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HomeMy WebLinkAbout1989-09-25 'i :. . J MINUTES OF THE MEETING OF THE CITY COMMISSION BOZEMAN, MONT ANA September 25, 1989 ************************ The Commission of the City of Bozeman met in regular session in the Commission Room, Municipal Building, September 25, 1989, at 2:00 p.m. Present were Mayor Stiff, Commissioner Hawks, Commissioner Vant Hull, Commissioner Martel, Commissioner Goehrung, City Manager Wysocki, City Attorney Becker and Clerk of the Commission Sullivan. The meeting was opened with the Pledge of Allegiance and a moment of silence. Minutes Mayor Stiff stated that action on the minutes for the regular meeting of September 5, 1989 will be deferred until the next Commission meeting. It was moved by Commissioner Hawks, seconded by Commissioner Vant Hull, that the minutes for the regular meetings of September 11 and September 18, 1989 be approved as amended. The motion carried by the following Aye and No vote: those voting Aye be- ing Commissioner Hawks, Commissioner Vant Hull, Commissioner Martel, Commissioner Goehrung and Mayor Stiff; those voting No, none. Award bid - sanitary landfill compactor (CI P) This was the time and place set for award of the bid for one sanitary landfill compactor. City Manager Wysocki submitted to the Commission a memo from Director of Public Service Phill Forbes recommending that the bid be awarded to Tractor and Equipment Com- pany, Billings, Montana, in the bid amount of $198,974.00 and further recommending that the City accept the option to obtain the Value Assurance drive train warranty for three years at a cost of $7,700.00. The City Manager stated the staff recognizes that the bid amount is higher than the amount appropriated in the Capital Improvement Program. He then suggested it may be in the City's best interests to purchase this piece of equipment through a three-year loan from I NTERCAP, noting the interest rate is usually lower than the City's investment rate. He also noted that to use this program would allow this enter- prise fund to retain a healthy cash flow rather than depleting it substantially. He then indicated that adequate monies could be budgeted in the Capital Improvement Program in future years to cover this expenditure. City Manager Wysocki reminded the Commission that this bid is essentially the same as the first bid submitted by Tractor and Equipment. 09-25-89 ~lIl.:li..",~ - ----.------ \ , 1 -2- Commissioner Martel submitted a memo encouraging rejection of the bids and submit- ting reasons therefor. He noted this is a single bid which exceeds the CI P budget by 32.6 percent, or 37.8 percent If the value assurance costs are added. He noted that the specifications have resulted in an inflated price because of the assurances required to min- imize down time; and he feels that the additional equipment items have resulted in a delay in delivery time. He then suggested that the Commission reject the bid and either rebid it so It can be bid within the monies appropriated or pursue a lease/purchase arrangement. Commissioner Hawks asked if the staff considered a lease/purchase option and whether that is a reasonable alternative. City Manager Wysocki questioned the economic feasibility of a lease/purchase ar- rangement. He stated he feels the use of I NTERCAP funds for an outright purchase from the supplier is a more beneficial approach from the City's standpoint. Commissioner Hawks then asked what the City is receiving for the $41,000 differ- ence between this bid and the previous bid from the same vendor. Engineer Lance Kelley stated the City is receiving an assurance of timely response in case of breakdown as well as a piece of computer equipment which provides diagnostics on the engine without tearing it down. He then indicated that the delivery time for this machine is approximately the same in this bid as it was in the two previous bids. In response to a question from Commissioner Vant Hull, Engineer Kelley stated that a compactor will extend the life of the landfill by approximately one-fourth. He stated that an analysis of costs of operating a landfill in compliance with the Sub-title D regu- lations reveals a difference of approximately $16 per ton. He stated at the present time, the City is processing approximately 63 tons of garbage per day; and the annual average is 50 tons per day. He indicated the compactor could pack 1450 pounds into a cubic yard; however, in his computations he used 1200 pounds per cubic yard. He then noted that 900 pounds are currently packed into a cubic yard; therefore, the compactor would in- crease the density by at least 25 percent. In response to a question from Commissioner Vant Hull, the Engineer stated the cal- culations were based on 262 working days per year, noting that excludes Sundays, holi- days and preventative maintenance. In response to questions from Commissioner Hawks, Engineer Kelley stated the war- ranties provided apply to service for as long as the City has the machine. He noted the City assumes the risk for parts after the 36-month value assurance drive train warranty has expired. He then stated that calculations reveal that the costs of the warranties are justifiable, noting that it costs $5,000 for every eight hours down under the Sub-title D regulations. He further indicated that the bid does provide a buy-back table; however, one of the stipulations is that the machine must be operating and in salable condition. 09-25-89 ~>,~'~l' -~~-- ~ --'" . , i -3- In response to a question from Mayor Stiff, Engineer Kelley stated the compactor will not make much impact on the landfill until the new hole is used and the Sub-title D regulations go into effect. He noted that using the compactor In the. existing area will re- sult in a hard-packed cover on top of looser compaction. He stated the City will be faced with repairing the settling of the landfill in the future, noting it is anticipated that the landfill will probably settle three feet within a few years after closing. He stated that staff has calculated costs based on the assumption that the landfill will be in operation for twelve years and added the thirty years of monitoring and maintenance which will be required. He also noted that a five-percent-per-year increase in costs was anticipated in the calculations to determine the costs of doing business. Mayor Stiff asked how soon the compactor could be used. The Engineer responded immediately, noting that to use it in the old part of the landfill will create a hard cap. He indicated it will also give the operators some experience in using the machine before it is used in the new portion of the landfill. He noted it is very important to have the machine in operation by the time the new portion of the landfill Is opened for use, so a good base can be established. He then stated that if the old portion of the landfill is closed before the Sub-title D regulations become effective in 1991, those regulations do not need to be met; however, he stated that to comply will provide a safer and better closure. He sug- gested that if a hard cap is made over the less compacted base, it is important that a methane gas vent be inserted during the closure of the landfill, since that will lower the risk of future problems. Engineer Lance Kelley stated that the City had a compactor from Tractor and Equipment while one of the Caterpillars was down; and he noted it made a substantial dif- ference in the time needed to cover the garbage. Commissioner Martel asked the Engineer to review the buy-back figures contained in the bid. Engineer Kelley reviewed the figures, indicating that after 4,000 hours, the buy-back is $79,250; after 5,000 hours, it is $69,750; after 6,000 hours it is $59,500; af- ter 7,000 hours it is $51,000; and after five years the buy-back is $46,500. He then stat- ed that conversations with various persons revealed that a major overhaul is required after 5,000 hours of operation. I n response to a question from Commissioner Martel, Engineer Kelley stated that if the 5,OOO-hour overhaul would probably occur after slightly more than two years of opera- tion. He noted that as long as it falls within the 3-year value assurance drive train war- ranty, the City would probably incur little If any cost for the parts. City Manager Wysocki reminded the Commission that the bid before them at this time is within $1,000 of the original bid submitted by Tractor and Equipment; and it contains all of the assurances and warranties which the City has required. He noted that the staff 09-25-89 i , . 1 -4- prepared the specifications and sought input from an independent consultant to ensure they were properly written and did not exclude any machine manufacturer prior to the advertisement for bids. He stated that with the assurances and warranties attached, the City is assured of three years of fairly risk-free operation. Commissioner Goehrung noted the Commissioners have responsibility for oversight of the City's operations. He stated that this issue Is fairly technical and suggested the Com- mission should rely on the staff to recommend the alternative which is in the City's best interests. He expressed concern that the amount of the bid is substantially higher than the amount budgeted in the Capital Improvement Program; however, he noted this is to be funded through an enterprise fund. He also noted that it Is apparent that the costs of solid waste disposal will increase because of new federal regulations. He then indicated an interest in moving forward with alternatives to landfilling, such as recycling, as soon as possible. City Manager Wysocki noted that extending the life of the landfill at its present lo- cation is important. He noted that it will be difficult to find a location near Bozeman for a new landfill; therefore, the City will be faced with hauling the garbage much farther on a dally basis. He noted that will require the purchase of additional equipment in addition to the time involved. He then stated if a compactor would extend the life of the landfill by two and a half to three years, it would be well worth the investment at this time. In response to questions from Commissioner Hawks, Engineer Kelley stated his cal- culation of costs was based on the current landfill operation, not taking into account pro- grams such as recycling. He then stated that the machine bid is actually larger than the City needs; however, the next smaller machine does not provide as much compaction as the caterpillars which the City is currently using. He also noted that the machine bid is con- sistent with those used in other operations of similar size. Commissioner Martel stated he Is not opposed to acquisition of a compactor for the landfill, noting it is important to extend the life of the landfill as much as possible. He stated, however, he does not feel it Is necessary to spend $41,000.00 more for warranties on the machine plus $7,700.00 for a three-year value assurance drive train warranty, as required by the bid documents. He noted a substantial amount of maintenance could be purchased for $16,000.00 per year. In response to a question from Mayor Stiff, Engineer Kelley stated the machine bid includes a $4,000 fire suppression system. He noted that fires usually break out in the engine or the belly pans; and the fire suppression system protects the operator from those fires. He stated that the electronic monitoring system, which is the on-board computer,' is standard equipment at no additional cost. It was moved by Commissioner Vant Hull, seconded by Commissioner Goehrung, that 09-25-89 ----- i i 1 -5- the bid for the sanitary landfill compactor be awarded to Tractor and Equipment Company, Billings, Montana, in the bId amount of $198,974.00 plus the Value Assurance drive train warranty for three years in the amount of $7,700.00, it being the only bid received; and that the staff be instructed to pursue funding through a three-year I NTERCAP loan and adjust the amount budgeted in the Capital Improvement Program to cover the actual costs. The motion carried by the following Aye and No vote: those voting Aye being Commission- er Vant Hull, Commissioner Goehrung, Commissioner Hawks and Mayor Stiff; those voting No being Commissioner Martel. Discussion - reduest for possible revision of gaming regulations re card tables - George Walker, Scoop ar City Manager Wysocki submitted to the Commission a letter from the Cardroom Man- agers, signed by Diane Wagner and Jim Clayton, CranTree Inn; Tom Young, Cats Paw; and George Walker, Scoop Bar. Mr. George Walker, Scoop Bar, stated that new legislation, which will go into effect October 1, limits the hours of operation for live card tables, requiring closure from 2: 00 a.m. to 8:00 a.m., unless the local governing body takes action to extend those hours. He stated that live card games have operated on a 24-hour-per-day basis in Bozeman since they became legal about fifteen years ago. He noted that 50 percent of their games take place after 2 :00 a.m.; and closure of those games would result in a reduction in personnel and payrol Is in the community. Mr. Walker stated that he has employees who he pays from 8: 00 p. m. on; however, it Is difficult to get a poker game started before 9:00 p.m. He also noted that the card table must operate for two or three hours before it becomes profitable. City Manager Wysocki distributed to the Commission copies of minutes from the meetings of May 16, 1988 and May 31, 1988, which is when the latest ordinance on gaming machines was adopted. He noted that in those minutes, the City Attorney indicated the ordinance was silent on the hours of operation, which allowed State law to prevail. He noted the Commission at that time consciously decided not to address the hours of opera- tion. The City Manager then noted that with the statutory change on October 1, hours of operation of live card tables wlll coincide with the hours of operation for bars and gaming machines. The City Manager reminded the Commission that In the past, they have attempted to limit gambling activities in the community as much as possible. He then noted that the Chief of Police has indicated few problems associated with live card table operations; how- ever, he noted that such operations have been accommodated on a I imited basis. He suggested that an increase in gaming tables in an establishment could result in a substan- 09-25-89 i , -6- tially higher amount of associated police activity. / Commissioner Hawks noted that If a live card table is to operate after hours, it is to be closed off from the bar. He then asked if that has been accommodated in all of the establishments. Mr. George Walker stated that in 1974, he installed a sliding door which closes the bar off from the rest of the room. He noted that after 2:00 a.m., coffee, pop and water are available for card players. He also stated the door of the Scoop is open; and police officers are encouraged to drop in. Mr. Jim Clayton, GranTree Inn, stated they have an iron gate which is closed and locked at 2: 00 a. m., separating the card table from the bar and the beer cooler. He also noted that the alcoholic beverages are also on a computerized pour system, so access can- not be gained to them after hours. Commissioner Martel asked if the City assumes responsibility for law enforcement if live card tables are allowed to operate between 2: 00 a. m. and 8: 00 a. m., even though the State is to assume responsibility for gambling operations after October 1. City Attorney Becker stated the State of Montana, Department of Revenue assumes /1 responsibility for gambling operations on October 1; however, they have allo~cal regu- lation on the hours of operation. He then indicated they will encourage continuation of local law enforcement. Commissioner Martel asked if card players do not begin until 9:00 or 10:00 p.m. be- cause of habit and If they would start earlier if the game was closed at 2:00 a.m. Mr. Walker stated it might be possible to get games started at 7:00 or 8:00 p.m.; but an earlier start would conflict with dinner hours and work. He then stated that to operate a profitable game, it is necessary to let the game run as long as it will, noting that his establishment has had two-day games with a core of players and others moving in and out. Ms. Diane Wagner stated she is the author of the letter submitted to the Commis- sion. She briefly highlighted the letter, noting that a substantial number of the players at their live card table are tourists. She stated that the area attractions, such as hunt- ing, fishing and skiing, are the reasons that people are not interested in starting a poker game until 8:00 or 9:00 p.m. Commissioner Hawks asked If language should be contained in an ordinance extend- ing the hours that would require that the bar be closed off from the gaming area. City Attorney Becker stated that issue is covered under the liquor licensing pro- cess. He noted that if a bar allows sale of alcoholic beverages during hours of closure, that establishment may have its license revoked. Mr. Doug Sandiland, owner of the Crystal Bar, stated he has been involved In live 09-25-89 . t // -7- /' ..... card tables since 1974, as a card table operator and as a bar owner, giving a brief history of that involvement. He noted that in those bars with live tables, remodeling has been done to either provide a separate room or an area which can be locked from the bar with a gate. He stated that bar owners do not wish to jeopardize their liquor licenses to have an after-hours card game. Mr. Sandiland stated that 24-hour card games have successfully been in operation for fourteen years at ;'0 extra expense to the City and no problem to the pol ice. He also noted those games are open to the police at any time. Mr. Sandi/and noted that Billings does not allow 24-hour card games; and they have incurred problems with illegal after-hours games in private homes. He further stated the card table operators watch carefully to ensure there is not too much money on the table, since they recognize that this business Is their livelihood. He then noted that Bozeman has not incurred problems like those incurred in Billings. Commissioner Vant Hull noted that in Bozeman there are games where peE are al- /f lowed to borrow money or play on the cuff. She noted this type of operation to a lady committing suicide a few years ago; and she feels that type of issue should be faced rather than ignored during this discussion. She then stated she does not feel the Com- mission should take any action which would encourage gambling and its inherent problems. Ms. Diane Wagner stated that people that have a problem with gambling, drinking or any other habit, will find a way to take care of that habit; and closure of live card games for six hours at night will not solve the problem. City Manager Wysocki stated if the Commission wishes to allow live card tables to operate at night, the staff must be directed to prepare an ordinance. He noted if the Commission does not wish to allow all-night card games, no action will result in the State statute prevailing. Commissioner Goehrung stated that, while he does not impugn any members of the community who gamble or operate the live card tables, he does not feel it should be en- couraged. He stated he feels that 2:00 a.m. is late enough for a live card game, noting that economics wi/I dictate the hours of card game operations. He then expressed concern about endorsing or encouraging gambling activities beyond the hours established by the State, especially in I ight of problems being addressed by agencies such as Gamblers Anon- ymous. Mayor Stiff stated that passage of an ordinance to allow live card games between the hours of 2:00 a.m. and 8:00 a.m. would not necessarily mean it would remain that way forever. He suggested the card table operators would be on their honor. He noted that if the City were to incur problems with the operation, the Commission could repeal the or- dinance, with the hours then reverting to those established by the State. The Mayor noted that at this time, the Commission Is dealing with an industry that has a clean police 09-25-89 -~._--...._- -- -~.- - -,~_..~-- . , -8- record. He noted that I f problems arise, the issue shou Id be re-addressed. Commissioner Martel concurred with the Mayor's statement. He then noted that adoption of an ordinance would allow the hours of live card tables to remain as they have been for the past fifteen years. City Manager Wysocki cautioned against Implying that a bar owner or card table op- erator will be penalized for calling the police for assistance. He noted that to have bar owners and card table operators attempt to take care of the problems could cause even greater problems. It was moved by Commissioner Martel, seconded by Commissioner Hawks, that the Commission direct staff to prepare an ordinance which will allow live card tables to operate between the hours of 2 :00 a .m. and 8: 00 a.m. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Martel, Commissioner Hawks and Mayor Stiff; those voting No being Commissioner Goehrung and Commissioner Vant Hull. City Attorney Becker suggested that a copy of the minutes be forwarded to the State so they know the City's intent. He then noted that if the ordinance is provisionally adopted at next week's meeting, it will be finally adopted on October 16 and effective on November 16. Mr. George Walker stated that a representative of the Gambling Commission has in- dicated that he anticipates no problem with allowing the live card games to continue as long as they know the City is going through the ordinance process; however, he has re- quested that they be notified. The Commission directed the Clerk of the Commission to forward a copy of the min- utes to Mr. Alan Parker, the local State Department of Justice employee for enforcement of gambling regulations. Request for authorization to expend monies appropriated in Capital Improvement Program for purchase of hot tub for SWim Center City Manager Wysocki submitted to the Commission a memo from Recreation Superin- tendent Sue Harkin requesting authorization to expend monies for purchase of a hot tub for the Swim Center. along with a picture of the hot tub. He noted the estimated cost of the hot tub, installed, is $9,700. He stated that the hot tub will hold twelve people, not- ing it is necessary to have one that large in this type of facility. The City Manager then reminded the Commission that $8,000 was budgeted in the Capital Improvement Program for this fiscal year; however, the Commission requested that this item be placed before them for authorization prior to purchase. He also noted that several people have donated monies or Indicated a willingness to do so. He then recom- mended that the Commission authorize the expenditure of the $8,000 in the Capital 09-25-89 . i -9- // ./- /" Improvement Program for this project, with the remainder of the monies coming from do- nations. He suggested this is an additional feature which will hopefully attract new people to the Swim Center and help maintain its break-even financial position. It was moved by Commissioner Goehrung, seconded by Commissioner Hawks, that the Commission authorize the expenditure of the $8,000 budgeted in the Capital Improve- ment Program for purchase of a hot tub for the Swim Center, with the remainder of the monies to come from private donations. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Goehrung, Commissioner Hawks, Commissioner Vant Hull, Commissioner Martel and Mayor Stiff; those voting No, none. B rea k - 3: 1 0 to 3: 1 5 p. m . Mayor Stiff declared a break from 3:10 p.m. to 3:15 p.m., in accordance with Com- mission policy established at their regular meeting of March 14, 1983. Submittal of written comments re draft master plan Planning Director Epple submitted to the Oommission copies of the written comments received by the 5:00 p.m. Friday deadline concerning the master plan updated as drafted by the consultant. He noted these comments are from individuals as well as the Planning staff. He stated the ad hoc implementation committee will review these comments at their Wednesday morning meeting, suggesting that any Commissioner comments be forwarded to him or Commissioner Hawks prior to that meeting. Year-end budget review; authorize Mayor to sign budget amendments City Manager Wysocki submitted to the Commission a memo from Administrative Ser- vices Director Gamradt providing a year-end budget review and listing several budget amendments which must be made to balance the various budget units. Administrative Services Director Gamradt briefly highlighted the budget review. He stated that the revenues collected during Fiscal Year 1988-89 were approximately $200,000, or 5 percent, more than anticipated. He noted this was due to higher-than-projected reve- nues in some instances, while some of the revenues were not anticipated. He then noted that the City received 98 percent of the amount anticipated in property tax revenues. 0 dr The Administrative Services Director then indicated that the expenditures were withvrv ~ .4 percent of the amount budgeted, including the $50,000 transfer to the Capital Improve- ment Program. He noted if that is not added in, the overall expenditures for the General Fund were within 1.7 percent of the amount budgeted. He noted that there are 34 budget amendments listed to cover overages in specific areas, however. He stated that, consid- ering the extensive number of budget units in the General Fund and the fact that each 09-25-89 _"________-=_ _..n . ; -10- budget unit is broken down into salaries, operations and capital, this is not excessive; and several of the amounts to be transferred are small. Administrative Services Director Gamradt stated another group of budget amend- ments has been included in the memo; and these provide an increased spending authority. He stated that in the past, the City's appropriation ordinance has provided for expendi- tures of monies for operations of the City, excluding items such as grants from the Com- munity Development Block Grant program and the Environmental Protection Agency. He stated that in a recent CDBG audit, the City was cited for failure to establish a formal au- thorization for expenditure of monies. He also noted that under a strict interpretation of the State statutes, the Commission must appropriate all funds. The Administrative Services Director stated that to address the item written in the audit of the CDBG funds and to conform with strict interpretation of the State statutes, he has prepared budget amendments for increased spending authority to cover those funds and activities which have been conducted outside the operations budget to this time. He noted that a similar budget amendment will be required for the Fiscal Year 1990 budget, since the appropriation ordinance has been adopted; and the process will be changed be- ginning with Fiscal Year 1991. He noted this will result in an apparent $2 million increase in the City's operations budget, while in reality it is not an increase. Administrative Services Director Gamradt stated the auditors have reviewed this proposed change and endorse it. He stated it will require them to change their reporting of the numbers slightly; however, inclusion of these various funds will allow the budget and the financial statements to reflect the same information, which they do not do at the present time. In response to a question from Mayor Stiff, the City Manager stated this change in budgeting will not have any impact on the mill levy. He noted, however, that the per- centage of property tax revenues to the overall budget will be lowered. The Administrative Services Director briefly highlighted the major items in the in- creased spending authority, noting the Commission has been aware of each of these funds and projects. In response to a question from Commissioner Martel, the Administrative Services Di- rector stated the additional revenues will go into the General Fund undesignated reserve. He noted these additional monies will create approximately 20 percent in reserves, which is well below the 33-percent ceiling. Commissioner Hawks asked if the City has a policy on expenditure of Parkland Trust Fund monies and requested a listing of the monies which were expended in Fiscal Year 1988-89. The Administrative Services Director responded the City does not have an estab- 09-25-89 . ; -11- fished policy for expenditure of those funds; however, the Commission must authorize any expenditures. Mayor Stiff requested that the listing of monies expended from the Parkland Trust Fund be distributed to all of the Commissioners. It was moved by Commissioner Hawks, seconded by Commissioner Vant Hull, that the Commission authorize the Mayor to sign the budget amendments as submitted. The mo- tion carried by the following Aye and No vote: those voting Aye being Commissioner Hawks, Commissioner Vant Hull, Commissioner Martel, Commissioner Goehrung and Mayor Stiff; those voting No, none. Discussion - clarification of action re .formation of Cultural Affairs Advisory Committee City Manager Wysocki stated Commissioner Goehrung had requested this item be placed on the agenda. He then noted that minutes from the meetings of July 10, July 24 and July 31 help to clarify this Issue. He indicated that through actions taken at these meetings, the Arts Advisory Committee and Beautification Committee were combined into a Cultural Affairs Advisory Committee, with that committee to be sunsetted at June 30, 1990. He then suggested that this process appears to have been completed. Commissioner Hawks noted that combining of the two committees may not result in having the various segments of the arts represented, although it does provide a good short-term committee. Commissioner Goehrung stated his concern is that the Beautification Committee was established with a sunset date of December 31, 1989. He then questioned whether those members would be willing to continue serving for another six months. Commissioner Hawks stated the Beautification Committee discussed this issue prior to combining of the committees; and the members Indicated a willingness to serve through June 30 at that time. The Commissioners concurred this issue has been resolved. City Manager Wysocki presented Ordinance No. 1282, as reviewed by the City At- torney, entitled: ORDINANCE NO. 1282 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, AMENDING THE ZONING DISTRICT DESIGNATION FROM AN "A-S" (AGRICUL TURE--SUBURBAN) TO AN "RS-l" (RESIDENTIAL SUBUR- BAN ESTATES, ONE-ACRE MINIMUM) DISTRICT ON THE REMAINDER PAR- CEL (LIFE ESTATE) OF CERTIFICATE OF SURVEY NO. 748A LOCATED IN THE SOUTHEAST QUARTER OF SECTION 16, TOWNSHIP 2 SOUTH, RANGE 6 EAST, MONTANA PRINCIPAL MERIDIAN. 09-25-89 . 1 -12- The City Manager reminded the Commission that they had' previously approved this zone map change and provisionally adopted this ordinance at their meeting held on Septem- ber 11. He then recommended that it be finally adopted at this time. It was moved by Commissioner Vant Hull, seconded by Commissioner Martel, that the Commission finally adopt Ordinance No. 1282, amending the zoning designation from A-S to RS-1 on the Remainder Parcel of Certificate of Survey No. 748A. The motion car- ried by the following Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner Martel, Commissioner Goehrung, Commissioner Hawks and Mayor Stiff; those voting No, none. ossible revision of Ordinance No. 1240; establ ishin criteria for oa rd members City Manager Wysocki stated that included in the packets was a copy of the I nterlo- cal Agreement which was approved by the Commission at their meeting of September 11. He stated the City Attorney has also prepared a list of questions for the Commission to consider during its deliberations on this issue. He then noted that the Commission has received letters from Donald and Annette Osen, 1520 Bluebird Lane, and Charles Paden, 507 Ice Pond Road, under IlFYI Items" concerning Mr. Craft's consulting work while serv- ing on the City-County Planning Board. In response to a question from Mayor Stiff, City Attorney Becker stated that under State law, if a person is needed to make a quorum and has a conflict, he may publicly dis- close that conflict and remain as a voting member. He then stated the by-laws of the City-County Planning Board would be subservient to the State statutes; and he feels the City appointees would be subservient to the City's code of ethics. Mayor Stiff stated the Planning Board's by-laws stipulate that if a member declares a conflict of interest, he is not to participate; the City Attorney concurred. Responding to a suggestion that the Planning Board by-laws be revised to address the issue, the City Attorney reminded the Commission that the Planning Board establishes its by-laws, not the City Commission. He suggested if the Commission wishes to establish the parameters to address the issue, it should do so rather than relying on the Planning Board to adjust its documents to reflect the Commission's position. The Commission then discussed the questions listed by City Attorney Becker for this agenda item. Commissioner Hawks stated he has been vocal in his support of the City's code of ethics; however, he feels it could eliminate people in certain disciplines from serving on the Planning Board. He noted the Board is advisory, questioning the rationale of a policy which eliminates a segment of the population from participating on such a body. The Com- 09-25-89 ~ - . . 1 -13- missioner then suggested that a Board member be required to disclose any conflicts and to specify whether he is on a flat fee or contingent fee, noting that information would help in determining the extent of his involvement in the project. Commissioner Vant Hull stated she feels the current code of ethics is good on the whole. She suggested that professionals, such as architects or engineers may not encoun- ter conflicts like a consultant who is hired to serve as an advocate and ensure the best possible presentation of the project. She noted such a distinction could be beneficial, since she feels the roles are very different. The Commissioner then suggested a section could be added to the code which would address the special conflicts which can be found on autonomous boards. She suggested that it stipulate that if a board member has been a recent employee of the department it oversees, that board member will abstain from voting on evaluation of employees for a one-year period. Commissioner Martel stated strict interpretation of the City's code could eliminate many members of boards and committees. He also noted the City's code is not in harmony with the State statutes or the Planning Board's by-laws. He then expressed concern that the code could cause an applicant to engage two people to represent an application if one is a Board member, in order to circumvent the code. Commissioner Goehrung noted the City Attorney interprets that board members are employees of the City Commission, since the Commission appoints them and has the power to remove them. He noted Commissioner Vant Hull's concern and suggested that if a board member finds it necessary to disqualify himself a certain number of times, such as three times in a quarter or a six-month period, his position on that committee will be recon- sidered by the Commission. Mayor Stiff stated he does not feel the code of ethics should eliminate professionals and expertise on committees. He stated that ethics is not so much what he or the indi- vidual Commissioners feel, but what the community perceives. He stated when an indi- vidual acts as a agent for another person, he takes on responsibility for the presentations made to the various City bodies. He stated he does have a problem with an individual, who is serving on a board which is delegated responsibility for zoning and planning de- cisions and who has responsibility for evaluation, wage increases, hiring and firing of the very people who make the presentation, representing an application before the Commission. He noted that the Commission has been told that a planner should be able to stand up against pressure and support what he believes is in the community's interest, noting the City's staff has stood that test well recently. He stated, however, he feels it is a prob- lem; and if the Commission does not address it, they will face severe credibility problems in the community. Commissioner Hawks, in addressing Commissioner Vant Hull's suggestion, stated he 09-25-89 . . i -14- ~ feels it is very difficult to differentiate between professionals and advocates, noting that is often the same individual. He stated he does like the suggestion of limiting the number of disqualifications permitted in a given period of time. He noted the Commission still has the authority to remove an appointee if it determines that is best. Mayor Stiff expressed concern about that concept. He suggested the publ ic is enti- tled to more than this alternative would provide. City Attorney Becker stated his main concern is the smell of impropriety. He noted concern abo~ having a board or committee appointee appear before the Commission and ask 1 for approval project. The City Attorney then noted the only statutory requirement for serving on the City-County Planning Board is that one must be a resident freeholder. He noted the Planning staff has the expertise to evaluate the application and submit its find- ings to that board; and the applicant is usually a professional or hires a professional to represent him before the various bodies. City Manager Wysocki noted it appears to be the consensus of the Commission that what is in place is not working. He then asked the Commissioners if they feel the State statutes are adequate. A majority of the Commissioners concurred that the code of ethics as set forth in the State statute is not adequate, noting a more restrictive code is desir- able. Commissioner Hawks stated he agrees the issue of public perception must be ad- dressed. He then suggested that a Planning Board member be allowed to do behind-the- scenes work on an application but not be allowed to appear before a public body. The Commission discussed this suggestion, expressing concern that to implement this type of requirement could cause the applicant to hire another person simply to read a script before the public bodies; and it only addresses the issue cosmetically. The City Manager then asked in what areas the State statutes must be supplemented to provide an acceptable code of ethics for the City. Commissioner Goehrung stated he feels a mechanism should be implemented that would not only cause a person to declare the conflict of interest, but would also remove that individual from participation in the vote. Commissioner Hawks concurred, noting the person should not be able to vote, whether there is a quorum or not. Commissioner Vant Hull stated that the person should be eliminated from the pos- sibility of discussion as well as voting. Commissioner Martel concurred, noting the person should relinquish his right to discuss or vote. City Attorney Becker reminded the Commission that is what the City's current code of ethics provides, noting it does not prohibit a person from serving on a board. 09-25-89 . . 1 -15- Mayor Stiff stated that the confl ict which arises when an appointee to a board rep- resents an applicant before the Commission, where he is the employer of the staff member who presents the staff report, is the issue which causes concern. He stated in that type of situation, one individual is wearing too many hats; and the issue needs to be addres- sed. Commissioner Hawks asked if that concern doesn't eliminate any consultant from serving on the Planning Board. Mayor Stiff reminded the Commission that when they established their goals for this fiscal year, the top goal under "government operations" included review of appointments to boards and commissions in light of the number of persons serving on more than one board. He noted that since the goal surfaced at the top, at least a majority of the Commission must have felt the issue was important. He then asked if that item should be considered in conjunction with this issue. Commissioner Martel suggested that if a Planning Board member represents an appli- cant through the process and becomes rather demanding of staff time or tries to dictate the end result, the staff member should be encouraged to submit this problem to the Plan- ning Board as a whole. The City Manager noted the concept is good; however, in reality the staff members would be very hesitant to take such action. He once again reminded the Commission that the perception of impropriety is an issue which must be considered. Commissioner Hawks noted that under the new process, most of the controversial items should be addressed during the Development Review Committee process, where many different staff members are present. He suggested this should help to reduce any undue pressures on an individual planning staff member. City Attorney Becker cautioned the Commission they should not put the staff in a position of having a Planning Board member represent an application. He suggested that, rather than encouraging a "back room approach II , the Commission should prevent it. He stated when one wears the public hat of trust, one must divorce himself from certain things. Commissioner Hawks noted that hopefully a good relationship exists between the Planning Board and planning staff. He further reminded the Commission that decisions are made by the entire City-County Planning Board, not just one individual. Mayor Stiff asked what would happen if the City develops a policy it feels is good; and the County appoints someone who comes before the City Commission representing an applicant. City Attorney Becker reminded the Commission that the City-County Planning Board will be acting as the City's Zoning Commission after its structure is revised. He suggest- 09-25-89 . , . "l -16- ed that in that capacity, all appointees would be required to comply with the City's code of eth ics . Planning Director Andy Epple asked how many times this type of situation has aris- en. He noted this is the first time he is aware of where the conflict of interest issue has been raised over actions of a City-County Planning Board member; and he questioned whether it is worth rewriting the City's code of ethics to address this isolated case. Commissioner Hawks stated this controversy has arisen because of the types of ap- pi ications being represented. He noted that when he served on the City-County Planning Board, one member did represent applications; however, he did so on a limited basis and where the applications did not create controversy. Planning Director Epple stated this seems to be a rare occurrence even though de- sign professionals have served on the Planning Board for many years. He then noted that Montana's statutory composition is different from that listed in planning textbooks. He noted that under the textbook approach, the intent of planning boards is to have lay- people serve, noting they usually make good decisions. He noted that professionals rep- resent the applicant; and the staff which reviews those applications is comprised of pro- fessionals. He noted the State statutes require that two official members with expertise must be appointed; however, the remaining two may be lay-people. He further noted that under the statutory composition of this Board, this is a unique situation and encouraged that it be addressed as such. City Manager Wysocki asked if the Commission wishes to revise the code of ethics or if they wish to reaffirm the existing code. Commissioner Goehrung suggested that the Commission defer appointments to the Planning Board a period of one week. He indicated that during that period of time, the Clerk of the Commission could be instructed to contact the eleven who have filed applica- tions for the Board, asking them if they are willing to accept the provisions of the City's code of ethics. He noted this may eliminate some of the applicants; however, that is their decision to make. He also suggested that if an appointee later decides to represent some- one before the Planning Board or Zoning Commission and the City Commission, an immedi- ate letter of resignation would be necessary. Mayor Stiff stated he feels it is better to leave the code of ethics in ordinance form rather than putting it into resolution form, noting that is close to "situation ethics", which should be avoided. He then stated support for Commissioner Goehrung's suggestion. Commissioner Hawks expressed concern that this approach will eliminate four of the applicants. Commissioner Martel stated concern about this proposal. He noted that people have submitted applications in response to the newspaper advertisement; and now they are being 09-25-89 . . .- .. -17- requested to comply with requirements which were not previously spelled out. Following this discussion, Mayor Stiff noted a majority of the Commissioners wish to reaffirm the code of ethics as set forth in Ordinance No. 1240. The Commission discussed whether a member of the Planning Board should be af- forded the opportunity to represent himself in an application before that body. The City Attorney suggested that the problem seems to arise when a member of the board serves as a "hired gun" for an applicant, rather than when he represents himself on his own project on his own property. Planning Director Epple noted that one current County appointee would fit into that category. He then stated that individual is also a professional who has had one of his busiest design years; however, he has not had a single project before the Planning Board. The Commission then discussed the process under which the Clerk of the CommIs- sion is to contact the applicants. It was determined that the applicants should be provid- ed with a copy of the City's code of ethics and any other applicable codes. It was also decided that those individuals should be required to sign a statement indicating whether they wish to have their applications remain on file, rather than accepting a verbal indi- cation. It was moved by Commissioner Goehrung, seconded by Commissioner Vant Hull, that the Commission delay appointment of applicants to the City-County Planning Board for a period of one week; and direct staff to contact the applicants individually and let them know that by serving on the City-County Planning Board, they will be ineligible to repre- sent applicants before the Planning Board or the City Commission and that if they decide to represent appl icants, a letter of resignation would be in order. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Goehrung, Commis- sioner Vant Hull, Commissioner Martel and Mayor Stiff; those voting No being Commissioner Hawks. Appointments to City-County Planning Board City Manager Wysocki noted that, due to action taken on the previous agenda item, this item will be delayed for a period of one week. Discussion - FYI Items City Manager Wysocki presented to the Commission the following "For Your Informa- tion" items. (1) Agenda for the Highway Commission meeting to be held on Monday, October 2, in KalispeIJ. (2) Copy of a letter from the EPA to Don Noyes announcing the City as a winner 09-25-89 -~ . . . 'l -18- in the beneficial sewage sludge use awards program. (3) A letter from Don and Annette Osen, 1520 Bluebird Lane, concerning the zone code amendment requested by Mark Duffy and Mr. Craft's apparent conflict in serv- ing on the City-County Planning Board while representing the applicant in this type of ap- plication. (4) Agenda and packet for the Zoning Commission meeting to be held on Tues- day, September 26. (5) A memo from Commissioner Hawks concerning the master plan. (6) A letter from Mr. Charles Paden, 507 Ice Pond Road, indicating he feels there is a serious conflict between Mr. Roger Craft's consulting work and his serving on the City-County Planning Board. (7) An invitation for a two-week international tour of Costa Rica. (8) Mayor Stiff stated he and City Manager Wysocki attended the combined TAC/PCC meeting on Thursday. He stated the combined committees are suggesting that the City and County update their transportation plan. He noted the Highway Department personnel indicated that $30,000 will be made available, $10,000 in Fiscal Year 1990 and $20,000 in Fiscal Year 1991, for this type of use. He noted that they suggested that it would be possible for the City to pursue using some of these monies to offset a portion of the cost, which is projected to run $80,000 to $85,000. The City Manager noted that updating of the transportation plan was contemplated in conjunction with updating of the master plan and other documents. He then noted it was also suggested that the County participate in this request as well. Mayor Stiff stated that consolidation of the Technical Advisory Committee and the Policy Coordinating Committee was also discussed. He noted that he suggested that the City Manager be included on that committee. He then stated that the relationship between the State, City and County repres~ntatives is good at this time, largely due to the efforts of those involved. (9) The City Manager presented his report as follows. (1) He noted he now has the keys to the Haynes Building and will be taking some people on a tour of the facility at 2:00 p.m. on Tuesday. He encouraged any interested Commissioners to attend as well. (2) The intersection of Durston Road and North 7th Avenue has been completed; and the overlay of Durston Road has been completed from North 7th Avenue to North 15th Avenue. The remainder of the overlay project has been delayed until after the roadway has been cut and water line work completed. He noted that overlaying from North 15th Avenue to North 19th Avenue will be completed this fall or in the spring, depending on when the City is ready for that to be done and the weather. (3) The Lyman Creek reservoir cover was tested; and it leaked. The contractor is now in the process of repairing the cover. 09-25-89 ---- ------~ ". . 4 t<'. -19- (4) The Police Department appears to have just resolved forty plus burglaries; however, no details are available at the present time. (5) He distributed to the Commission copies of the pamphlet on the neighborhood watch program which are to be distributed to the school children during public safety talks. (6) He noted the work on West College Street between South 8th Avenue and South 11th Avenue was completed this morning. (7) He announced that the fire at the old landfill has been extinguished. (8) The City employee picnic was held on Friday night, with an estimated 132 in attendance. He noted this year the City agreed to participate in the costs of the function. (9) The University received award of the earth satellite from Butte about a month ago; and they are now searching for a way to finance the program. He noted that INTERCAP monies are not available to them; however, the City could apply and receive the monies on their behalf. He indicated they need about $50,000 for operations, noting a three- or five-year payback would help to make this program a success. (10) Mayor Stiff stated he received a telephone call from an irate citizen about the work which had been scheduled on West College Street during the first days of the University's fall quarter. He noted that a telephone call to Director of Public Service Forbes resulted in the contractor rescheduling that work; and he stated appreciation for that effort. The City Manager noted that a private contractor had scheduled the work to be done; and he was willing to work with the City on changing those dates although it was not required. ( 11) Commissioner Martel asked about the City's water situation and whether we will need to purchase water from Hyalite Reservoir after October 1. The City Manager responded he has not monitored the water supply situation in the past month because the potential for crisis had ended. (12) Commissioner Goehrung asked if Monday, October 9, is a hol iday; the Clerk of the Commission responded it is. Adjournment - 5:32 p.m. There being no further business to come before the Commission at this time, it was moved by Commissioner Vant Hull, seconded by Commissioner Martel, that the meeting be adjourned. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner Martel, Commissioner Goehrung, Commissioner Hawks and Mayor Stiff; those voting No, none. 09-25-89