City Council

CITY OF MOUNT VERNON CITY COUNCIL MEETING AGENDA October 11, 2023, 7:00 p.m. Police Court Campus, 1805 Continental Place To virtually attend the meeting, the public may: 1. Watch the meeting live on TV10: Comcast/Xfinity Channel 10 2. Watch the meeting live, online: https://www.youtube.com/channel/UCUob_hcQUmd4S93YkletdrA I. OPENING CEREMONIES A. Call to Order B. Pledge of Allegiance C. Roll Call of Councilmembers II. COMMUNITY COMMENTS 1. Review of Emails from the Public (Public comments may be sent via email to communitycomments@mountvernonwa.gov. The comments will be read aloud into the record during the public comment portion of the agenda. Please limit your comments to be read in three minutes or less. Email comments must be received by 4 p.m. on October 11, 2023.) 2. Public Comments (This is an opportunity for Mount Vernon residents to address their City Council. Please limit comments to three minutes or less. Under normal circumstances, the Mayor and Council will not respond immediately to Community Comments. If you would like someone to follow up with you regarding the topic of your comments, please leave your name and contact information on the form at the entrance of the Council Chambers. If you are unable to attend the meeting and would like to make your comments via Zoom, please submit a request to speak via email to communitycomments@mountvernonwa.gov or by telephone at 360-336-6211. Requests must be received by 4 p.m. on October 11, 2023.) III. CONSENT AGENDA A. Approval of September 27, 2023, Regular Council Meeting Minutes. B. Approval of October 5, 2023, payroll checks numbered 112223 - 112242 direct deposit checks numbered 96422 - 96684, and wire transfers numbered 1260 - 1264 in the amount of $1,355,217.99. C. Approval of October 11, 2023, Claims numbered 23391 - 23527 in the amount of $1,210,804.25. Mount Vernon City Council Agenda October 11, 2023 Page 2 of 3 IV. REPORTS A. Committees 1. Public Works and Library 2. Public Safety B. Councilmember Comments C. Committee Agenda Requests V. UNFINISHED BUSINESS None VI. NEW BUSINESS A. Approval of Agreement – Skagit Gleaners (Staff is requesting approval of an agreement with Skagit Gleaners, to provide Community Development Block Grant (CDBG) funding for the purchase of a walk-in freezer for the Skagit Gleaners facility.) (required action – motion) (staff contact –Peter Donovan) B. Approval of Ordinance – 2024-2029 Capital Improvements Plan (Staff is requesting adoption of Ordinance 3876 approving the 2024 – 2029 Capital Improvements Plan.) (required action – ordinance) (staff contact – Peter Donovan) C. Approval of Restrictive Covenant – Lincoln Theatre Center Foundation (Staff is requesting approval of a Restrictive Covenant with Lincoln Theatre Center Foundation (LTCF) required by Washington State Department of Commerce prior to LTCF receiving grant funds.) (required action – motion) (staff contact – Peter Donovan) D. Approval of Agreement - DebtBook (Staff is requesting approval of an agreement with DebtBook to provide capital lease tracking and reporting required by Governmental Accounting Standards Board (GASB) Statement No. 87, Leases.) (required action – motion) (staff contact – Doug Volesky) E. Public Hearing – Final Plat Approval of Mountain Gate Subdivision PLAN23-0064 (This is a public hearing and request for approval of Resolution 1045 approving the final plat of Mountain Gate Subdivision PLAN23-0064.) (required action – resolution) (staff contact – Rebecca Lowell) F. Approval of Agreement – TranTech Engineering, LLC (Staff is requesting approval of an agreement with TranTech Engineering, LLC to provide engineering and design services for the 2024 Street Improvements Project.) (required action – motion) (staff contact – Wiliam Bullock) Mount Vernon City Council Agenda October 11, 2023 Page 3 of 3 G. Approval of Agreement – Skagit County (Staff is requesting approval of an agreement with Skagit county for continued participation in the Regional Local Source Control Program.) (required action – motion) (staff contact – Blaine Chesterfield) COMMITTEE MEETINGS Public Works and Library 6:00 p.m. Next Ordinance 3874 Next Resolution 1045  AGENDA ITEM: A DATE: October 11, 2023 TO: Mayor Boudreau and City Council FROM: Peter Donovan, Special Projects Manager SUBJECT: CDBG AGREEMENT WITH SKAGIT GLEANERS RECOMMENDED ACTION: Motion INTRODUCTION/BACKGROUND: The City of Mount Vernon has awarded funding ($36,970) to Skagit Gleaners in the City’s 2023-24 CDBG Annual Action Plan, for the purchase and installation of a walk-in freezer. FINDINGS/CONCLUSIONS: Skagit Gleaners has identified the equipment needed to assist in operations of food delivery, and has fulfilled the HUD subrecipient requirements. RECOMMENDATION: Staff recommends that Council authorize the Mayor to enter into a CDBG subrecipient agreement with Skagit Gleaners, for the purchase of a walk-in freezer, in the amount of $36,970. ATTACHED: Draft Agreement  AGENDA ITEM: B DATE: October 11, 2023 TO: Mayor Boudreau and City Council FROM: Peter Donovan, Special Projects Manager SUBJECT: 2024-2029 CIP PUBLIC HEARING RECOMMENDED ACTION: Ordinance INTRODUCTION/BACKGROUND: -The draft CIP for 2024-2029 is proposed as the City’s yearly update to the Capital Facilities Element of the Comprehensive Plan. -The CIP is a six-year plan of capital projects with estimated costs and proposed methods of financing that is updated annually. -The Washington State Growth Management Act requires jurisdictions fully planning under the GMA to include a capital facilities plan element in their comprehensive plans (RCW 36.70A.070(3)). The capital facilities element is required before a jurisdiction can impose GMA impact fees. -The process begins with Department Heads submitting their capital requests, and then the Mayor and her support staff meet with applicable department heads to review their requests in detail and revise as necessary. The draft CIP is then assembled and a) sent to the Department of Commerce for a 60-day review, b) taken before the Planning Commission as a Public Hearing for review and recommended approval, and c) taken before City Council as a Public Hearing for review and recommended approval. FINDINGS/CONCLUSIONS: --The Washington State Department of Commerce has approved the City’s draft 2024-2029 Capital Improvements Plan --Following a public hearing (September 19, 2023), the Mount Vernon Planning Commission has recommended City Council approval of the City’s draft 2024-2029 Capital Improvements Plan RECOMMENDATION: Staff recommends that Council hold an open-record public hearing to obtain any final input on the 2024- 2029 Capital Improvements Plan. Following the public hearing, staff recommends Council adoption of an ordinance, adopting the CIP. ATTACHED: --Ordinance --2024-2029 Capital Improvements Plan  AGENDA ITEM: C DATE: October 11, 2023 TO: Mayor Boudreau and City Council FROM: Peter Donovan, Special Projects Manager SUBJECT: LINCOLN THEATRE COVENANT RECOMMENDED ACTION: Motion INTRODUCTION/BACKGROUND: The City owns the property which houses The Lincoln Theatre. The Lincoln Theatre Foundation has been awarded a grant by the Washington State Department of Commerce to make improvements to the Theatre’s HVAC system. The State Department of Commerce wants assurances that the property for which they are granting the funding will remain in-use as a theater, open to the public, for a minimum of ten (10) years. FINDINGS/CONCLUSIONS: Staff recognizes the significance that The Lincoln Theatre holds in the appeal and the enhancement of the city’s downtown core. The City’s existing lease with The Lincoln Theatre is set to expire or renew in 2029. At that time, staff believes that it is likely that the City and The Lincoln Theatre would renew an agreement that would ensure that the property continues to be used as a theater. RECOMMENDATION: Staff recommends that Council authorize the Mayor to provide assurances to Washington State Department of Commerce that the property currently leased to The Lincoln Theatre will be used as a public theater for a period of at least ten years following the HVAC improvements that would be made using Commerce grant funding. ATTACHED: --Current City/Lincoln Lease --Proposed Restrictive Covenant  AGENDA ITEM: D DATE: October 11, 2023 TO: Mayor Boudreau and City Council FROM: Doug Volesky, Finance SUBJECT: DEBTBOOKS CONTRACT RENEWAL RECOMMENDED ACTION: Staff recommends Council make a motion to authorize the Mayor to enter into a contract renewal with DebtBook. INTRODUCTION/BACKGROUND: In June 2017, the Governmental Accounting Standards Board (GASB) issued Statement No. 87, Leases. GASB 87 became effective for fiscal years beginning after June 15, 2021, and all reporting periods thereafter. It is important to know that the standard was required to be applied retroactively; preexisting leases were required to be recognized and measured based on the facts and circumstances of the lease on the first day of the first fiscal year for which reporting is done in accordance with GASB 87, not inception of the lease. For governments that had capital leases in effect upon implementation, the accounting for the capital lease needed to be “unwound” and leases in accordance with GASB 87 recorded, which may result in the need to restate opening net position in the first year restated or reported in accordance with GASB 87. In May 2020, GASB issued Statement No. 96, Subscription-Based Information Technology Arrangements. GASB 96 is effective for fiscal years beginning after June 15, 2022, and all reporting periods thereafter. Like GASB 87, Leases, GASB 96 is required to be applied retroactively; preexisting SBITAs are required to be recognized and measured based on the facts and circumstances of SBITAs on the first day of the first fiscal year restated or reported in accordance with GASB 96. FINDINGS/CONCLUSIONS: The implementation, accounting and reporting of these two GASB’s is very detailed and complicated. The City owned DebtBook’s Debt module and added their Lease module in 2022 to help track and implement GASB 87. This year, in 2023, the City would like to add the Subscriptions module to help with implementation, accounting and reporting for GASB 96. The attached DebtBook quote is for a 3-year products and services agreement for a total cost of $43,000 including subscriptions and implementation charges. RECOMMENDATION: City staff is requesting Council to authorize the Mayor to enter into an agreement with DebtBook for a 3-year renewal for product and services in the amount of $43,000. ATTACHED: • 3-Year Renewal Agreement with DebtBook  AGENDA ITEM: E DATE: October 11, 2023 TO: Mayor Boudreau and City Council FROM: Rebecca Lowell, Development Services SUBJECT: CLOSED RECORD PUBLIC HEARING, PRELIMINARY PLAT APPROVAL OF MOUNTAIN GATE, PLAN23-0064 RECOMMENDED ACTION: Staff recommends Council hold a closed record public hearing and then make a motion to authorize the Mayor to sign the accompanying resolution approving the preliminary plat for the subdivision named Mountain Gate. INTRODUCTION/BACKGROUND: Proposed is a 12.7-acre preliminary plat that will create 46 detached single-family lots, ten duplex lots, and 17 tracts for stormwater infrastructure, critical areas, landscaping, open space, utilities, access, and areas to be deeded to abutting property owners. A total of 66 dwelling units will be created with this proposed subdivision. The residential lots will range in size from 2,343 square feet to 7,761 square feet in size. The Skagit County Assessor describes the site as parcels: P28018, P28021, and P27988; the site is located on the north side of East Blackburn Road and is northeast of the intersection of East Blackburn and Little Mountain Roads within a portion of the NW ¼ of Section 28, Township 34 North, Range 04 East, W.M. The general location of the project site is identified in red in the vicinity map below. The applicant/property owners for this preliminary plat are identified below: Applicant: Property Owner: SSHI, LLC NORDCO Group LLC DBA DR Horton Attention: Craig Cammock 11241 Slater Avenue NE, Suite 200 P.O. Box 2728 Kirkland, WA 98033 Mount Vernon, WA 98273 On August 31, 2023 an open record hearing was held before the Hearing Examiner for this preliminary plat. The Hearing Examiner (HE) recommended conditional approval of the application in a decision dated September 27, 2023. No request for reconsideration of the HE recommendation of approval was received by the Development Services Department during the 10-day reconsideration period. FINDINGS/CONCLUSIONS: The proposal is found to be consistent with the Mount Vernon Municipal Code and the Comprehensive Plan. The proposed preliminary plat was considered at a duly advertised public hearing before the Hearing Examiner who recommended approval of the application with conditions. RECOMMENDATION: Staff recommends that Council move to adopt a resolution approving the preliminary plat for the Mountain Gate subdivision. ATTACHED: • Proposed Resolution that includes all of the following: o Hearing Examiner’s Recommendation; o Staff Report with its associated Exhibits; and, o Notice of Reconsideration.  AGENDA ITEM: F DATE: October 11, 2023 TO: Mayor Boudreau and City Council FROM: William Bullock, P.E. - City Engineer SUBJECT: PROFESSIONAL SERVICES AGREEMENT AMENDMENT: 2024 STREET IMPROVEMENT PROGRAM – DESIGN SERVICES RECOMMENDED ACTION: Staff recommends amending the Professional Services Agreement with TranTech Engineering for engineering and design services for the 2024 Street Improvement Project. INTRODUCTION/BACKGROUND: The project includes grind and asphalt overlay of existing pavement, full depth spot repairs, adjusting existing utilities, upgrading deficient ADA intersection ramps, installing permanent pavement markings, and other work. The street segments selected for these improvements are: Arterial Streets • N Martin Road (E College Way to McLaughlin Road) • S 15th Street (E Division to E Broadway Street) • W Kincaid Street (S 1st Street to S 3rd Street) • S 3rd Street (W Kincaid Street to E Broadway Street & W Section to S 2nd Street) • S 2nd Street (W Kincaid Street to Broadway Street) • Broadway Street (S 2nd Street to S 3rd Street) FINDINGS/CONCLUSIONS: TranTech Engineering is currently under contract for engineering services for the 2022 Street Improvement Program. Coupled with their excellent performance on the 2022 Street Improvement design and timeframe left in the season to produce bid ready documents in time for next construction season; Public Works is proposing to amend the contract with TranTech Engineering in lieu a new selection process to begin engineering on the 2024 program. The design is expected to be completed February 2024 with construction anticipated in the August/September timeframe. The scope and fee for the 2024 design services is not to exceed $253,143 and will extend the contract expiration to 12/31/2024. RECOMMENDATION: Motion to approve authorization for the Mayor to amend the current contract TranTech Engineering for engineering design services on the 2024 Street Improvements Project in the amount of $253,143. ATTACHED: Draft Professional Service Contract Scope and Fee  AGENDA ITEM: G DATE: October 11, 2023 TO: Mayor Boudreau and City Council FROM: Blaine Chesterfield, Engineering Manager SUBJECT: INTERLOCAL COOPERATIVE AGREEMENT WITH THE SKAGIT COUNTY PUBLIC WORKS - REGIONAL SOURCE CONTROL PROGRAM RECOMMENDED ACTION: Staff recommends council authorize the Mayor to sign the Interlocal Cooperative Agreement with Skagit County for the Regional Local Source Control program which is an ongoing requirement of the City’s National Pollutant Discharge Elimination System (NPDES) Phase II Municipal Stormwater Permit. INTRODUCTION/BACKGROUND: In 2004 the city was mandated by the Washington State Department of Ecology to develop and implement a stormwater management program to comply with the requirements of the Municipal Stormwater Permit. The current municipal permit cycle requires the city to maintain a Local Source Control Program. The regional local source control program was started in January 2023. In this ongoing agreement with the Skagit County Public Works Department, the regional Local Source Control Program will continue to meet the requirements of the municipal stormwater permit and keep the city in compliance. The annual cost to the city for the Regional Local Source Control Program is $44,660.42. This agreement will be paid for out of the Surface Water Utility in next year’s FY2024 and the FY2025 budget under the “Professional Services” line item. FINDINGS/CONCLUSIONS: Mount Vernon Public Works staff has reviewed the agreement’s scope of work and schedule as proposed by the Skagit County Public Works Department and determined that it will continue to provide a solid regional platform for Local Source control. • The City of Mount Vernon benefits by splitting the costs for this program with other local jurisdictions such as Skagit County, Burlington, and Sedro-Woolley. • Businesses in the region will benefit from a clear and consistent regional message on stormwater, the Skagit River, and the environment. • This agreement with the Skagit County will keep the city in compliance with NPDES Permit requirements for Local Source Control inspections and education through December 2025. • The total annual cost for the agreement is $45,000 thousand dollars. RECOMMENDATION: Staff recommends the Council authorize the Mayor to enter into the Interlocal Cooperative Agreement as described above with Skagit County for the continuing implementation of a regional local source control program which will keep the City in compliance with municipal stormwater permit requirements. ATTACHED: Interlocal Cooperative Agreement