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2012, 10-09 Regular Meeting Minutes
MINUTES City of Spokane Valley City Council Regular Meeting Formal Meeting Format Tuesday, October 9,2012 Mayor Towey called the meeting to order at 6:00 p.m. Attendance: City Staff: Torn Towey,Mayor Mike Jackson, City Manager Gary Schitnmels,Deputy Mayor Mark Calhoun,Finance Director Dean Grafos, Councilmember Cary DriskelI, City Attorney Brenda Grassel, Councilmember John Holtman, Community Development Dir Chuck Hafner, Councilmember Eric Guth,Public Works Director Ben Wick, Councilmember Mike Stone, Parks&Rec Director Arne Woodard, Councilmember Steve Worley, Senior Engineer Rick VanLeuven, Police Chief Christine Bainbridge, City Clerk INVOCATION: Pastor Bill Dropko of Greenacres Christian Fellowship Church gave the invocation. PLEDGE OF ALLEGIANCE: A member of Boy Scout Troop 494 led the Pledge of Allegiance, ROLL CALL: City CIerk Bainbridge called the roll; all Councilmembers were present, APPROVAL OF AGENDA: It was moved by Deputy Mayor Schimmels, seconded and unanimously agreed to approve the agenda. INTRODUCTION OF SPECIAL GUESTS AND PRESENTATIONS: n/a COMMITTEE,BOARD,LIAISON SUMMARY REPORTS: Councilmember Woodard: reported that he attended the Chamber of Commerce Board meeting where he continues to keep the Chamber apprised of issues occurring in our City; went to the 77th Annual Greek Dinner; attended the Government Affairs meeting and heard candidates Matt Shea and Amy Biviano debate. Councilmember Wick: said he participated on the Economic Development Committee meeting where they concluded the stakeholders presentations, and that they are now focusing on preparing the presentation to Council; went to the Kiwanis installation banquet; attended the SNAP fundraiser and kickoff for a capital campaign to purchase a building on the Spokane Falls Community College campus; also went to the Planning Committee for the SNAP Board and said that he is now that Board's Chair;that during that SNAP meeting, Mr. Wick went over this City's permitting process and also talked about street preservation, and said the members of the Kiwanis are very supportive of the City, and as an aside, explained that those members said they probably would have supported the 1%property tax. Councilmember Grafos: no report but mentioned an e-mail he received from a major business owner complimenting Pete Fishe and others in the Public Works Department for their work on the Sprague Avenue renovation this summer. Deputy Mayor Schitnmels: said the attended the North/South Corridor meeting last week concerning the final roadwork being done on the north end of town, and mentioned they had an old car brigade; and said he also attended an STA Committee meeting. Councilmember Grassel: no report as she was out of town last week. Council Regular Meeting 10-09-2012 Page 1 of 6 Approved by Council: 10-23-2012 Councilmember Hafner: reported that he attended two meetings in connection with the Regional Health District; that this month they got a report regarding some of the statistics of tobacco use; said the other Health District meeting concerned the budget, and he reported that the budget is balanced with very few things added and very few services eliminated; attended an STA (Spokane Transit Authority) operation committee meeting where they discussed the shuttle service and associated charges and routes concerning events such as Bloomsday, Hoopfest,Valleyfest, and First Night; also attended a SCOPE meeting with a focus on governance and compliance of charity and nonprofits organizations. MAYOR'S REPORT: Mayor Towey reported that he attended a Spokane Regional Board of Health meeting, and said the Health Board is sponsoring a series of free presentations and he gave dates and places for people to attend if interested; said the went to a breakfast for Special Olympics; attended the North/South Freeway meeting where they celebrated their half-way point on the project; attended the Clean Air Committee meeting where they discussed the problem of yard waste in the unincorporated areas and what we can do to mitigate that, and said each member of the Committee was asked to take this to their jurisdiction for consensus on how to handle the situation, and said he will bring a more detailed report to the October 30 Council meeting. Mayor Towey said he also attended an informational "tabletop" emergency exercise with Yellowstone Pipeline, with a mock scenario of over 100,000-gallon diesel fuel spill into the Spokane River, and he thanked the Fire Department for being one of the first responders of the exercise. Mayor Towey reported that he also attended the Fire Department open house; was interviewed by Steve Mum of Comcast Newsmakers; and attended the Hire-ability day concerning hiring the disabled and helping them into the workforce. Mayor Towey then read a Proclamation for Adult Literacy Week, which was accepted with thanks from staff of the Institute for Extended Learning. Deputy Mayor Schimmels announced that Mayor Towey recently received an "Advanced Certificate of Municipal Leadership" from the Association of Washington Cities; and explained some of the program's criteria to receive such a distinction, including over 60 hours of training credits and many hours of community service. Everyone joined Deputy Mayor Schimmels in extending congratulations to Mayor Towey for his outstanding achievement. PUBLIC COMMENTS: Mayor Towey invited general public comments. Naomi Eisentrager and Darrel Jones, both of 2601 N Barker Road, spoke of their desire for Council to be pro-active to provide more security for manufactured home owners and set a zone ordinance as a placeholder; Ms. Eisentrager said that the Spokane City Council decided to add such a zone ordinance "placeholder" realizing that no action would be taken until the ruling of the courts regarding the Tumwater case. 1. PUBLIC HEARING: Proposed 2013 Budget--Mark Calhoun Mayor Towey opened the public hearing at 6:31 p.m. Finance Director Calhoun went over the schedule to adopt the 2013 budget, mentioned that this hearing marks the seventh occasion where Council has discussed the proposed budget, and gave the budget highlights. Mayor Towey invited public comment, and no comments were offered. Mayor Towey closed the public hearing at 6:49 p.m. 2.PUBLIC HEARING: Proposed 2012 Budget Amendment—Mark Calhoun Mayor Towey opened the public hearing at 6:50 p.m. After Finance Director Calhoun went over the history of the proposed amendments,Mayor Towey invited public comment. No comments were offered and Mayor Towey closed the public hearing at 6:56 p.m. 3. 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. Council Regular Meeting 10-09-2012 Page 2 of 6 Approved by Council: 10-23-2012 a.Approval of the following claim vouchers: VOUCHER LIST DATE VOUCHER NUMBERS; TOTAL AMOUNT 09/21/2012 4078-4081; 27023-27024 $61,291.97 09/212012 5512-5520 $1,305.00 09/21/2012 27025-27093 (-voids 27025-27033); 5511 $1,313,987.94 09/24/2012 27094-27109 $78,299.42 09/26/2012 27110 $12,547.54 09/28/2012 27111-27133 $230,761.74 09/28/2012 27134 $165.00 09/28/2012 27135-27159 $70,908.08 GRAND TOTAL $1,769,266.69 b.Approval of Payroll for period ending September 30,2012: $385,286.53 c. Approval of Minutes of September 18, 2012 Study Session Format Meeting d. Approval of Minutes of September 25,2012 Formal Format Meeting e. Approval of Minutes of October 2, 2012 Special Meeting f.Approval of Extension for Economic Development Ad Hoc Committee Report Deadline It was moved by Deputy Mayor Schimmels, seconded and unanimously agreed to approve the Consent Agenda. NEW BUSINESS: 4. Second Reading Proposed Ordinance 12-023 Proposed Property Tax--Mark Calhoun After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Schimmels and seconded to approve ordinance 12-023 levying regular properly taxes for 2013. Mayor Towey invited public comment; no comments were offered. Councilmembers discussed the pros and cons of taking an increase in the property tax; with those in favor of proceeding with the ordinance as it is written with no increase, stating that this is not the time for another tax, and that $108,000 in a $35 or$36 million budget is not a "deal breaker"; and those opposed to not increasing the tax stating that the money could be used for street preservation thereby saving citizens money for future costs, and that there is a concern in not raising the tax 1% now, could mean raising it substantially in the future; and that 1% does not keep up with inflation. Councilmember Grassel said she would like to see what would happen if we cut two or three percent as she feels that would encourage businesses to locate in our City. Vote by Acclamation: In Favor: Mayor Towey, Deputy Mayor Schimmels, and Councihnembers Hafiier, Grassel, Woodard and Grafos. Opposed: Councihnember Wick Motion carried. 5. First Reading Proposed Ordinance 12-024 Adopting 2013 Budget—Mark Calhoun After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Schimmels and seconded to advance Ordinance 12-024 adopting the 2013 budget to a second reading. After Finance Director Calhoun explained the budget background and highlights, Mayor Towey invited public comment. No comments were offered. Lengthy discussion ensued regarding the amount to keep as an ending fund balance,the amount to leave, if any, ill any of the four funds, including one for the Sullivan Street Bridge, one for City Hall, one for Park Development and another for Capital Reserves; and whether the funds would be more "visible" kept in the general fund. Finance Director Calhoun stated that funds could be left in the general fund but that Council indicated at various times, a preference to set money aside for those future projects. City Manager Jackson stressed that setting aside those funds doesn't appropriate that money; and that it is important to realize that if we wanted to spend funds for example for the Sullivan Bridge, that would have to go through a budget process; he said the message he interpreted from Council was that the ending fund balance was too large, and as a lump suns makes it harder for the city to determine future needs; he said Council is proposing to build a new city park at a purchase price of about $2 million; and said if that is included in the general fund, he'd suggest a policy statement that Council Regular Meeting 10-09-2012 Page 3 of 6 Approved by Council: 10-23-2012 maintains an ending fund balance of 72%as otherwise he explained,you're back to the position of having $26 million;and said he tried to lay out a plan that is sustainable. Mr. Jackson also noted that over the last few years, there have been different variations from Council on how much to leave in the ending fund balance, but moving everything back into the ending fund balance would take us back up to maintaining the $26 million; he said the attempt is to make sure that one-time money is set aside for one-time capital expenditures and not discretionary funds. Mr. Jackson also noted that a new city can only accumulate that kind of reserve, $26 million once, and once it's gone, it's gone. Councilmember Woodard said he doesn't agree with that belief; said we haven't discussed nonrecurring expenditures, nor has Council had a report back on City Hall, and asked about what capital reserve items are we referring to. Mr. Jackson replied that this is not a specific list but is for future needs, and a separate fund provides a lot more definition then simply putting everything in the general fund; he said originally staff recommend maintaining $26 million; but we moved from that idea and set aside$500,000 for street preservation; that Council wanted 40% of any amount over$26 million to remain in the ending fund balance; he said the financial experts tell us we are very unlikely to enjoy the financial prosperity of the past years and we need to look far into the future; that we need to balance revenues and expenditures each year; and this past year we spent more than we are taking in, although the spending was justified for good reasons;he said then Council moved from 40%,to set aside 100% of funds in excess of$26 million; then Council wanted to take an amount of 6% out of the general fund.Mr. Jackson said we are continuing to move to spend those funds and is it that movement in spending the reserves that concerns him; he said a true measure of financial stability is not exceeding revenues for recurring costs , which he explained is what street preservation is;he said we jump started the program but we can't sustain it forever;but can do so for four years; he said we made serious reductions to staff and spending, but it won't be long before Council will want to offer additional services and programs and we won't be able to offer them and said he fears that is the direction we are headed;he said we need to hold onto that and not spend more than we have designated for street preservation; he stressed this money is not replaceable,but if Council feels it is, then we should earn it in cash revenues. There was continued discussion about recurring and nonrecurring expenses, the idea to put money aside for future spending for Sullivan Bridge, and whether to purchase a City Hall instead of continuing to rent with annual rent increases; of not picking away at the general fund ending balance; of having the flexibility of moving funds when the need arises; and of the efforts we are making toward and the continuing challenges of street preservation. There was also the suggestion of putting the funds into one fund instead of four. It was moved by Councilmember Woodard and seconded to amend the 2013 budget to put all of the capital fund transfers into Capital Reserve Fund #315, and to then change the And to Fund #312. Councilmember Grafos added that there should be a footnote on that fund indicating the future designations. Council concurred. Vote on whether to amend the motion:In Favor: Councilmembers Hafrrer, Grasse', Grafos arrd Woodard. Opposed: Mayor Towey, Deputy Mayor Schimmels and Councihnember Wick. Motion passed. Vote on the fully amended motion to advance the Ordinance to a second reading with the amendment as noted above: In Favor: Mayor Towey, and Councilmembers Hafrrer, Grasse!, Grafos, Wick and Woodard. Opposed:Deputy Mayor Schimmels. Motion carried Mayor Towey called for a recess 8:40 p.m. and reconvened the meeting at 8:51 p.m. at which time it was moved by Deputy Mayor Schirrmrels, seconded and unanimously agreed to extend the meeting an hour. 6.First Reading Proposed Ordinance 12-025 Amending 2012 Budget Mark Calhoun After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Schimrnels and seconded to advance Ordinance 12-025 amending the 2012 Budget, to a second reading, After Finance Director Calhoun explained the proposed amendments, Mayor Towey invited public comment. No comments were offered. Vote by Acclamation: In Favor: Unanimous. Opposed:None. Motion carried. Council Regular Meeting 10.09-2012 Page 4 of 6 Approved by Council: 10-23-2012 7.First Reading Proposed Ordinance 12-026 Amending SVMC 7.05—Caty Driskell After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Schimmels and seconded to advance Ordinance 12-026, amending Spokane Valley Municipal Code 7.05 to a second reading. After City Attorney Driskell spoke to the changes as previously proposed by Council, Mayor Towey invited public comment.No comments were offered. Vote by Acclamation: In Favor: Unanimous. Opposed:None. Motion carried. S.First Reading Proposed Ordinance 12-027 Amending SVMC 17.100--Caty Driskell After City Clerk Bainbridge read the ordinance title, it was moved by Deputy Mayor Schimmels and seconded to advance Ordinance 12-027, amending Spokane Valley Municipal Code 7.100 to a second reading. After City Attorney Driskell spoke to the changes as previously proposed by Council, Mayor Towey invited public comment.No comments were offered. Vote by Acclamation: In Favor: Unanimous. Opposed.'None. Motion carried. 9. Motion Consideration: Sprague/Sullivan ITS Project Bid Award—Steve Worley It was moved by Deputy Mayor Schimmels and seconded to award the Sprague/Sullivan ITS Project to the lowest responsible bidder, Aztech Electric, Inc., in the amount of$202,531.21 and authorize the City Manager to execute the construction contract. Senior Engineer Worley went over the background of the project and said it is hoped the project will be completed late fall or early next spring. Mayor Towey invited public comment. No comments were offered. Vote by Acclamation: In Favor: Unanimous. Opposed•None. Motion carried. 10. Motion Consideration: Sprague Property Acquisition--Cary Driskell,Mike Jackson It was moved by Councilmember Grafos and seconded to authorize the City Manager to finalize and execute all necessary paperwork for the purchase of the property from Pring Corporation, Spokane County parcel numbers 45174.9053, 45174.9054, 45174.9055 and 45174.9056. City Attorney Driskell gave the highlights and background of the purchase proposal. Mayor Towey invited public comment; no comments were offered. There was brief discussion about the difference between fair market value and assessed value; and mention from Councilmember Wick that he doesn't feel the property is worth the price, but stressed he is not questioning the worthiness of the project and stating that we have not done due diligence to consider all options. Councilmember Grafos stated that one shouldn't compare undeveloped property with development property, and that this project will "kick-start" development in the area. Councilmember Wick requested that Councilmembers acknowledge campaign contributions from Mr. Pring, and some members of Council did so, with comment from Councilmember Haftter that he spoke to that in the past. Vote by Acclamation:In Favor:Mayor Totvey, Deputy Mayor Schimmels, and Councilmembers Hafer, Grasse!, Woodard, and Grafos. Opposed: Cornrcilnrerrrber Wick. Motion carried 11. Motion Consideration: Mayoral Appointment: Keith James to Spokane Housing Authority Mayor Towey explained the background of the opportunity for this appointment, as noted in the Request for Council Action form, and said he recommends Keith James to fill the appointment. It was moved by Deputy Mayor Schimmels and seconded to confirm the Mayoral appointment of Keith James to the Spokane Housing Authority Board of Commissioners,for a five-year term beginning immediately. Mayor Towey invited public comment; no comments were offered. Vote by Acclamation:In Favor: Unanimous. Opposed:None. Motion carried PUBLIC_COMMENTS: Mayor Towey invited general public comments; no comments were offered. Council Regular Meeting 10-09-2012 Page 5 of 6 Approved by Council: 10-23-2012 ADMINISTRATIVE REPORTS: 12. Advance Agenda--Mayor Towey Mayor Towey reminded everyone that next Tuesday's meeting has been cancelled. Councilmember Grafos asked about having an administrative report regarding the Comprehensive Plan for 2013, and it was noted that such is scheduled for the October 23 meeting, and Mr. Jackson said Mr. Hohman is working with staff to suggest issues Council might want to include on that docket. INFORMATION ONLY (will not be reported or discussed); 13.Pines Road ITS Project—was for information only and was not reported or discussed. 14.Response to Public Comment—was for information only and was not reported or discussed. CITY MANAGER COMMENTS City Manager Jackson said that the topic of City Hall is on the Council's pending list, and that the directors have reviewed the analysis which was done several years ago; that the next step is to review the consultant roster to have an architect examine the analysis; he said staff is watching in ease anything comes up for sale, but staff is not actively seeking a site or building but more is watching for the right kind and size area; and said this will be brought to Council in due course. There were no objections from council. Mr. Jackson also explained citizen action requests, and said even if such an request is addressed to Council, but is administrative, that council can safely assume that staff will move it forward, adding that of course Council could always meet with citizens, but by having staff handle these requests, it ensures we are tracking the issue, and that it also provides data so staff can determine if there are issues which keep surfacing. There being fro further business, it was moved by Deputy Mayor Schimmels, seconded and unanimously agreed to adjourn. The meeting adjourned at 9:32 p.m. A .f- S. Th.mas E. TosWy,Mayor Christine Bainbridge, City Clerk ]� Council Regular Meeting 10-09-2012 Page 6 of 6 Approved by Council: 10-23-2012 GENII RAL PUBLIC COMMENT SIGN-IN SHEET SPOKANE VALLEY CITY COUNCIL MEETING DATE October 9, 2012 GENERAL CITIZEN COMMENTS YOUR SPEAKING TIME WILL GENERALLY BE LIMITED TO THREE MINUTE Please sign in if you wish to make public comments. NAME , TOPIC OF CONCERN YOUR COMPLETE TELEPHONE PLEASE PRINT YOU WILL SPEAK ADDRESS I 62 ABOUT J as.© .5 L 'z_ b; j a K�.r� U&(( 1 toL.63 7f /,,�,,3 '€ b,1 ,,.-c u gal Al I,r A- 4 sn// s-.0 1 .lc ___'a n o_ - ' , Pak L Vatili ft ' 2-42 'i ll it 1 Please note that once information is entered on this form, it becomes a public record subject to public disclosure. Agenda Item #9 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: October 9, 2012 Department Director Approval: Check all that apply: ❑ consent ❑ old business new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Motion Consideration: Sprague/Sullivan ITS Project (#0133) Bid Award GOVERNING LEGISLATION: SVMC 3.35.10 —Contract Authority PREVIOUS COUNCIL ACTION TAKEN: 1) Approval of Energy Efficiency Conservation Block Grant (EECBG) Project List, which included Sprague Ave ITS, June 16, 2009; 2) EECBG project status update, March 30, 2010; 3) Adoption of the 2010 Amended Transportation Improvement Plan, which included Sprague Ave ITS, April 13, 2010; 4) EECBG project status update, December 28, 2010. 5) Bid Award of Sprague Ave ITS — Phase 1, March 29, 2011; 6) Informational RCA on October 2, 2012. BACKGROUND: In 2009, the City of Spokane Valley applied for and received a grant of $420,000 from the U.S. Department of Energy (EECBG grant) for the design and construction of intelligent transportation system (ITS) improvements such as installing cameras, conduit and fiber optic cable connecting existing traffic signals to the Spokane Regional Transportation Management Center (SRTMC). During project design, it became apparent that the $420,000 was insufficient to complete the work on the entire corridor, and the project was split into two phases. The City applied for and received an additional $244,425 in a Federal Congestion Mitigation / Air Quality (CMAQ) grant to complete the second (current) phase. This scope of the project in the CMAQ grant application was increased to include the installation of fiber optic cable and cameras on Sullivan Road from Sprague Avenue to 1-90. The EECBG funds were used to complete the design and construction of the Phase 1 of this project and also design the Phase 2. The CMAQ funds are now being used to pay for the construction of Phase 2. Phase 1 of the project included ITS improvements on Sprague Ave between University Rd and Evergreen Rd, and was constructed in 2011. Phase 2 of the project is currently scheduled to be constructed this fall. Construction of Phase 2 had to be delayed until the conduit was installed in Sprague Avenue as part of the Sprague Avenue Reconstruction Project. The project was advertised for bids on September 14, and bids were opened October 5. Two firms submitted bids. After opening bids and tabulating the results, staff will present results at the October 9, 2012 Council meeting to award the contract to the lowest responsible bidder. OPTIONS: 1) Award the Sprague/Sullivan ITS Project to the lowest responsible bidder, or 2) Take other action deemed appropriate. RECOMMENDED ACTION OR MOTION: Move to award the Sprague/Sullivan ITS Project to the lowest responsible bidder, Aztech Electric, Inc. in the amount of $202,531.21 and authorize the City Manager to execute the construction contract. BUDGET/FINANCIAL IMPACTS: The project is funded through $664,425 in federal grants: $420,000 from the US Department of Energy; $244,425 from the Federal Highway Administration. The City match is $103,696 (13.5% of the project total) from the Street Capital Projects Fund 303. Agenda Item #9 Project Revenues: Estimated Project Expenditures: Phase 1 (PE/RW/CN) $ 383,823 EECBG Grant $ 420,000 PE (Ph. 2) $ 40,200 City Match $ 103,696 RW $ - CMAQ Grant $ 244,425 CN (Ph. 2) $ 344,098 Total Funds Available $ 768,121 Total Est. Expenditures $ 768,121 STAFF CONTACT: Steve M. 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