The City's Public Works Water Treatment Department was issued an award by the WA State Department of Health for Drinking Water Treatment Excellence, recognizing that the City's surface water treatment facility goes above and beyond the requirements of the Department of Health and the Safe Drinking Water Act to protect public health. Bellingham has met these enhanced performance goals for ten years and was recognized last week as a premier treatment plant for the state, specifically with respect to turbidity removal targets. After a lengthy search, the next Planning Director, Blake Lyon, will begin with the City on March 1, 2022. He is an Urban Planner, with 20 years of success, and increasing responsibility in local government. He is currently the Director of Building Services and Code Enforcement in Florida. Tara Sundin will remain Acting Director through the end of the year, after which Kurt Nabbefeld and Gregory Aucutt will take over this role. Chief Flo Simon has extended her retirement until June 2022. The search for Police Chief will commence in January 2022, with the goal to have the position filled by June 2022. Marty Mulholland, an indispensable IT Director, is retiring after 18 years, and today is her last City Council meeting. Mayor Seth Fleetwood presented Marty Mulholland with an appreciative framed plaque. The Mayor highlighted some of her accomplishments: Marty streamlined purchasing and contracting systems, increasing focus on security (developed a security program), maximized franchise agreements (oversaw multiple efforts), a professional and vital City resource to BTV, upgraded Council Chambers and community participation in meetings, overseen telephone replacement (including all new telephone numbers), moved the City from Lotus Notes, overseen upgrades to the Human Resource and Finance System, various document management system, and public payment systems. Councilmembers expressed their appreciation and gratitude for Marty Mulholland and wished her the best in her retirement. In turn, Marty Mulholland expressed her appreciation having worked for the City for the past 18 years, and stated that she was deeply honored by the evening’s presentation on her behalf. Mayor Fleetwood stated that the search for her replacement is in process. Scott Elsner will take over the responsibilities in the interim. City of Bellingham Regular City Council Meeting Page 3 of 10 11/8/2021 Minutes Public Comment Report Council President Hannah Stone provided an update from the November 1, 2021 public comment session, where she was joined by Councilmember Vargas and Councilmember Anderson, as well as Janice Keller (from the Mayor's Office) and Claudia Murphy (from the Police Department). There was a minimum of 30 people in attendance and a total of 19 who provided public comment. Subjects included: people first initiatives, redevelopment of Light House, winter shelter needs, and the vaccine mandate. The next public comment session will occur on Monday, November 15 at 7:00PM. The public may attend via zoom at: https://www.cob.org/commentzoom . Council Standing Committee Meetings: Public Works and Natural Resources 10:00 AM Michael Lilliquist, Chair Gene Knutson, Lisa Anderson 23159 1. Request for Sewer Service at 4909 Samish Way Michael Lilliquist / Lisa Anderson moved to recommend approval of the contract with the City of Bellingham for retail sewer service as allowed under Bellingham Municipal Code Section 15.36 MOTION CARRIED 6-0-1, Gene Knutson excused. The existing residence at 4909 Samish Way has been informed by the Whatcom County Health Department that the septic system that serves the residence has failed. The property is located outside of City limits. The property owners are requesting to enter into a contract with the City of Bellingham for retail sewer service as allowed under Bellingham Municipal Code Section 15.36. Staff recommend approval of the contract. 23137 2. Work Session to Consider a Resolution and Ordinance Modifying Parking Fees and Regulations in Downtown and Fairhaven Staff presented recommended changes to the City’s public parking regulations, including an increase in rates for on-street and off-street public parking, increase in parking fines for violations, and changes to the City’s Parking Management Zones. The changes require various code amendments and passage of a fee resolution. Staff’s recommendations are intended to implement policies established by the Council including the Downtown Bellingham Plan, the Fairhaven Parking Task Force Final Report, the Comprehensive Plan and the Climate Action Plan. The policies inform parking management strategies and specifically three principles: convenience for users; managing demand in high occupancy areas; and reinvestment into the areas City of Bellingham Regular City Council Meeting Page 4 of 10 11/8/2021 Minutes  that are impacted by charging for parking. Council requested a Work Session to discuss the proposed changes. Several issues were discussed: Changing the parking time from11AM - 6PM (instead of 7PM), market price, value, price for managing parking, progressive parking rates, limits in technology (parking meters) and lack of technology in Fairhaven to install immediate progressive parking, and the impact on low-income residents in the Fairhaven neighborhood. No conclusions were made. Another work session will be scheduled. Prior to the work session, the Transportation Commission (a citizen advisory body), will also meet and provide recommendations. Prior to final approval, this item will return to the Committee of the Whole for a discussion. 23130 3. Public Street Right-of-Way Fundamentals Part 3 of 3 The City maintains many different assets within public rights-of-way that are directly related to transportation uses. Assets located within public rights-of-way include street pavement, pavement markings, sidewalks, trails, street trees, and street lighting. These types of assets have a common transportation function for the community. The City also operates, maintains and manages public and private utility services within public rights-of-way. This was the 3rd and final part of the rights-of-way series. The focus of this presentation included: sidewalk and alleyway maintenance (including the difference between an improved and unimproved alley) and a review of the Larrabee/21st Street pilot project. Presentation during Committee. Information only. Community and Economic Development 11:15 AM Hollie Huthman, Chair Pinky Vargas, Michael Lilliquist 23160 1. Consideration of an Interlocal Agreement Between the City of Bellingham, Whatcom County and the Port of Bellingham Regarding a Coordinated Approach to Funding County-Wide Economic Development Since 2011, the City of Bellingham, Whatcom County and the Port of Bellingham have been funding economic development activities, including joint funding of the Western Washington University (WWU) Small Business Development Center (SBDC), through an Interlocal Agreement. In 2018, the Port expanded its focus on economic development by creating a department and hiring a director and additional staff. City staff recommends continuing this commitment of funding to the WWU SBDC and the Port City of Bellingham Regular City Council Meeting Page 5 of 10 11/8/2021 Minutes  of Bellingham's Economic Development Department by approving the three year Interlocal Agreement. Hollie Huthman / Michael Lilliquist moved to recommend approval. MOTION CARRIED 6-0-1, Gene Knutson excused. 23161 2. Consideration of the Lodging Tax Advisory Committee's 2022 Budget Recommendations Hollie Huthman / Pinky Vargas moved to recommend approval. MOTION CARRIED 5-0-2, Daniel Hammill abstained and Gene Knutson excused. Committee Of The Whole 1:00 PM Hannah Stone, Chair Gene Knutson, Daniel Hammill, Pinky Vargas, Lisa Anderson, Michael Lilliquist, Hollie Huthman Please be advised that if the City Council is ahead of schedule, they may start with old/new business before the official Committee of the Whole meeting time. 23000 1. Update on Implementation of Interim Housing Strategies (i.e. Shelter) for those Experiencing Homelessness Staff from the City of Bellingham and County Human Services, with guidance from the County's Homeless Strategies Workgroup (HSW), completed a needs assessment that included an inventory of current shelter options operated throughout the county and available to people who are experiencing homelessness. Upon completion of the inventory of services and the identification of needs and gaps, a set of recommendations was created for the HSW consideration. The HSW approved the recommendations at their April 16, 2021 meeting. The County Council accepted the recommendations at their May 4, 2021 meeting and the City Council on May 24, 2021. Staff provided a progress update to the City Council, with an emphasis on winter shelter opportunities. Presentation during Committee. Information only. 23162 2. 2022 Legislative Objectives In anticipation of the upcoming 2022 Legislative Session, staff presented on the legislative objectives of the City of Bellingham, Port of Bellingham, and Whatcom County. The three entities agreed to a shared approach to advocacy in Olympia in late City of Bellingham Regular City Council Meeting Page 6 of 10 11/8/2021 Minutes  2012. The unique partnership has resulted in numerous legislative victories for the City, Port, and County. Presentation during Committee. Information only. Hannah Stone / Daniel Hammill moved to accept the objectives as presented. MOTION CARRIED 6-0-1, Gene Knutson excused. 23163 3. A Resolution Setting the Dates and Times of the 2022 City Council Meetings The 2022 City Council Calendar was presented and voted on by resolution. Hannah Stone / Lisa Anderson moved final approval of Resolution #2021-29. MOTION CARRIED 6-0-1, Gene Knutson excused. 23164 4. An Ordinance Amending the Bellingham Municipal Code to Exempt Qualifying Non-Profit Cinemas from Admissions Tax The ordinance amends Bellingham Municipal Code 4.74 to exempt qualifying non- profit cinemas from the admissions tax. Qualifying cinemas consist of non-profit cinemas exclusively engaged in or devoted to any religious, charitable, scientific, literary, educational, public or other like work. The admissions tax is a 5% tax levied on admission charges to an event or establishment. It is collected for the City by the business charging the admission, similar to the sales tax. City code currently exempts most non-profit activities from the tax. This ordinance extends that exemption to non-profit motion picture screenings. The Finance Department estimates this change will reduce General Fund revenues by $30,000 to $40,000 under normal economic activity levels. All admissions taxes go to the General Fund. Hannah Stone / Pinky Vargas moved for first and second reading. MOTION CARRIED 6-0-1, Gene Knutson excused. 23150 5. Budget Work Session Presentation during Committee. Information only. 6. Approval of Minutes Two sets of minutes will be approved on 11/22/2021. City of Bellingham Regular City Council Meeting Page 7 of 10 11/8/2021 Minutes  7. Old/New Business Executive Session 3:15 PM Closed to the public. Report in the Regular Meeting only: 1. Potential Litigation (Kraham, approx. 15 min) Staff provided information on a potential litigation matter. Council President Stone entertained a motion to authorize the Mayor to a contract with outside legal Counsel to assist the City Attorney's Office representing the City of Bellingham in this matter. Michael Lilliquist / Daniel Hammill moved to authorize the Mayor to a contract with outside legal Counsel to assist the City Attorney's Office representing the City of Bellingham in this matter. MOTION CARRIED 6-0-1, Gene Knutson excused. Consent Agenda All matters listed on the Consent Agenda are considered routine and/or non-controversial items and may be approved in a single motion. A member of the Council may ask that an item be removed from the Consent Agenda and considered separately. 23165 1. Authorization of A/P Transactions Issued October 15, 2021 through October 21, 2021 23166 2. Authorization of Payroll Labor Cost Payments Dated October 01, 2021 to October 15, 2021 23167 3. Amendment to Original Interlocal Agreement for Inmate Housing 23168 4. Interlocal Agreement Between The City of Bellingham and Bellingham Housing Authority Daniel Hammill / Hollie Huthman moved approval of the Consent Agenda in its entirety. MOTION CARRIED 6-0-1, Gene Knutson excused. Final Consideration of Ordinances 23026 1. An Ordinance of the City of Bellingham, Washington Renewing the Franchise Granted to Olympic Pipe Line Company LLC for the Operation and City of Bellingham Regular City Council Meeting Page 8 of 10 11/8/2021 Minutes  Maintenance of its Existing Petroleum Pipeline within Certain City Rights of Way and Public Property Michael Lilliquist / Daniel Hammill moved approval for third and final reading. Upon motion, said bill was placed on final passage and approved by the following roll call vote: AYES: Stone, Hammill, Vargas, Anderson, Lilliquist, Huthman NAYS: (None) EXCUSED: Knutson MOTION CARRIED and was thereafter named Ordinance 2021-11-045. MOTION CARRIED 6-0-1, Gene Knutson excused. 23144 2. An Ordinance Amending the 2021-2022 Biennial Budget Transferring Funds from the General Fund to the Sportsplex Fund Lisa Anderson / Michael Lilliquist moved approval for third and final reading. Upon motion, said bill was placed on final passage and approved by the following roll call vote: AYES: Stone, Hammill, Vargas, Anderson, Lilliquist, Huthman NAYS: (None) EXCUSED: Knutson MOTION CARRIED and was thereafter named Ordinance 2021-11-046. MOTION CARRIED 6-0-1, Gene Knutson excused. 23125 3. An Ordinance of the City of Bellingham, Washington Relating to the Levying of Taxes and Establishing the Amount to be Raised in 2022 on the Assessed Valuation of the Property Within the City Hollie Huthman / Daniel Hammill moved approval for third and final reading. Upon motion, said bill was placed on final passage and approved by the following roll call vote: AYES: Stone, Hammill, Vargas, Anderson, Lilliquist, Huthman NAYS: (None) EXCUSED: Knutson MOTION CARRIED and was thereafter named Ordinance 2021-11-047. City of Bellingham Regular City Council Meeting Page 9 of 10 11/8/2021 Minutes  MOTION CARRIED 6-0-1, Gene Knutson excused. 23146 4. An Ordinance of the City of Bellingham, Washington, Relating to Land Use and Zoning, Extending a Moratorium on Development Applications and Permits Relating to the Redevelopment of Existing Mobile Home or Manufactured Home Parks, and Setting Six Months as Daniel Hammill / Hollie Huthman moved approval for third and final reading. Upon motion, said bill was placed on final passage and approved by the following roll call vote: AYES: Stone, Hammill, Vargas, Anderson, Lilliquist, Huthman NAYS: (None) EXCUSED: Knutson MOTION CARRIED and was thereafter named Ordinance 2021-11-048. MOTION CARRIED 6-0-1, Gene Knutson excused. Adjournment The next Public Comment session will be next Monday, November 15, 2021 and the next regular City Council meeting will be held Monday, November 22, 2021, both at 7:00 PM. There being no further business, the meeting adjourned at 8:14 PM. Hannah Stone, Council President ATTEST: Legislative Assistant, Nalini Margaitis APPROVED: 11/22/2021 City of Bellingham Regular City Council Meeting Page 10 of 10 11/8/2021 Minutes