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HomeMy WebLinkAbout2008-04-23 Business Meeting MinutesDeschutes County Board of Commissioners 1300 NW Wall St., Bend, OR 97701 -1960 (541) 388 -6570 - Fax (541) 385 -3202 - www.deschutes.org MINUTES OF BUSINESS MEETING DESCHUTES COUNTY BOARD OF COMMISSIONERS WEDNESDAY, APRIL 23, 2008 Commissioners' Hearing Room - Administration Building - 1300 NW Wall St., Bend Present were Commissioners Dennis R. Luke, Tammy Melton and Michael M. Daly. Also present were Sue Brewster and Ruth Jenkin, Sheriff's Office; Timm Schimke, Solid Waste Department; Paul Blikstad, Community Development; Scot Langton, Assessor's Office; Laurie Craghead, Legal Counsel; Paul Blikstad, Community Development Department; media representatives from the Bulletin and KOHD TV; and eleven other citizens. Chair Luke called the meeting to order at 10:00 a.m. 1. Before the Board was Citizen Input. None was offered. 2. Before the Board was Consideration of Signature of an Intergovernmental Agreement with Bend Metro Park & Recreation District regarding the Use of Inmate Work Crews. Sue Brewster said that there has not been a similar agreement since 2002. Ruth Jenkin added that the workers are sentenced, male inmates that have demonstrated that their behavior can be appropriate. A deputy is with them at all times and their sentence is reduced accordingly. Sue Brewster stated that the work has to be contracted with a public agency. They are currently in negotiations with other entities. Commissioner Daly noted that he has heard from constituents that inmates should be doing this type of work on a regular basis. Minutes of Board of Commissioners' Business Meeting Wednesday, April 23, 2008 Page 1 of 9 Pages MELTON: Move approval. DALY: Second. VOTE: DALY: Yes. MELTON: Yes. LUKE: Chair votes yes. 3. Before the Board was Consideration of Chair Signature of Document No. 2008 -202, a Notice of Intent to Award Contract Letter regarding Knott Landfill Cell 5, Phase 2 Rock Removal. Timm Schimke gave a brief overview of the item, which involves the land where the recycling center used to be. This will get the landfill through the end of the fiscal year. There were nine bids and they were very close in cost. The bids came in lower than anticipated as well. MELTON: Move Chair signature. DALY: Second. VOTE: DALY: Yes. MELTON: Yes. LUKE: Chair votes yes. 4. Before the Board was Consideration of Second Reading and Adoption of Ordinance No. 2008 -016, Declaring that Blighted Areas Exist in the County, Establishing the Need for an Urban Renewal Agency. Dave Kanner explained that the Board has statutory right to establish an urban renewal agency, at which time the County can pursue funding for a specific location or project. DALY: Move second reading, by title only. MELTON: Second. VOTE: DALY: Yes. MELTON: Yes. LUKE: Chair votes yes. MELTON: Move adoption of Ordinance No. 2008 -016. DALY: Second. Minutes of Board of Commissioners' Business Meeting Wednesday, April 23, 2008 Page 2 of 9 Pages VOTE: DALY: Yes. MELTON: Yes. LUKE: Chair votes yes. Before the Board was Consideration of Approval of the Consent Agenda. DALY: Move approval of the Consent Agenda, as amended. MELTON: Second. VOTE: DALY: Yes. MELTON: Yes. LUKE: Chair votes yes. 5. Signature of Resolution No. 2008 -048, the Annual Assessment and Taxation Grant Application to the Oregon Department of Revenue. (Commissioner Baney pointed out that the date of the document is 2007.) 6. Signature of Resolution No. 2008 -042, Transferring Appropriations within the Mental Health Fund 7. Signature of Resolution No. 2008 -043, Transferring Appropriations within the Law Library Fund 8. Signature of Resolution No. 2008 -044, Appropriating a New Grant in The Mental Health Department (Treatment Facility) 9. Signature of Resolution No. 2008 -045, Appropriating a New Grant in the Mental Health Department (Early Psychosis Intervention) 10. Signature of Resolution No. 2008 -046, Establishing a Petty Cash Fund in the Community Development Department 11. Signature of Resolution No. 2008 -047, Establishing a Change Fund in the Community Development Department 12. Approval of Minutes: • Work Sessions: March 24, April 7, 9 and 16 • Business Meetings: March 24, April 7 and 9 13. Economic Development Grant Requests: • Arts Central — VanGo Outreach Project. Commissioner Melton granted $500. Minutes of Board of Commissioners' Business Meeting Wednesday, April 23, 2008 Page 3 of 9 Pages • The Nature of Words Program. Commissioners Melton and Luke granted $500 each. • Central Oregon Fire Prevention Co -op — Newspaper Insert. Commissioner Luke granted $1,000; Commissioners Melton and Daly granted $500 each. Joe Stutler indicated that this publication has already been printed and sent to all homes in order to tie into FireFree, which is why grant funds are being requested after the fact. CONVENED AS THE GOVERNING BODY OF THE 9 -1 -1 COUNTY SERVICE DISTRICT 14. Before the Board was Consideration of Approval of Accounts Payable Vouchers for the 9 -1 -1 County Service District in the Amount of $2,563.50 (two weeks). MELTON: Move approval, subject to review. DALY: Second. VOTE: DALY: Yes. MELTON: Yes. LUKE: Chair votes yes. CONVENED AS THE GOVERNING BODY OF THE EXTENSION /4 -H COUNTY SERVICE DISTRICT 15. Before the Board was Consideration of Approval of Accounts Payable Vouchers for the Extension /4 -H County Service District in the Amount of $10,108.30 (two weeks). DALY: Move approval, subject to review. MELTON: Second. VOTE: DALY: Yes. MELTON: Yes. LUKE: Chair votes yes. RECONVENED AS THE DESCHUTES COUNTY BOARD OF COMMISSIONERS Minutes of Board of Commissioners' Business Meeting Wednesday, April 23, 2008 Page 4 of 9 Pages 16. Before the Board was Consideration of Approval of Accounts Payable Vouchers for Deschutes County in the Amount of $1,379,218.17 (two weeks). MELTON: Move approval, subject to review. DALY: Second. VOTE: DALY: Yes. MELTON: Yes. LUKE: Chair votes yes. 17. Before the Board was Consideration of an Addition to the Agenda. Before the Board was Consideration of Signature of Document No. 2008 -171, an Amendment to the Improvement Agreement regarding Required Amenities at Pronghorn Destination Resort. Laurie Craghead gave an overview of the item, adding that the current agreement expires May 1. It is considerably different than most improvement agreements regarding overnight lodging. The original CMP was for a hotel for the units. Subsequently that was changed to duplexes, and then to eight -plex units (with separate bedrooms that can be locked out). This is referred to as the residence club. Ms. Craghead stated that the document has been reformatted and some minor corrections made, including the legal description of some of the lots. They would now like to switch the original 150 units for the remainder of these primarily for two hotels. Because of additional residential units that may be built, such as townhomes, this would increase the number of overnight lodging units. The other provisions is that should the County Code or State law change regarding the number of units, that this agreement stay in place regardless. She said 289 residential lots have been sold. The original 150 units are covered by funding and enough is there to cover the additional amounts. The County has almost $9 million of the company's funds in the bank, used as security to build the units that have not yet been built. They have 48 built now, plus 142 additional units now needed to offset the number of residential units. Other improvements have been bonded. The agreement would allow them five more years to build the hotels, due to the current economy. Minutes of Board of Commissioners' Business Meeting Wednesday, April 23, 2008 Page 5 of 9 Pages She further explained that the cash bonding covers the required 2:1 ratio. Commissioner Melton said that she is concerned about the five -year time frame. Commissioner Luke stated that the developer should report back to the County on the status of the units on a yearly basis, showing that progress is being made. This agreement sets a standard for other destination resorts. Commissioner Daly noted that in hard economic times, the developer should be allowed to have a little breathing room. This is not unusual, and the County has cash in the bank to cover any problems. The project is well done and he wants them to be successful. There is no reason to build the units at this time if there is no demand for them. Commissioner Luke said that he wants them to be successful and do help the local economy. But other destination resorts may state that the County is not enforcing the rules. There should be some way to ensure they follow through on a timely basis. Ms. Craghead stated that the developer is entitled to release of some of the funds as the units are completed. Commissioner Daly said that he does not feel they are violating the rules. The extension does not expire until May 1. Ms. Craghead stated that Section 6 requires a warranty period, and 10% of the construction costs will be withheld Paragraph 7 allows the County the right to enter upon the property in the event of a default. Paragraph 8 allows the County the right to draw on the funds. Paragraph 9 covers the right to egress. The non - standard language starts at Section 15, and covers the security amount, $8.5 million. The County is to provide accounting of the funds in the trust account, and the interest is assigned to the account. Number 16 notes that the developer has to cover any additional costs if it costs more. Once inspections are done, partial releases can be arranged. Commissioner Luke said that warranties are required but another section notes that they may be required. Ms. Craghead stated that they are allowed to switch to a bond. She will clarify the language. Dave Kanner asked what the mechanism is for releasing the funds, especially since three days is a very short timeframe. Ms. Craghead said that the Board could direct the Administrator signature authority in this situation. The Board asked that there be a fourteen -day notice. Minutes of Board of Commissioners' Business Meeting Wednesday, April 23, 2008 Page 6 of 9 Pages In Section 17, regarding the notice of default, the County Treasurer would distribute the funds. Other provisions of Section 17 relate to draws and disbursements. Laura Cooper, representing the developer, stated that the County did not subordinate its interest but acknowledged that there is a lender behind the County. Regarding 5.2, Commissioner Luke asked for Ms. Cooper to comment. She said that the intent is to complete both hotels within four years. They feel that there is a market for these units at this time. It is not practical to construct both of them at the same time, however. Commissioner Luke voiced concern about what happens if in five years nothing is built. The original agreement was extended already. Commissioner Melton said that she is not sure what has changed now from the other extensions. There is merit in knowing what is different at this time. Ms. Cooper replied that they had hoped to complete the improvements in the original timeframe, but it was not adequate time. It is very realistic to complete them now. The financial and commercial realities are that you should not build them until you can have them occupied. It was important to complete the infrastructure in place first, since no one would stay there if the amenities are not already there. And a lender would not loan funds to build hotels if there are no amenities already in place. Commissioner Daly asked how much they have spent in putting in the resort so far. Ms. Cooper said that the investment so far has been $170 million, and is the largest taxpayer in the County. Commissioner Daly stated that government needs to be flexible. Commissioner Melton expressed concern that the agreed -upon time frame keeps being extended. She realizes the market is different now, but wants the contract to have some teeth when it comes to the timing This is a point of principle for her. Commissioner Luke pointed out that not only other developers want to do the same thing, but the opponents of destination resorts will hold the County to task on this. He would like to get an annual update on the progress being made. Commissioner Melton stated that she feels four or five years is appropriate but she would like to see a required date for the completion of the first hotel. This benefits the developer and the County if a concise timeframe is noted. Commissioner Daly said that they should not build hotels if they don't have people to fill them. The developer is in tune with the market and knows what makes sense. Commissioner Melton wants to make sure that the process is legal and can be enforced, and a date needs to be set for completion of at least the first hotel. Minutes of Board of Commissioners' Business Meeting Wednesday, April 23, 2008 Page 7 of 9 Pages Ms. Cooper stated that they do not enter into agreements with the intent to not fulfill them. The current construction estimate sets out a timeline for construction of both hotels. (Chair Luke called for a five- minute break at this time.) Ms. Cooper stated, after speaking with her clients, that they feel that they can complete the first hotel within three years, or possibly by December 2010, and the second one would be completed within five years. They would also provide annual reports to the Board. Commissioner Daly said that if they do not perform, the County could take them over and build them, which is not a good scenario. Commissioner Luke stated that if they are nearly done, that is one thing; he does not want to see nothing done after five years. He can live with three years for the first hotel. There has to be some strength to the agreement or opponents of this type of development will be holding it over the County for years to come. Commissioner Melton feels that restrictions need to be in place. She asked if a fine can be imposed if the hotels are not completed in time. Ms. Craghead replied that they would be in Code enforcement and the County could take the funds but would have to use them to build the hotels. Or, additional funds could be required in the trust account until the hotels are completed. Commissioner Luke pointed out that they will have $8 million tied up and that is a strong incentive to perform. Commissioner Daly said that they have already done a lot for the economy of Deschutes County. A lot of counties would like to have something similar. He wants them to be successful and does not see a down -side. Paul Blikstad stated that all of the amenities are now in place and things have changed dramatically from three years ago. The attractions are there and so is the demand. Commissioners Luke and Daly both support a three -year completion requirement for the first hotel from the date of the signing of the agreement, and an annual progress report each May. Ms. Craghead will bring the revised documents to the Board at the Monday, April 30 business meeting. Being no further items to come before the Board, Chair Luke adjourned the meeting at 11:50 a.m. Minutes of Board of Commissioners' Business Meeting Wednesday, April 23, 2008 Page 8 of 9 Pages DATED this 23rd Day of April 2008 for the Deschutes County Board of Commissioners. ATTEST: Recording Secretary Dehnis R. Luke, Chair Tammy Barrey, Vice(C air ichael Da y, ommissioner Minutes of Board of Commissioners' Business Meeting Wednesday, April 23, 2008 Page 9 of 9 Pages Deschutes County Board of Commissioners 1300 NW Wall St., Bend, OR 97701 -196( (541) 388 -6570 - Fax (541) 385 -3202 - www.deschutes.or BUSINESS MEETING AGENDA DESCHUTES COUNTY BOARD OF COMMISSIONERS 10:00 A.M., WEDNESDAY, APRIL 23, 2008 Commissioners' Hearing Room - Administration Building - 1300 NW Wall St., Bend 1. CITIZEN INPUT This is the time provided for individuals wishing to address the Board, at the Board's discretion, regarding issues that are not already on the agenda. Citizens who wish to speak should sign up prior to the beginning of the meeting on the sign -up cards provided. Please use the microphone and also state your name and address at the time the Board calls on you to speak. PLEASE NOTE: Citizen input regarding matters that are or have been the subject of a public hearing will NOT be included in the record of that hearing. 2. CONSIDERATION of Signature of an Intergovernmental Agreement with Bend Metro Park & Recreation District regarding the Use of Inmate Work Crews — Capt. Ruth Jenkin and /or Sheriff Larry Blanton 3. CONSIDERATION of Chair Signature of Document No. 2008 -202, a Notice of Intent to Award Contract Letter regarding Knott Landfill Cell 5, Phase 2 Rock Removal — Timm Schimke, Solid Waste Department 4. CONSIDERATION of Second Reading and Adoption of Ordinance No. 2008 -016, Declaring that Blighted Areas Exist in the County, Establishing the Need for an Urban Renewal Agency — Dave Kanner, County Administrator CONSENT AGENDA 5. Signature of Resolution No. 2008 -048, the Annual Assessment and Taxation Grant Application to the Oregon Department of Revenue 6. Signature of Resolution No. 2008 -042, Transferring Appropriations within the Mental Health Fund Board of Commissioners' Business Meeting Agenda Wednesday, April 23, 2008 Page 1 of 8 Pages 7. Signature of Resolution No. 2008 -043, Transferring Appropriations within the Law Library Fund 8. Signature of Resolution No. 2008 -044, Appropriating a New Grant in The Mental Health Department (Treatment Facility) 9. Signature of Resolution No. 2008 -045, Appropriating a New Grant in the Mental Health Department (Early Psychosis Intervention) 10. Signature of Resolution No. 2008 -046, Establishing a Petty Cash Fund in the Community Development Department 11. Signature of Resolution No. 2008 -047, Establishing a Change Fund in the Community Development Department 12. Approval of Minutes: • Work Sessions: March 24, April 7, 9 and 16 • Business Meetings: March 24, April 7 and 9 13. Economic Development Grant Requests: • Arts Central — VanGo Outreach Project • The Nature of Words Program • Central Oregon Fire Prevention Co -op — Newspaper Insert CONVENE AS THE GOVERNING BODY OF THE 9 -1 -1 COUNTY SERVICE DISTRICT 14. CONSIDERATION of Approval of Accounts Payable Vouchers for the 9 -1 -1 County Service District CONVENE AS THE GOVERNING BODY OF THE EXTENSION /4 -H COUNTY SERVICE DISTRICT 15. CONSIDERATION of Approval of Accounts Payable Vouchers for the Extension /4 -H County Service District RECONVENE AS THE DESCHUTES COUNTY BOARD OF COMMISSIONERS 16. CONSIDERATION of Approval of Accounts Payable Vouchers for Deschutes County Board of Commissioners' Business Meeting Agenda Wednesday, April 23, 2008 Page 2 of 8 Pages 17. ADDITIONS TO THE AGENDA Deschutes County meeting locations are wheelchair accessible. Deschutes County provides reasonable accommodations for persons with disabilities. For deaf, hearing impaired or speech disabled, dial 7 -1 -1 to access the state transfer relay service for TTY. Please call (541) 388 -6571 regarding alternative formats or for further information. FUTURE MEETINGS: (Please note: Meeting dates and times are subject to change. All meetings take place in the Board of Commissioners' meeting rooms at 1300 NW Wall St., Bend, unless otherwise indicated. If you have questions regarding a meeting, please call 388- 6572.) Wednesday, April 23, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Monday, April 28, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Wednesday, April 30, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) 6:00 p.m. Public Hearing on Proposed Sunriver Mall Project, at Sunriver Monday, May 5, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) 3:30 p.m. Regular Meeting of LPSCC (Local Public Safety Coordinating Council) Board of Commissioners' Business Meeting Agenda Wednesday, April 23, 2008 Page 3 of 8 Pages Wednesday, May 7, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Thursday, May 8, 2008 7:00 a.m. Regular Meeting with the City of Redmond Council, Redmond Council Chambers Wednesday, May 14, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Monday, May 19, 2008 11:30 a.m. Regular Meeting of Commissioners and Department Heads 1:00 p.m. Budget Meeting Tuesday, May 20, 2008 1:00 p.m. Budget Meeting Wednesday, May 21, 2008 1:00 p.m. Budget Meeting Thursday, May 22, 2008 1:00 p.m. Budget Meeting Friday, May 23, 2008 1:00 p.m. Budget Meeting Monday, May 26, 2008 Most County offices will be closed to observe Memorial Day Board of Commissioners' Business Meeting Agenda Wednesday, April 23, 2008 Page 4 of 8 Pages Monday, May 28, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Monday, June 2, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) 3:30 p.m. Regular Meeting of LPSCC (Local Public Safety Coordinating Council) Tuesday, June 3 through Friday, June 6 Association of Counties Spring Conference Monday, June 9, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Wednesday June 11, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Thursday, June 12, 2008 9:00 a.m. Quarterly Update — Mental Health Department 10:00 a.m. Quarterly Update — Health Department Monday, June 16, 2008 1:30 p.m. Administrative Work Session — could include executive session(s) Tuesday, June 17, 2008 10:00 a.m. Regular Meeting of the Employee Benefits Advisory Committee Wednesday, June 18, 2008 10:30 a.m. Oregon Youth Challenge Graduation Ceremony Board of Commissioners' Business Meeting Agenda Wednesday, April 23, 2008 Page 5 of 8 Pages Thursday, June 19, 2008 7:00 a.m. Bend Chamber of Commerce Legislative Policy Council Meeting 10:00 a.m. Quarterly Update — Juvenile Community Justice Monday, June 23, 2008 10:00 a.m. Board of Commissioners' Meeting — Includes Budget & Fee Schedule Public Hearings 1:30 p.m. Administrative Work Session — could include executive session(s) Wednesday, June 25, 2008 10:00 a.m. Board of Commissioners' Meeting — Includes Budget & Fee Schedule Adoption 1:30 p.m. Administrative Work Session — could include executive session(s) Thursday, June 26, 2008 9:00 a.m. Quarterly Update — Fair & Expo Center 11:00 a.m. Quarterly Update — Commission on Children & Families Monday, June 30, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Wednesday, July 2, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Thursday, July 3, 2008 8:00 a.m. Regular Meeting with the City of Sisters Council, in Sisters Friday, July 4, 2008 Most County offices will be closed to observe the July 4th Holiday Board of Commissioners' Business Meeting Agenda Wednesday, April 23, 2008 Page 6 of 8 Pages Monday, July 7, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) 3:30 p.m. Regular Meeting of LPSCC (Local Public Safety Coordinating Council) Wednesday, July 9, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Thursday, July 10, 2008 7:00 a.m. Regular Meeting with the City of Redmond Council, in Redmond 12:00 noon Audit Committee Meeting Tuesday, July 15, 2008 10:00 a.m. Regular Meeting of the Employee Benefits Advisory Committee Wednesday, July 16, 2008 1:30 p.m. Administrative Work Session — could include executive session(s) Monday, July 19, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Wednesday, July 21, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Monday, July 28, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Board of Commissioners' Business Meeting Agenda Wednesday, April 23, 2008 Page 7 of 8 Pages Wednesday, July 30, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Monday, August 4, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) 3:30 p.m. Regular Meeting of LPSCC (Local Public Safety Coordinating Council) Wednesday, August 6, 2008 10:00 a.m. Board of Commissioners' Meeting 1:30 p.m. Administrative Work Session — could include executive session(s) Deschutes County meeting locations are wheelchair accessible. Deschutes County provides reasonable accommodations for persons with disabilities. For deaf, hearing impaired or speech disabled, dial 7 -1 -1 to access the state transfer relay service for TTY. Please call (541) 388 -6571 regarding alternative formats or for further information. Board of Commissioners' Business Meeting Agenda Wednesday, April 23, 2008 Page 8 of 8 Pages Deschutes County Board of Commissioners 1300 NW Wall St., Bend, OR 97701 -1960 (541) 388 -6570 - Fax (541) 385 -3202 - www.deschutes.or2 ADDITION TO AGENDA DESCHUTES COUNTY BOARD OF COMMISSIONERS WEDNESDAY, APRIL 23, 2008 Commissioners' Hearing Room - Administration Building - 1300 NW Wall St., Bend (Continued from April 21 Business Meeting): CONSIDERATION of Signature of Document No. 2008 -171, an Amendment to the Improvement Agreement regarding Required Amenities at Pronghorn Destination Resort — Paul Blikstad, Community Development Department