1992-36266-Minutes for Meeting October 14,1992 Recorded 10/21/199292-36266 0119-108$
MINUTES
DESCHUTES COUNTY BOARD OF COMMISSIONERS,
October 14, 1992
..r
Chairman Maudlin called the meeting to order at 10 a.m.M -Board
members in attendance were: Dick Maudlin and Tom Throop:,,. Al -bo
present were: Rick Isham, County Counsel; Bruce White, As,1staltit
County Counsel; Larry Rice, Public Works Director; and Dennis
Maloney, Community Corrections Director.
1. CONSENT AGENDA
Consent agenda items before the Board were: #1, signature of
Project Prospectus and Local Agency Fund Exchange Agreement
for the Butler Market Road Widening Project; #2, approval of
out-of-state travel request from Health Department for
attendance at Annual Meeting of National Association of
Womens' Health Care Professionals in Chicago; #3, chair
signature of Revision #2 to Grant Award from Oregon Health
Division concerning WIC program; and #4, approval of Amendment
#26 to the Mental Health intergovernmental Agreement.
THROOP: I'll move approval of the four consent agenda
items.
MAUDLIN: I'll second the motion.
VOTE: THROOP: YES
SCHLANGEN: Excused
MAUDLIN: YES
2. FOREST HIGHWAY PROJECT AGREEMENT
Before the Board was authorization for Public Works Department
to sign modification of Forest Highway Project Agreement for
the Paulina Lake Road Project.
THROOP: I'll move authorization.
MAUDLIN: Second the motion.
VOTE: THROOP: YES
SCHLANGEN: Excused
MAUDLIN: YES
3. AWARD OF BID FOR NEGUS TRANSFER STATION IMPROVEMENTS
Before the Board was award of bid for the construction of
retaining walls and slabs at the Negus Transfer Station to the
low bidder, Co -Bridge Inc. of Bend, in the amount of
$144,288.78 for Alternative B (five bays).
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0119-1089
THROOP: I'll move award.
MAUDLIN: Second the motion.
VOTE: THROOP: YES
SCHLANGEN: Excused
MAUDLIN: YES
4. PUBLIC HEARING: ORDER 92-109 FOR ANNEXATION TO RFPD #1
Before the Board was a public hearing on Order 92-109
approving the annexation of Eagle Crest Phase II to Rural Fire
Protection District No. 1 and setting a final hearing for
November 10, 1992, at 10 a.m.
Bruce White said a petition had been received signed by Jerry
Andrus on behalf of Eagle Crest Partners and Bill Lichey on
behalf of ERD, Inc. requesting the annexation of several
hundred acres to the RFPD #1. He thought the property in
question was the property which would be covered by the
proposed addition to the Eagle Crest Destination Resort. He
gave the Board a map showing the three contiguous parcels
which were being considered for annexation. He felt the legal
description of Parcel 1, which was provided by the
petitioners, needed to be clarified further, and requested
that the Board include that as part of their motion should the
Board approve the order that day. In certifying that a
sufficient number of owners had signed the petition, the
Assessor's Office records showed that one of the parcels was
not owned by any of the petitioners. However, he understood
that since then, there had been a conveyance of the concerned
property to Eagle Ridge Development Company. In any case, the
acreage involved was so small that it would not affect whether
a sufficient number of petitioners had signed the petition.
Chairman Maudlin opened the public hearing.
Commissioner Throop asked the representative from Eagle Crest
Partners Limited, Karen Smith, to come forward and answer some
questions. He asked if parcel 1 had been acquired through an
exchange with BLM, and she said yes. She said both parcels 1
and 2 were acquired from BLM, and that Parcel 3 was acquired
earlier this year from a private party.
Chairman Maudlin closed the public hearing.
MAUDLIN: Entertain a motion for signature of the Order
subject to the correction of legal description.
THROOP: I'll make the motion for signature subject to the
correction of the legal description.
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0119-1090
MAUDLIN: I'll second the motion.
VOTE: THROOP: YES
SCHLANGEN: YES
MAUDLIN: YES
5. BUSINESS LOAN TO PACIFIC SCIENCE & TECHNOLOGY
Before the Board was approval of a business loan to Pacific
Science & Technology for $38,000. COIC staff positively
recommended approval of the loan, and COIC was also loaning
them $76,000. Pacific Science & Technology was a sole
proprietorship located in Bend. It was founded in January
1988 by Christopher Dent. The company designed, assembled,
and marketed a product line of miniature electronic metering
instruments that recorded the run-time of lights, motors, and
other electrical devices. The firm was attempting to fund the
purchase of a new building, improvements, equipment, and
inventory. The total project was expected to cost $228,600.
The Bank of the Cascades would be providing $88,000 and the
remaining balance of $26,600 would be provided with cash
equity.
THROOP: I'll move approval.
MAUDLIN: Second the motion.
VOTE: THROOP: YES
SCHLANGEN: Excused
MAUDLIN: YES
6. ACCOUNTS PAYABLE VOUCHERS
Before the Board was approval of the weekly bills in the
amount of $457,860.77.
THROOP: Move approval subject to review.
MAUDLIN: Second the motion.
VOTE: THROOP: YES
SCHLANGEN: Excused
MAUDLIN: YES
7. IRS FORM FOR BORDEN BECK PARK
Before the Board was chair signature of IRS Form 8283 Noncash
Charitable Contributions concerning the dedication of property
known as Borden Beck Park.
Rick Isham said that when the Eagle Rock Subdivision was
developed, the Borden Beck property, which was approximately
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28 acres, was offered as a park dedication. The land use
decision which approved the subdivision provided for the
dedication of that property to park purposes. The plat for
Eagle Rock Subdivision was filed and after a period of
negotiations, the County would own and control the property.
The position of the developer was that their dedication of the
property was not a necessity, and the County did not have the
authority to require the land be dedication. Therefore, they
would like acknowledgement that the County received the
property so that they could file with the IRS that it was
"more in the nature of a donation than in the nature of a quid
pro quo in the development process." The developer had
submitted an IRS form for the County to sign acknowledging
receipt of the property. The form also included an
appraiser's evaluation of the property, however, he understood
the accuracy of the appraisal would be an issue between the
developer and the IRS and would not involve the County. He
said the Hearings Officer's decision made reference to the
dedication of a park, however since the property wasn't within
the Urban Growth Boundary, he was sure the ordinance required
the dedication of park property. He said normally the County
did not receive park property resulting from subdivisions
outside of the UGB. He would not be able to give an exact
representation of what happened in this case without
researching the record involved. He thought Dave Jaqua, the
attorney who represented Fred and Judy Gunzner (the original
applicants) in this process, would say their position was that
they were not required to make this dedication, and it was
something that was offered in community spirit because of the
unique nature of that particular piece of property.
Commissioner Throop still had some concern about whether the
transfer of property was required as a part of the subdivision
approval or was a gift. Chairman Maudlin said that by signing
the form, the County was just acknowledging that it received
the property, and was not confirming whether the property was
a gift or was required by a land use action. He felt that
issue would be determined by the IRS, not the County. Rick
Isham said it was an issue of tax law and he was not familiar
with tax law. He said the question of whether or not they
would be entitled to charitable treatment by the IRS was a
separate and distinct question from whether or not it was a
donation required by some land use action.
Rhonda Avery, 1305 S Canyon, Redmond, accountant for Nolan,
Weigand & Riemenschneider, said that this paperwork had to be
submitted to the IRS by tomorrow at 5 p.m.
Chairman Maudlin said that if by signing the form, the County
was stating that it was appropriate for the IRS to consider
this property as a charitable donation, then he would not be
willing to sign it without investigating further. However if
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0119-1092
by signing, the County was only acknowledging receipt of the
property, then he was ready to sign.
Commissioner Throop asked Rhonda Avery if by signing this
form, the County was making any kind of judgement on whether
or not this was a charitable donation received by the County?
Mr. Avery responded no, and that it could still be questioned
by the IRS and possibly end up in tax court. Commissioner
Throop asked if in signing this document, the County saying it
considered the property to be a charitable contribution? Ms.
Avery said the County would be saying they received the
property, and she hadn't found anything in her research to
indicate that by signing the County would be saying definitely
yes or no on the charitable contribution issue. She said her
accounting firm had already done the research on this property
transfer, and they felt it was charitable donation and they
felt they could justify why they took that position with the
IRS.
Commissioner Throop said he had a hard time seeing it as a
charitable donation if it was a requirement of law to donate
the land in order to get approval for the subdivision. Ms.
Avery said she did not know for sure what was actually
required by law, however the 25 -acres of river property which
was donated was far more than whatever might have been
required resulting from the subdivision. The subdivision had
nine lots of 20 acres each. Commissioner Throop agreed that
25 acres was certainly more than 8% of the total development
property which had normally been required.
MAUDLIN: I would entertain a motion for chair signature.
THROOP: I'll move chair signature.
MAUDLIN: I'll second the motion.
VOTE: THROOP: YES
SCHLANGEN: Excused
MAUDLIN: YES
8. CONSERVATION EASEMENT FOR THE LLOYDS
Before the Board was signature of a Conservation Easement for
Thomas and Dawn Lloyd in conjunction with site plan review
within the Landscape Management Zone to construct a new
residence on the Deschutes River.
THROOP: I'll move signature of the Conservation Easement.
MAUDLIN: I'll second the motion.
PAGE 5 MINUTES: 10-14-92
9.
10.
11.
0119-1093
VOTE: THROOP: YES
SCHLANGEN: Excused
MAUDLIN: YES
SPECIAL TRANSPORTATION FUND AGREEMENT WITH CITY OF BEND
Before the Board was signature of a Special Transportation
Fund Agreement with the City of Bend to provide Dial -a -ride
Services.
THROOP: I'll move signature.
MAUDLIN: I would second the motion.
VOTE: THROOP: YES
SCHLANGEN: Excused
MAUDLIN: YES
DEVELOPMENT AGREEMENT FOR BEND AGGREGATE
Before the Board was signature of a Development Agreement for
Bend Aggregate and Paving, Inc.
THROOP: I'll move signature of the Development Agreement.
MAUDLIN: Second the motion.
VOTE: THROOP: YES
SCHLANGEN: Excused
MAUDLIN: YES
PROPOSED TRANSITIONAL HOUSING CENTER
Commission Throop said there was a group which had formed to
address the number one human service need in this community --
low-income transitional housing. This group had formulated a
proposal for a Bill Healy Family Center, and their purpose in
coming before the Board was to give the County an update on
their progress and to outline the areas where they would like
the County's participation.
Kathy DeGree with Mr. Bachelor, Sharon Miller with COCAAN, and
Dennis Maloney from County Community Corrections gave the
presentation to the Board concerning the proposed Bill Healy
Family Center.
Kathy DeGree said last year Mr. Bachelor had a free ski day
called "Sharelift" which raised over 10,000 pounds of food and
clothing and over $3,000 which went to the Rosie Bareis
Campus. As a result of that project, the Sharelift committee
of private and public sector volunteers, asked what the
community really needed. Dennis Maloney said a survey was
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done which determined that the most eminent need was
transitional housing to help people more from a dependent
situation to being independent, contributing participants in
the community. Most of the agencies which provided emergency
services were involved in making that decision. Sharon Miller
said they all agreed there was need for a transitional program
and facility to help people bridge from a state of
homelessness into the regular housing market. The emergency
shelters, which were very short term, were not meeting that
need. Dennis Maloney said participants in the program "would
be kept warm, safe and dry," but they would also be expected
to participate in programs and to become more employable, i.e.
job searches, health needs assessments. The purpose was to
move people from this setting into a more permanent apartment
setting. They hoped to have some money available to help pay
the first month's rent and deposits.
Kathy DeGree said the goal of this project was to emulate the
leadership which the County took in addressing the housing
needs of the community, and they wanted to build on those
efforts. Through a week-long fundraising effort, their goal
was to raise, from the private sector side, between $80,000-
$100,000 towards the project. This money would help leverage
state and federal dollars available for this type of project.
The public sector couldn't do it by itself and the private
sector couldn't do it my itself, however she felt that by
working together the project could be moved forward. She said
they were requesting that the County donate or somehow
leverage the land needed for this project, so that the funds
raised could used to enhance the project. If the County could
provide the property, it would set the foundation which would
make it possible for the volunteer group to apply for
additional state and federal grants.
Sharon Miller said the County property donation and the
community contribution through Sharelift would generate
anywhere from $1.5 million to $1.75 million to come into this
community. The Community Action Board had agreed to consider
providing some expertise to do the financial development for
the project, i.e. filing grant applications, discussions with
U.S. Bank. They were looking to come out of the project with
a total debt service of about $450,000 on a $1.5-$1.75 million
project.
Dennis Maloney said Community Corrections wanted to have a
significant amount of the labor completed by their trained
people who were on court sentences. He had met with the
judges regarding having some of the skilled people sentenced
to this program. He felt that would send a positive message
to the community also.
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0119-•1095
Chairman Maudlin said he had been shown one piece of property
which was being considered for this project and asked if there
were any others under consideration. Commissioner Throop said
there had been some discussions with the State Highway
Division regarding some parcels which might be available along
the Bend Parkway, however it didn't look like the time lines
would work out to utilize any of these properties.
Commissioner Throop asked for more particulars on what the
project would look like. Sharon Miller said it would be a 26 -
unit multi -family housing project, which would not necessarily
be on one structure. The units would range from one bedroom
to four bedrooms and the rent would be from $185 to $315 per
month. These rents might also be available for supplements.
Included in the facility would be a multi-purpose space to
house the supporting organizations, i.e. COBRA, Mental Health,
COCAAN, counseling for employment and career development,
budgeting, child care for job seekers. They felt the turnover
in these units would be about once every six months, therefore
there was a potential for 50 families to receive services at
this facility each year. This facility could also offer
services to the larger "at risk" population which was in some
state of homelessness or on the edge of it. She saw it as a
service hub for this County.
Kathy DeGree said their goal was to break ground around the
Spring of 1993 so that the doors could be opened in January
1994. They also were asking that the County back their loan
in a similar fashion as the County did for the Rosie Bareis
Campus.
Commissioner Throop said the reason this would be an
opportunity rather than a liability for the County was because
the mortgage would only be $446,000 while the value of the
asset, which the County would be in a first position on, would
be $1.5 million. Sharon Miller said regardless of who was
backing the loan, the bank wanted to be assured that the
management and rate structure would support the loan.
Chairman Maudlin he felt strongly that he would not enter into
any situation which would result in the County having
responsibility for the operation of the facility like had
happened with the Rosie Bareis Center. He had no objection to
donating property or helping with the loan, however he didn't
want County staff taking over management of the facility.
Sharon Miller said the management and ownership of the
building would be by either a private -nonprofit or a public
entity, other than Deschutes County, which had a background in
property management and rent collection, i.e. COCAAN, Central
Oregon Regional Housing Authority, Community Action Foundation
of Central Oregon.
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0.19-1096
Commissioner Throop pointed out that there would be a 3-1/2
point advantage on financing if there was a public entity
which would guarantee the loan.
Dennis Maloney concurred with Chairman Maudlin that there was
never any intent to have the County involved with the
management of the facility.
Chairman Maudlin said the County would continue to examine the
options for property for this project and would keep the group
informed. Commissioner Throop said negotiations were underway
with the other property owners involved in a possible site,
and he said the County would also continue to work with the
Highway Division to see if they had anything available for a
fall -back location. He said he County would need to move
slowly and cautiously, but wanted to be a partner in this
great project.
12. EXTENSION OF BROOKSWOOD BLVD
Chairman Maudlin said there was a piece of property which
would be greatly affected by the proposed alignment of the
extension of Brookswood Boulevard. After designation of the
alignment, the Board asked the Public Works Department to work
with the property owners, the McCoys, as quickly as possible.
In August, Dave Hoerning sent them a letter saying the County
was going to take their property and enclosed a map showing
the road which would cut their property in half. They had 5.5
acres with a well and power on one side of the road alignment
and their manufactured house/proposed building site on the
other side. Since the road wouldn't be built until 1995-96,
the County wouldn't take acquisition of the property until
sometime in 1994. The McCoys didn't want to go ahead with any
projects just to have them condemned, but they wanted to build
a home now. Commissioner Throop suggested acquiring the
property now. Chairman Maudlin agreed that if the County was
going to take their property sooner or later, why didn't we
take it now so that the McCoys could get on with their life.
The McCoys had said they would even consider trading for some
other property owned by the County.
Commissioner Throop asked Counsel whether the County would had
any problems with purchasing the property in advance? Mr.
Isham said the County no. Commission Throop asked whether
taking the 80 foot road right-of-way would require the County
to purchase the entire parcel? Chairman Maudlin said he
didn't know for sure. Commissioner Throop suggested that Mr.
Isham contact Dave Hoerning regarding the situation. Mr.
Isham suggested that he pass this letter on to the Public
Works Director stating that the Board would like an update on
the Brookswood Boulevard extension schedule in light of the
McCoys' request.
PAGE 9 MINUTES: 10-14-92
DATED this day of (%
Commissioners of eschutes County, Ore
ATTE
Recording Secretary
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0119-1097
, 1992, by the Board of
Commiss
Nancy Pope S hlangen, Commissioner
c
ck ud1in, Ch d firman