City Council

Oak Harbor City Council Regular Meeting Minutes August 20, 2024 This was both a physical meeting location and a virtual meeting. Meeting was viewable live via YouTube at www,youtube.com/cityofoakharbor, on Facebook, and on Cable Channel 10/HD 1090 following the meeting. CALL TO ORDER Call To Order and Native Lands Acknowledgement - Mayor Wright called the meeting to order at 5:30 p.m. He included the acknowledgement that the meeting was being held on the ancestral lands of the Coast Salish people and paid respect to those past and present. Invocation – Pastor Kevin Scott, Seventh Day Adventist Church. Pledge of Allegiance – Led by Mayor Wright ROLL CALL City Council Present: Staff Present/Videoconference Mayor Ronnie Wright City Administrator Sabrina Combs Mayor Pro Tem Tara Hizon Deputy City Administrator David Goldman Councilmember Jim Woessner Development Services Director David Kuhl Councilmember Bryan Stucky Public Works Director Steve Schuller Councilmember Shane Hoffmire Parks and Recreation Director Brian Smith Councilmember Eric Marshall Human Resources Director Emma House Councilmember Christopher Wiegenstein Police Captain Kevin Barton Councilmember Barbara Armes Fire Chief Travis Anderson Interim Fire Chief Gordon Olson Central Services Manager Sandra Place Grants Administrator Wendy Horn Communications Officer Magi Aguilar Executive Services Coordinator Macalle Finkle City Clerk Julie Nester Also in attendance: City Attorney Hillary Evans of Kenyon Disend, PLLC EXCUSE ABSENT COUNCILMEMBERS Mayor Wright welcomed all in attendance. All members of the Council were present. EXECUTIVE SESSION Mayor Wright noted the Council would move into executive session to review the performance of a public employee per RCW 42.30.110 (1) (g). The anticipated duration of the executive session was fifteen minutes. He observed action might or might not be taken upon return to the open session, and that executive sessions were not open to the public. The Council entered into executive session at 5:34 p.m. Regular Meeting Minutes August 20, 2024 Page 1 of 9 At 5:49 p.m. the Council came out of executive session and resumed the open session of the meeting. Mayor Wright noted no action will be taken at this time regarding the matter discussed. 1. APPROVAL OF AGENDA Mayor Wright requested changes to the agenda. Hearing no changes, the agenda was approved as presented. 2. PRESENTATIONS a. Proclamations – None b. Honors & Recognitions – None c. Community Presentations – A presentation by Fizz Events was moved to later in the meeting 3. CITIZEN COMMENT PERIOD Mayor Wright noted citizens may comment on Consent Agenda items or subjects of interest not listed on the agenda at this time and that citizens would have the opportunity to comment on the remaining Agenda items during the meeting as appropriate. Citizens can also visit the City’s website prior to meetings for methods to submit public comment, or contact the City Clerk, Julie Nester by phone or email. When submitting comments, please include your name and address. Public comments sent anonymously will be shared with the Mayor and Council but will not be displayed. The City received several new public comments since the last regular meeting, which were displayed. 1. Kyle Renninger, Coupeville, making a formal complaint regarding the manipulation and display of public comments by noting whether a person resides inside or outside of the city limits 2. Christine Root, Island County, suggesting promotion of Oak Harbor as a summer retreat for snowbirds. 3. Jamie Parker, Oak Harbor, regarding water main construction on Regatta with the traffic detour to O’Leary as disruptive. 4. Cecil Pierce, Oak Harbor, regarding Disability Access 5. Laurie Anderton MacKenzie, Oak Harbor, regarding Park Land Swap Code Change 6. Shannon Bly, Oak Harbor, regarding the Mayor’s Salary Increase. Mayor Wright opened the floor for public comment on items not on the agenda or items on the consent agenda. 1. Tiffany Scribner of Oak Harbor, Chair of the Salary Commission spoke in regard to the August 13, 2024 Council meeting and the Salary Commission Report and Order process, which she noted was taken very seriously by all Commissioners, and her disappointment in the comments made by the Council. 2. Mary Elizabeth Himes of Oak Harbor, a member of the Salary Commission, responded to the remarks made by the Council at the August 13, 2024 meeting and on facebook.as embarrassing and noted the need to seek solutions over problems. Hearing no one with a desire to address the Council, on non-public hearing items, the public comment period was closed. Regular Meeting Minutes August 20, 2024 Page 2 of 9 4. CONSENT AGENDA Consent Items a. Approval of Payroll and Accounts Payable Vouchers b. Professional Services Agreement – Fizz Events for Whidbey Island Marathon c. Vehicle Purchase Request d. Interlocal Agreement for Auction Services e. Approval of Planning Commission Appointment – James P. Marrow Mayor Wright called for any changes to the consent agenda. Councilmember Marshall requested to remove item b. Professional Services Agreement – Fizz Events for Whidbey Island Marathon for additional information and discussion, the request was seconded by Councilmember Woessner and endorsed unanimously. Mayor Wright called for a motion to approve the remaining consent agenda items as presented. Motion: Councilmember Marshall moved to approve the remaining items, seconded by Councilmember Hoffmire. The motion passed unanimously. Community Presentation i. Whidbey Island Marathon – Fizz Events, Jared Loranger Jared Loranger, of Fizz Events presented information and statistics for the Whidbey Island Marathon, held on April 21, 2024. The Marathon attracted 1,674 total participants from 7 countries. 45% of partic- ipants traveled more than 50 miles and 257 room night stays were attributed to participants. Mr. Loranger praised the invaluable work of the more than 250 volunteers, plus businesses, and city staff and officials that make the Marathon such a success. Councilmembers Stucky, Marshall, and Hoffmire provided their respective questions and comments. Motion: Mayor Pro Tem Hizon moved to approve the Professional Services Agreement with Fizz Events for the Whidbey Island Marathon seconded by Councilmember Marshall. The vote on the motion passed unanimously. 5. MAYOR, COUNCIL & STAFF COMMENTS a. Mayor’s Comments Mayor Wright provided the following comments: I appreciate everyone waiting for me to return from my time out of the office to address my response to items from last week’s meeting. We all need breaks to reflect and return with a fresh perspective. The City Administrator was away at a conference to connect with other City Managers and Administra- tors last week. The Washington City Managers & Administrators Association is an important group that I appreciate us participating in. City Administrator Combs will share more about the conference in the department report at the workshop later this month. Sometimes timing does not align perfectly with the schedules and business we have as a City, and I want to thank Mayor Pro Tem Hizon and Deputy City Administrator David Goldman for being here to run the meeting in our absences. Regular Meeting Minutes August 20, 2024 Page 3 of 9 In listening to the video of the meeting, I am thankful that this Council is aware of the amount of work I am putting into being the Mayor of this City every day. It is more than a 40 hour a week job to be present and to lead our growing City. I am constantly learning new things as your Mayor, and I love it! I also want to thank our staff and volunteers. They put in the hours and make this City shine. They are helping us address cleaning up items from the past, working on current projects, and planning for our future. We should do all we can to show our appreciation of their service to making the City of Oak Harbor a wonderful place to live, work, and visit. In reflection, I realize that I could have communicated the process to the Salary Commission better. I will work to do this differently in the future. We are all learning. Part of my learning was focusing on following the process from the past and keeping the Salary Commission and Council separate because the Salary Commission is an independent Commission, appointed by the Mayor following approval by the Council. Thank you to those Councilmembers who took the time to share their feelings about the Salary Com- mission and my salary increase process with me, including Mayor Pro Tem Hizon, and Councilmembers Woessner, Marshall, Stucky, Armes, and Wiegenstein. I appreciate their condor and professionalism. A good leader doesn’t need to agree with everyone, but they take the time to listen and understand the perspective of others. I have learned that we can all do better. All of us need to do a better job of understanding how all our Boards, Commissions, and Committees, City code, state laws, policies, and processes work. We can also do better at addressing our disagreements. If we don’t agree with something, we need to discuss potential changes as an elective body. I will not support any of us, as community leaders, using social media platforms to disagree with this Council and our decisions, attack staff, or our community volunteers. In fact, I think some owe our staff and volunteers an apology. The buck stops with me as the Mayor and if you have a problem; come and see me or call me. We are working hard to improve communications about what the City is doing. This is an ongoing item that our Communications Officer is working with staff to address. We hired a highly experienced and talented communicator. We must let her do her job and notify her of items of concern and not participate in the online discussions on behalf of the City. Our participation in these ongoing discussions creates risk for us individually and for the City. It is not our role to be the communications head of the City. I urge you to let the Communications Officer do her job. Avoid engaging and please do not create quorums online. Everything you do, including social media creates a public record. Many of you on the Council are using personal cell phones. The City pays for city cell phones and services for each councilmember. Communications Officer Aguilar has met with a few of you already, I invite you to schedule a time to meet with her to discuss digital platforms and engagement practices, so we're all aligned in our approach with intentional dialogue to our community. It is embarrassing when I see posts that the community and staff share with me about Councilmembers participating in discourse that is being identified by the community as rude, bullying and even threaten- ing. It impacts the types of interactions that the community members have with staff. Why would we want to make any of their jobs harder? It increases workload and stress for staff and volunteers. Regular Meeting Minutes August 20, 2024 Page 4 of 9 When you join a post and the engagement turns negative, your lack of response to those comments can be viewed as acceptance of the statements. Be aware of how your online interactions impact our staff and volunteers. It is a challenge and sometimes you should just put the keyboard down. We can all help by doing a better job of staying informed. You can check the City website or the bulletin board at City Hall. Or sign up for announcements via the “Notify Me” button on the website so that you will receive messages about upcoming events, meetings, or news announcements from the City website directly. If you need assistance, please contact the Executive Office staff. Another option is to do as Mayor Pro Tem, and Councilmembers Armes, Marshall, and Stucky do. They schedule time before meetings with the City Administrator or me to discuss items on the agenda. I met with Councilmember Woessner yesterday, and he has agreed to do the same. It provides an opportunity to ask questions, request additional information, or make staff aware of comments you have received from the public so they can find ways to potentially incorporate a response into their presentation. Finally, this is a strong Mayor city, I am the Executive branch, and you are the Legislative. It is the beauty of our democracy because we have a system of checks and balances. We are entrusted with maintaining our democracy and one way we can do this is by understanding our roles and sticking to them. Some items which are under the authority of the Mayor are addressed in the Executive office, and others come to Council for a decision. Remember, good leaders create great communities by working together. There will be times that we disagree. However, I want us to take the time to talk and settle disagreements in person versus on social media. If you think my schedule is booked call Executive Services Coordinator Macalle Finkle, and she will work with me to get you added to my calendar. Staff reminded me this week about Resolution 22-20 that included adoption of Council and Staff Guide- lines. I am putting these guidelines up on the screen because it is a good reminder for all of us. I am asking Macalle to pause for us all to read the seven items that include Appreciation of Roles and Re- sponsibilities, Partnership and Teamwork, No Surprises, Tolerate Imperfection and Setbacks, Set Clear Priorities, Information and Options, Communication and Engagement, and Addressing Concerns. Let’s work together to continue to stay on this path. I want to thank all our staff and volunteers again for their work. If you are interested in serving this community, please fill out an application to serve on one of our advisory board vacancies that are on the screen now. Thank you as well to our front counter staff who deal with our public professionally each day. I am confident that together, we can make a positive difference. • Recognition of Interim Fire Chief Gordie Olson: I didn’t place this on our regular agenda because I wanted to be certain Chief Olson and I would both be in attendance as this is his last week with the City. Gordie, thank you for your thoughtful and professional service to our Fire Department and our City. We have been so fortunate to benefit from your knowledge and experience. From meeting with and as- sessing the needs of department staff, to assisting in coordination with the next steps for our new fire station, to providing input and guidance in the selection of our new Chief, you have gone above and beyond in your role as Interim Fire Chief. Please accept this small token of our gratitude. • Comprehensive Plan Survey: The City’s Development Services team launched our 2025 Comprehen- sive Plan Survey today. We ask the public to please take time to take the survey. Your survey responses will allow our team to plan for the next 10 years by learning what's important to you and what you value Regular Meeting Minutes August 20, 2024 Page 5 of 9 in our community. The community vision and input are very important to shaping a resilient, sustainable future for Oak Harbor. You may scan the QR code to take the short survey or log onto the City website. The survey is live now and will go live on social media tomorrow morning. • Advisory Board and Commissions openings: The City has openings on several of our advisory boards and commissions. They are displayed on screen. Please see our website to apply. The city appreciates your service. • All Staff Event on Thursday: City staff will participate in a mandatory all staff event on Thursday from 11:00 a.m. to 1:00 p.m. All City offices will be closed from 10:45 a.m. to 1:15 p.m. • Still Hiring: The City has openings for employment in several areas, including seasonal positions, evidence information specialist, bus driver, streets, and more. See our website for a complete listing. • Local Events: There are several terrific special events happening in our area, many of which are displayed on the screen. • In Memory: I recently was joined by Chief Slowik and Captain Eric Hanks in celebrating the 101st birthday of Mary Cannon. She was a delightful lady, and she will be dearly missed. b. Councilmembers Mayor Pro Tem Hizon and Councilmembers Woessner, Hoffmire, Stucky, Marshall, Wiegenstein, and Armes provided their respective comments and addressed those members of the Salary Commission present to thank them for their service, and voice their appreciation, with some offering an apology. Members of the Council also addressed the discourse on Facebook, about which there was continued disagreement. 6. PUBLIC HEARINGS & MEETINGS a. Continuation of Public Hearing – Ordinance No. 2007: Amendment No. 8 to the 2023-2024 Biennial Budget Mayor Wright noted this was a continuation of the public hearing from August 13, 2024. He introduced Deputy City Administrator David Goldman to present background and other information. The August 13th presentation reviewed amendments and adjustments to the budget. Amendments must be approved by the City Council. Adjustments are not voted upon by the Council and are presented as a courtesy for transparency. The items before Council in the ordinance that require a vote are the budget amendments. Deputy City Administrator Goldman noted there were two versions before the Council, Version 1 of which included an amendment to fund the Economic Development Coordinator position of an additional forty-five days. The position was originally funded with American Rescue Plan Act dollars for a finite period. Following the presentation, Mayor Wright continued the public hearing. He confirmed the only public comments received by the City were in regard to the adjustment of the Mayor’s salary and not on any of the amendments which were part of the proposed ordinance. Mayor Wright asked City Clerk Nester to call on those who signed up to speak in person regarding proposed Ordinance No. 2007 and any of the amendments to the 2023-2024 Biennial Budget. He noted if any individual’s public comment was submitted in advance and displayed in the meeting already, that they please not comment a second time. Regular Meeting Minutes August 20, 2024 Page 6 of 9 Hearing no public comments, Mayor Wright closed the public hearing. There were no comments from the Council. Motion: Councilmember Woessner moved to adopt Ordinance No. 2007: Amendment No. 8 to the 2023- 2024 Biennial Budget, Version #1. Councilmember Wiegenstein seconded the motion. Mayor Pro Tem Hizon and Councilmember Hoffmire provided additional comments. The vote on the motion passed 6-1 with Councilmember Hoffmire opposed. b. Revenue Sources and Property Taxes for the Upcoming 2025-2026 Biennial Budget Deputy City Administrator Goldman presented the item, a 2024 mid-year financial review of revenue sources in preparation for the 2025-2026 Biennial Budget. This was presented as a requirement for the budget preparation and required a public hearing per RCW 84.55.120, but no action from the Council. Deputy City Administrator Goldman reviewed the 2023 Preliminary Results. He explained the unaudited preliminary results from 2023 are split into two sections due to different accounting treatments as: 1. Governmental Funds 2. Enterprise Funds Governmental Funds include the General Fund, Streets and Arterials, the Transpiration Benefit District, Creative Arts, Lodging Tax Advisory Committee, Senior Services, and other funds such as REET, Pro- ject Funds and Debt Funds. Deputy City Administrator Goldman provided a chart of fund balance trends for 2018-2023. Enterprise Funds include the Water Fund, Sewer Fund, Solid Waste Fund, Storm Drain Fund, and the Marina Fund. Deputy City Administrator Goldman provided a chart of net position trends for 2018-2023. Deputy City Administrator Goldman provided a review of 2024 Mid-Year Revenues, including Transfers, Insurance Recovery, Grants, and Bond Proceeds. Total Core Revenues include the Levy Lid Lift and Interest Earnings. 2024 Outlook: The City financials are stable. Staff will keep an eye on sales tax and development / real estate related trends. Cities are looking for Washington State to adopt a permanent fix to transportation funding. Mayor Wright opened the public hearing. He confirmed no public comments had been received and called for any comments from the members of the public in attendance. 1. Scott Thompson, 2900 Scenic Heights, Oak Harbor spoke regarding increases to County prop- erty taxes, City development fees and State excise tax costs. Hearing no one / no others with a desire to address the Council, the public hearing was closed. Councilmembers Wiegenstein and Marshall provided their respective questions and comments. This item required no action by the Council. 7. ORDINANCES & RESOLUTIONS None. Regular Meeting Minutes August 20, 2024 Page 7 of 9 8. CONTRACT & AGREEMENTS None. 9. OTHER ITEMS FOR CONSIDERATION a. 2025 Lodging Tax Grant Funding Level Referral to Council Grants Administrator Horn presented the item. She explained that per RCW 67.28.1817, a city or county with a population of 5,000 or more that collects lodging tax must also establish a lodging tax advisory committee (LTAC) to review applications and make funding recommendations for use of those funds. The City of Oak Harbor Lodging Tax Advisory Committee includes: 3 Receivers 3 Collectors 1 City Council member (Chair) Finance Director or designee (Ex-Officio) Per OHMC 2.66, any proposal to assign lodging tax funding must be submitted to the lodging tax advi- sory committee for review and comment at least 45 days before final action can be taken on the proposal by the legislative body. Use of Revenues Lodging tax revenues (RCW 67.28.1815-.1816) uses: Tourism marketing; Marketing and operations of special events and festivals designed to attract tourists. Operations and capital expenditures of tourism-related facilities owned or operated by a municipality or a public facilities district, including repayment of general obligation bonds (RCW 67.28.150) or revenue bonds (RCW 67.28.160) for eligible capital projects; or Operations of tourism-related facilities owned or operated by nonprofit organizations (but not capital expenditures). 2025 Tentative LTAC Timeline City Council Agenda Bill to discuss funding level (starts 45-day clock) - August 20, 2024 LTAC meeting to discuss grading criteria and application process - Late August-Early September LTAC grant application window - Sept 13-30, 2024 (tentative) LTAC meeting – Applicant Presentations - 1st week of October LTAC meeting to determine grant award recommendations - 2nd week of October Consideration of awards by the City Council - October 15, 2024 (tentative) Grants Administrator Horn reviewed the 10-Year Fund Balance Trend for 2014-2024. She noted the Fund Balance has remained healthy with revenues and expenditures being relatively steady as well. In 2023, the Council approve a larger amount to award than in previous years. Last year 2024, the council approved $375,000 in grants, leaving $706,656 in the Fund balance. In terms of revenue, the City has received $139,527.76 to date. Staff is estimating another $214,000 in revenue for a total of $353,900 in 2024 revenue. Currently there is $207,685 yet to be claimed by grantees. This is in part due to the nature of the awards. Some events have yet to occur, and some organizations are invoicing the City monthly for operations, but the committee and staff anticipate all funds will be claimed. Regular Meeting Minutes August 20, 2024 Page 8 of 9 That will leave $713,342 in the Fund Balance at the end of the year. To summarize, multi-year grants total $161,160, the agreement with Whidbey & Camano Island Tourism is $50,000 and recommended new awards of $238,840 would be a total of $450,000 in awards in 2025. The preliminary revenue estimate for 2025 is $358,700. Given the known commitments, it is estimated the Fund Balance will increase to $860,882.32. After consultation with the Chair of the LTAC, Finance is recommending new grant awards in 2025 to total $238,840. If approved and all funds are awarded in 2025, the Fund Balance would be approximately $622,042.32 at the end of the year. Grants Administrator Horn turned the review to the LTAC Chair, Councilmember Stucky, who noted he did not have much to add to the review and report. He explained he is also on the Whidbey Tourism Board, which is working on becoming a 501 c 6 corporation. Mayor Wright confirmed no public comments had been received. Councilmembers Marshall, Woessner, and Stucky provided their respective questions and comments. Motion: Councilmember Marshall moved to refer use of Civic Improvement (Lodging Tax) Funds of $450,000 in 2025 to the Lodging Tax Advisory Committee for grant applications, review, and recom- mendations back to the City Council. Councilmember Hoffmire seconded the motion, which passed unanimously. 10. REPORTS & DISCUSSION ITEMS None. 11. EXECUTIVE SESSION – An executive session was held at the beginning of the meeting as noted in these minutes. ADJOURN There being no further business, Councilmember Woessner moved to adjourn the meeting, seconded by Mayor Pro Tem Hizon. The vote on the motion was unanimous, therefore the meeting was adjourned at 8:16 p.m. Certified by Julie Nester, City Clerk Regular Meeting Minutes August 20, 2024 Page 9 of 9