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2015, 04-14 Formal Format MeetingMINUTES City of Spokane Valley City Council Regular Meeting Formal Meeting Format Tuesday, April 14, 2015 Mayor Grafos called the meeting to order at 6:00 p.m. Attendance: Dean Grafos, Mayor Arne Woodard, Deputy Mayor Chuck Hafner, Councilmember Rod Higgins, Councilmember Ed Pace, Councilmember ABSENT: Bill Bates, Councilmember Ben Wick, Councilmember City Staff Mike Jackson, City Manager Mark Calhoun, Deputy City Manager Cary Driskell, City Attorney Mike Stone, Parks & Recreation Director Eric Guth, Public Works Director John Hohman, Community Development Dir. Erik Lamb, Deputy City Attorney Steve Worley, Senior Engineer Sean Messner, Sr. Traffic Engineer Christina Janssen, Planner Marty Palaniuk, Planner Carrie Koudelka, Deputy City Clerk INVOCATION: In the absence of a pastor, Mayor Grafos asked for a few moments of silence. PLEDGE OF ALLEGIANCE: Council, Staff, and audience stood for the Pledge of Allegiance. ROLL CALL: Deputy City Clerk Koudelka called the roll; all Councilmembers were present except Councilmembers Bates and Wick. It was moved by Deputy Mayor Woodard, seconded and unanimously agreed to excuse Councilmember Bates from tonight's meeting. It was moved by Councilmember Higgins, seconded and unanimously agreed to excuse Councilmember Wick from tonight's meeting. APPROVAL OF AGENDA: It was moved by Deputy Mayor Woodard, seconded and unanimously agreed to approve the agenda. INTRODUCTION OF SPECIAL GUESTS AND PRESENTATIONS: n/a COMMITTEE, BOARD, LIAISON SUMMARY REPORTS: There were no reports from Council. MAYOR'S REPORT: Mayor Grafos read the proclamations for Drug Endangered Children Awareness Day and Money Smart Week. PUBLIC COMMENTS: Mayor Grafos invited public comment. Michelle Yarborro — said she is here to speak regarding a safety issue concerning people driving through her yard at the corner of 8th and Carnahan. She said her yard is at the bottom of a very steep hill where the road jaunts over, putting her yard in the path of drivers. She said the corner is very congested and she has had her fence hit and damaged seven times. She said she is trying to make it safer to get in and out of her driveway and she is asking that the City make a No Parking Zone across the street from her house. She said there is a fire hydrant next to her driveway and a fence on the other side making it difficult to turn in and out of the driveway. She said when cars are parked on the other side of the road, delivery Minutes Regular Council Meeting: 04-14-2015 Page 1 of 7 Approved by Council: 04-28-2015 trucks can not get in to deliver items and it is very inconvenient. She said backing out of her driveway is impossible and it affects her quality of life. She said the fire department told her that if the road was two feet narrower there would be a No Parking zone across the street. She asks that the City look into the parking situation and she said her husband is working with our engineering staff to try to resolve the problem. Dan Pavlish — said he lives in Spokane County and his property fronts the Painted Hills development. He said he wants to advise the Council as to the action the community is taking as a group. He said they filed Articles of Incorporation and they have twenty active community members attending meetings. He said they have hired legal counsel and they are concerned with the environmental impact and the density of traffic. He said they have hired an expert in environmental law, specialists in environmental zoning and law, and they have engaged an environmental consultant from Seattle who is an expert in hydrology and floodplain and wetland mitigation, as well as a traffic engineer from Seattle. He said they will also probably hire experts in the science fields to look at the different aspects of the project. He said they are concerned about the environmental impact, the impact on the aquifer, habitat, and floodplain and he said in their opinion it is an environmental, traffic and safety issue based upon the density. He said they have submitted a public record request and the City can expect more and he thanked City staff for their work in helping with this issue. 1. CONSENT AGENDA: Consists of items considered routine which are approved as a group. Any member of Council may ask that an item be removed from the Consent Agenda to be considered separately. Proposed Motion: I move to approve the Consent A'enda. a. Approval of vouchers listed on April 14, 2015 Request for Council Action Form, Totaling: $2,545,487.72 b. Approval of Payroll for Pay Period Ending March 31, 2015: $449,477.27 c. Approval of March 24, 2015 Council Formal Meeting Minutes d. Approval of March 31, 2015 Council Study Session Meeting Minutes It was moved by Deputy Mayor Woodard, seconded and unanimously agreed to approve the Consent Agenda. NEW BUSINESS: 2. Second Reading Proposed Ordinance 15-006 Comprehensive Plan Amendment 2015-0001 — Christina Janssen After Deputy City Clerk Koudelka read the ordinance title, it was moved by Deputy Mayor Woodard and seconded to approve Ordinance 15-006 adopting an amendment to the Comprehensive Plan as described in CPA -2015-0001. Planner Janssen said staff received two Comprehensive Plan amendment requests during this cycle and that CPA -2015-0001 is a privately initiated site-specific amendment requesting to change the Comprehensive Plan designation from Office to Community Commercial. She said the site is four parcels totaling approximately 3.22 acres located on Nora Avenue between Pines and Mallon roads, adjacent to I-90. Mayor Grafos invited questions from Council; there were none. Mayor Grafos invited public comment: Stanley Schwartz, Witherspoon Kelley - said he represents the applicant, Jim Cross, who is in the automobile business. He said the property is adjacent to I-90 where there is noise, glare and everything associated with a high volume road including good visibility for a business. He said the sloping grade is a great natural border, and that under the current Office designation the property is underutilized and not properly zoned. He said the staff report states that integration of commercial development on the south of I-90 should provide services for local economic demand, should not affect the existing neighborhood characteristic and the current designation does not meet the criteria for Office use. He said the staff report also states the future use of the property would provide the opportunity to redevelop land currently vacant. He said he agrees with the staff recommendation, there were no adverse comments from the public in response to the notice that was posted and he urges Council to approve the amendment and zone change. Minutes Regular Council Meeting: 04-14-2015 Page 2 of 7 Approved by Council: 04-28-2015 Jim Cross - said he is the property owner and he is a new car dealer in Spokane and he is excited to develop this property and he would like to have the zoning change. Deputy Mayor Woodard said that for all the reasons this property works for a business, it does not work for residential. He said that the Whimsical Pig is right above this property but he said the hill provides a nice buffer. He said the road is narrow but it is still a nice, two-lane road and he said he thinks this is a great way to utilize the property. Councilmember Hafner said he agrees and Mayor Grafos said he thinks it is a natural location for a car dealership. Vote by Acclamation: In Favor: Unanimous. Opposed: None. Motion carried. 3. Second Reading Proposed Ordinance 15-007 Zoning Map Amendment CPA -2015-0001 — Christina Janssen After Deputy City Clerk Koudelka read the ordinance title, it was moved by Deputy Mayor Woodard and seconded to approve Ordinance 15-007 adopting an update to the Official Zoning Map as described in CPA -2015-0001. Planner Janssen said this ordinance is the companion to Ordinance 15-006 just adopted that will change the zoning map to reflect the change from Office to Community Commercial. Mayor Grafos invited public comment; no comments were offered. Vote by Acclamation: In Favor: Unanimous. Opposed: None. Motion carried. 4. Second Reading Proposed Ordinance 15-006a Comprehensive Plan Amendment 2015-0002 — Marty Palaniuk After Deputy City Clerk Koudelka read the ordinance title, it was moved by Deputy Mayor Woodard and seconded to approve Ordinance 15-006a adopting an amendment to the Comprehensive Plan as described in CPA -2015-0002. Planner Palaniuk said this is a privately initiated amendment requesting to change the land use designation from Low Density Residential to Mixed Use Center (MUC). He said the property is located on the northwest corner of Flora and Mission and involves two properties. Deputy Mayor Woodard asked if the property could still be used for residential and commercial if it is changed to MUC and if the sixty foot height maximum allows for four-story apartments, a gas station or a convenience store. Mr. Palaniuk confirmed and further said setbacks depend on the type of development, that for commercial there would be a twenty foot setback along the east and north boundary and that an apartment building would require a relational setback in that as the building goes up it must also go back. Deputy Mayor Woodard asked about the size of the property and the number of units for an apartment building it could accommodate. Mr. Palaniuk said the property is approximately three acres and we allow twenty-two units per acre so approximately sixty units. He also confirmed that frontage improvements would be required on Flora. Mayor Grafos invited public comment: Trish Abraham — said she is here and available to answer any questions on behalf of the applicants. She said there is piece of property in front of the parcel owned by the same person submitting this request that is currently zoned R3, which is different from everything around it, and that this change would make everything flow. Deputy Mayor Woodard said he has visited the site and he talked to people after the roundabout went in. He said his primary concern is how this change will impact residences to the north and across Flora. He said he thinks Flora acts, in part, as a buffer. He said any land use change should be based on what could be, not what should be and he thinks that the size of the property will limit the uses. Mayor Grafos said that the community has already been impacted with changes including the roundabout, and that properties around it are already zoned Commercial. He said he thinks changing it will create "a can of worms" on that corner with uses that could include a casino, a storage facility, a gas station with fuel, drive-through restaurants, and taverns and he said that because of this he will vote against the amendment. Councilmember Hafner said one of the values portrayed in our Comprehensive Plan is protecting the integrity of neighborhoods and he wants to preserve the integrity of this neighborhood. Vote by Acclamation: In Favor: Deputy Mayor Woodard, Councilmembers Pace and Higgins. Opposed: Mayor Grafos and Councilmember Hafner. Motion carried; refer to highlighted action below. Minutes Regular Council Meeting: 04-14-2015 Page 3 of 7 Approved by Council: 04-28-2015 5. Second Reading Proposed Ordinance 15-007a Zoning Map Amendment 2015-0002 — Marty Palaniuk After Deputy City Clerk Koudelka read the ordinance title, it was moved by Deputy Mayor Woodard and seconded to approve Ordinance 15-007a adopting an update to the Official Zoning Map as described in CPA -2015-0001. Planner Palainuik said this ordinance will amend the Zoning Map from R3 to MUC to be consistent with the ordinance just passed. Vote by Acclamation: In Favor: Unanimous. Opposed: None. Motion carried. 6. Second Reading Proposed Ordinance 15-008 Additional Lodging Tax — Erik Lamb After Deputy City Clerk Koudelka read the ordinance title, it was moved by Deputy Mayor Woodard and seconded to approve Ordinance 15-008 amending SVMC 3.20 to impose an additional special excise tax on the sale of lodging to be used for certain capital expenditures for tourism promotion purposes. Deputy City Attorney Lamb said the state authorizes cities to impose a special excise tax on lodging and he said it can be done in two parts. The first part is a two percent tax that is credited against the sales tax and the second part is an amount equal to either two percent or an amount that when combined with all the sales tax applicable to lodging equals twelve percent. He said that with the applicable taxes on lodging we are limited to a cap of an additional amount of 1.3 percent. Mr. Lamb said on February 25, 2015, the Lodging Tax Advisory Committee moved unanimously that the City take the additional 1.3 percent to use for capital purchases for tourism promotion. He said under state law, the City is required to wait at least forty-five days before taking final action and that waiting period expired on April 11, 2015, whereby the City can now take action on the tax. He said the additional tax will be placed into a separate fund from the two percent currently collected and that there will be restrictions on the use of the funds. Councilmember Hafner commented that the restrictions enable Council to determine what our capital ventures will be. Mayor Grafos invited public comment: Andy Rooney, Mirabeau Park Hotel — said he is in favor of the 1.3 percent tax levy and that it will be the visitors to our city paying tax rather than city taxpayers and it will also create additional tax revenue. Vote by Acclamation: In Favor: Unanimous. Opposed: None. Motion carried. 7. First Reading Proposed Ordinance 15-009 Adopting Mining Moratorium Findings — Erik Lamb After Deputy City Clerk Koudelka read the ordinance title, it was moved by Deptuy Mayor Woodard and seconded to advance Ordinance 15-009, adopting findings of fact justfing the adoption of Ordinance 15-005 and the moratorium on mining and mineral product manufacturing, to a second reading. Deputy City Attorney Lamb said state law allows cities to adopt a moratorium without prior notice and without a prior public hearing provided the City conducts a hearing within sixty days and adopts findings of fact immediately thereafter. Mr. Lamb said that the moratorium does not impact continued mining uses that were in effect as of February 24, 2015, the date of the moratorium. He said the City conducted a public hearing pursuant to state law on February 25, 2015, in which we received two written comments and public testimony from six interested parties. He said the City is not designated mineral resource lands nor do we provide development regulation resources for the same and we are required to do so by law. He said prior to the moratorium, mining was a permitted use in the I-2 zones and no restrictions were in place. Mr. Lamb said there are several mines in existence in Spokane Valley, that there can be impacts from open pit mining and that there is a finite amount of undeveloped industrial land in Spokane Valley. The City has begun the process for developing its 2015 legislative Comprehensive Plan update and through that plan, the City will analyze available industrial lands and the designation of mineral resource lands to meet statutory requirements. Without the moratorium, new proposals may occur that could frustrate the Comprehensive Plan process whereas a moratorium maintains the status quo. The moratorium is in effect for one year from the date of the moratorium. He said that it is not in the findings but we have received a citizen comment requesting we add a new chapter for mineral resource designation and an overlay map that we are considering. Councilmember Pace said staff has said the gravel pits are irreversible but he has heard testimony that we can repurpose the pits. Mr. Lamb said they are not always irreversible but the findings state they are usually irreversible, depending on the individual Minutes Regular Council Meeting: 04-14-2015 Page 4 of 7 Approved by Council: 04-28-2015 pits. Councilmember Pace said he did not think the moratorium would affect existing businesses. Mr. Lamb said as long as there is no new permit required for expansion or modifications there would be no effect to existing operations and the intent was not to impact current mining operations. Mayor Grafos asked how many pits there are in Spokane Valley and Mr. Lamb said he will provide that information for the next reading. Deputy Mayor Woodard asked if the City controls whether the pit goes into the aquifer and to what level either above or into the aquifer they go. Mr. Lamb said the City does not have that control but it might be through a SEPA analysis or through the Department of Natural Resources (DNR). Deputy Mayor Woodard said that would make a difference to him for reclamation purposes and he would like more information for the second reading. Mayor Grafos invited public comment: Janna McDonald — said the moratorium will impact current business and the issues are not hypothetical. She said that Central Premix currently has an agreement with Spokane County to move the joint property line at the Sullivan Rd site and a revision of the Department of Natural Resources DNR permit is moving forward. She said this is an expansion that requires a permit modification and she said she believes under the moratorium the City will not be able to approve and issue a permit. She said Central Premix just bought the Havana site and changing the ownership requires a DNR modification and the City will not be able to sign off. She said Central Premix owns the mineral rights at the Tshirley site and the moratorium impacts them at that location even though the County owns the land. She said the needs are constantly changing and anything requiring a permit for footings, structures or adding cement silos would not be able to happen under the moratorium. She said she would like the moratorium amended as stated in the letter from their attorney. To answer Deputy Mayor Woodard's question about the depth of pits to the aquifer, at the Sullivan site the depth to the aquifer is about seventy feet below ground. Stacy Bjordahl — said she represents Central Premix and testified at the March hearing. She said she submitted comments and modifications to the moratorium so that current businesses will not be affected and those changes have not been included. She said staff has said the moratorium is not intended to impact businesses already in operation but if not drafted with her suggested changes, there is an adverse impact to future operations. Deputy Mayor Woodard asked for the legal definition of "existing operations" and Mr. Lamb said it is not defined in the moratorium other than "were in existence and in continuous operation as of the effective date of this ordinance." He said he does not think the Tshirley site would qualify as an existing operation because there is nothing on that site. Mayor Grafos said there should be no impact on those existing operations and he would like to have that clarified. Mr. Lamb said he will provide clarification for the next reading of the ordinance. Councilmember Hafner said he would also like that defined and would like to know how the moratorium is affecting current business. Vote by acclamation: In Favor: Unanimous. Opposed: None. Motion carried. Mayor Grafos called for a break at 7:05 p.m. The meeting reconvened at 7:20 p.m. City Manager Jackson informed Council that according to the Governance Manual, ordinances need a majority vote of the full Council to pass and with two Councilmembers absent, the previous ordinance for CPA -2015-0002 did not have an affirmative vote of at least four councilmembers and therefore it did not pass as was stated by Mayor Grafos. It was moved by Deputy Mayor Woodard and seconded to reconsider Ordinance 15-006a at the next regular Council meeting. Vote by Acclamation: In Favor: Unanimous. Opposed: None. Motion carried. Mr. Jackson said the zoning map ordinance should be considered at the same time. It was moved by Deputy Mayor Woodard and seconded to reconsider Ordinance 15-007a at the next regular Council meeting. Vote by Acclamation: In Favor: Unanimous. Opposed: None. Motion carried. Mr. Jackson said staff will notify the interested parties that have already left tonight's meeting. 8. First Reading Ordinance 15-010 Beekeeping — John Hohman After Deputy City Clerk Koudelka read the ordinance title, it was moved by Deputy Mayor Woodard and seconded to advance Ordinance 15-010 adding beekeeping requirements, claming various terminology Minutes Regular Council Meeting: 04-14-2015 Page 5 of 7 Approved by Council: 04-28-2015 and prohibiting the keeping of nutria to a second reading. Community and Economic Development Director Hohman said this is the first reading of the ordinance for code text amendment CTA -2015-0001 adding beekeeping requirements and modifying Spokane Valley Municipal Code 19.40.150. He said Council has heard about this topic previously and the proposed changes include changing the maximum number of hives from twenty-five to having no limit, but the number of hives would be a ratio of hives per lot area. He said the ordinance will change the rear yard setback to five feet and the front and flanking yard setbacks to twenty feet. He said it will also require a fly -away barrier, source of water and bee certification. Mr. Hohman said the Planning Commission recommends approval of the changes to the ordinance. Councilmember Pace asked Council if they would consider dropping the certification piece of the ordinance to eliminate an extra layer of government. Councilmember Hafner said he thinks certification is a safety factor for him and he thinks it will be much safer than if we do not require the certification. Deputy Mayor Woodard asked who does the certification and asked how it is enforced. Mr. Hohman said the State does the certifying and the City would check into complaints, typically the complaint would concern other aspects of the code but staff could additionally ask if they have their certification. Mayor Grafos said he thinks certification is a teaching tool and thinks the certification is important. Vote by Acclamation: In Favor: Unanimous. Opposed: None. Motion carried. 9. Motion Consideration: SRTMC Interlocal Agreement — Sean Messner It was moved by Deputy Mayor Woodard and seconded to authorize the City Manager or designee to finalize and execute the SRTMC Interlocal Agreement Amendment 1 as presented. Sr. Traffic Engineer Messner said this was discussed a couple weeks ago and questions were brought up that he will try to answer. He said SRTC is no longer the lead agency and now WSDOT is the lead agency. He said the services have not changed, only the lead agency. He said the other agencies agreed to a trial period as an interim fix and they will investigate the program over the next year. Councilmember Pace asked if this will be at no cost for this year only. Mr. Messner confirmed and said the agreement ends December 31, 2015 so he will come back to Council prior to the end of the year with a new proposition that will include a cost to determine what happens for next year. Vote by Acclamation: In Favor: Unanimous. Opposed: None. Motion carried. 10. Motion Consideration: CMAQ/TA Call for Projects — Steve Worley It was moved by Deputy Mayor Woodard and seconded to authorize the City Manager to apply for CMAQ/TA grants for the following projects: 1) Appleway Trail, Evergreen to Sullivan; 2) Appleway Trail, University to Balfour; 3) Opportunity Elementary Sidewalks; 4) Evergreen and Broadway ITS; and 5) Sullivan and Wellesley Intersection Improvement. Sr. Engineer Worley said he has discussed these projects in the past to apply for federal funds for under the congestion mitigation and air quality program and the transportation alternatives program. He said staff looked at the Pines Road Undercrossing project but they are not recommending it for one of these grants because it did not score well based on previous application submittals but they think it may work well under different types of grants. He said last Friday was the deadline for the grant pre -applications which were submitted and approved so they are ready to move forward with the final applications that are due the end of April. Mayor Grafos invited public comment; no comments were offered. Vote by Acclamation: In Favor: Unanimous. Opposed: None. Motion carried. PUBLIC COMMENTS: Mayor Grafos invited public comment; no comments were offered. ADMINISTRATIVE REPORTS: 11. Gambling Tax — Mark Calhoun Finance Director Calhoun said that in 2003 the City adopted an ordinance approving gambling tax on certain gaming activities, the proceeds of which go to our general fund and are used to offset law Minutes Regular Council Meeting: 04-14-2015 Page 6 of 7 Approved by Council: 04-28-2015 enforcement costs. He said that through the years, establishments have opened and closed and the revenue from the gambling tax fluctuates. In November 2014, the City of Spokane reduced their gambling tax on card games from ten percent in 2014 to eight percent in 2015 and two percent in 2016. He said Council has heard public comment from a citizen who said this lower tax in Spokane puts Spokane Valley businesses at a disadvantage and it would help businesses in our community compete if we reduce the gambling tax on card games from ten percent to six percent. He said this reduction amounts to a $178,400 reduction in revenue for the 2015 budget. It was the consensus of Council to prepare an ordinance for a future meeting. 12. Advance Agenda — Mayor Grafos: There were no suggested changes to the Advance Agenda. INFORMATION ONLY: N/A CITY MANAGER COMMENTS: City Manager Jackson had no comments. ADJOURNMENT: It was inoved by Deputy Mayor Woodard, seconded and unanimously agreed to adjourn the meeting. The meeting adjourned at 7:40 p.m. ATTEST: 1;1.4'1 Christine Bainbridge, City Clerk Dean Grafos, Mayor Minutes Regular Council Meeting: 04-14-2015 Page 7 of 7 Approved by Council: 04-28-2015 GENERAL CITIZEN COMMENTS, GENERAL PUBLIC COMMENT SIGN -IN SHEET SPOKANE VALLEY CITY COUNCIL MEETING Tuesday, April 14, 2015 YOUR SPEAKING TIME WILL GENERALLY BE LIMITED TO THREE MINUTE Please sign in if you wish to make public comments. NAME PLEASE PRINT TOPIC OF CONCERN YOU WILL SPEAK ABOUT YOUR CITY OF RESIDENCE j� /r //,•i/ I 11 1'10, 0011041k, C pp, -26S--i)-nn a-GOe*CLQ \I Please note that once information is entered on this form, it becomes a public record subject to public disclosure.