February
17, 2004
ATTENDEES:
Mayor, Bob Jepsen
City Manager, Jerry Breazeale
Bruce Nelson, Public Works Director
Council Members:
Kay Robinson
Judy Buschke
Merle Cowett
Tim Van Cleave
Tom Wolff
Cindi Doherty
Sheriff’s Department:
Deputy Jamie Rietmann
Deputy John Bowles
City Attorney, Bill Kuhn
David Sykes, Heppner Gazette
Rusty Estes, Fire Department
Members of the Public:
Carl Lauritson
George Koffler
Johanne Wood
Betty Wilhelm
Molly Rhea
Steve Rhea
Elizabeth Hickerson
Delia Robinson
Sandi Hanna
John Edmundson
Nancy Vander Does
Nancy Snider
Carl Vander Does
1. GENERAL BUSINESS.
A) Call to Order. The February 17, 2004, meeting
of the Heppner City Council, was called to order at 7:00 PM, by
Mayor Jepsen.
B) Pledge of Allegiance. Mayor Jepsen led those
present in the Pledge of Allegiance to the Flag.
C) Announcements.
1) Mayor Jepsen welcomed everyone to the meeting and stated
that there is a full Council in attendance.
2) Mr. Breazeale announced several additions to the City Council packet.
1F – Correspondence from Oregon Department of Transportation regarding designation of highway segments STA and UBA: Ore 74-Riverside Ave to Church St.; Church to Wasco-Heppner Highway; Wasco-Heppner Highway to west end of Willow Creek Bridge.
2A – Request from Scott Hollis to keep 3 horses within the City Limits—487 Linden Way.
8B—Letter from OECDD, along with Amendment No. One for the Safe Drinking Water Revolving Loan Fund project.
8E—Letter from Barak and Associates regarding estimated cost for appraisal of City Hall and Gazette Times properties.
8F—Letter from Joe and Ryan Miller regarding UGB Expansion.
8F—Mr. Wolff has letters from property owners regarding the UGB Expansion.
Minutes of February 12, 2004 Beautification Commission meeting.
D) Approval of the Minutes from the January 12, 2004 Council Meeting. The minutes of the January 12, 2004 meeting were reviewed by the Council members. The following changes were submitted:
1) Page 7, Para 10.C.3. Mr. Wolff would like the following statement added at the end of the paragraph. “The City Staff assured Mr. Wolff that they would visit and inspect the property and make contact with Mr. Holt.” Although Council members did not recollect this statement being made, it was agreed by members to add this statement.
2) Para 10.C.4, line 3. Change the word “behind” to “beside.”
Motion by Mr. Wolff to approve the January 12, 2004, minutes as corrected. Seconded by Mrs. Robinson. Motion Carried.
E) Report from Planning Commission. No members present. No meetings were held in January or February. Next meeting scheduled for March 1, 2004.
F) Correspondence.
1) Notice from Oregon Department of Transportation stating that they have changed the Urban Business Area and designated more areas as Special Transportation Areas (STA) and Urban Business Areas (UBA). These are included in the transportation plan amendments.
2) Letter from Morrow County Planning Department giving notice of a hearing for a conditional use permit for the Port of Morrow requesting a wood ash monofill for the COGEN facility at the South Morrow Industrial Park. The Morrow County Planning Commission would like comments from the City Council if there are any. The issue is movement of trucks full of ash from the mill through town to the disposal site on Clarks Canyon Road. The reason for the monofill is to save money for the operation to transport the ash to a facility that is closer and less expensive than Finley Butte. Mayor Jepsen pointed out the location of the property which is the old gravel quarry on the right where you turn to go down Clarks Canyon Road. Mr. Wolff stated that he was in the position to take no position, reserving the right to contest contamination throughout town. Mr. Kuhn stated that the city needs to take some type of action, possibly a letter to the Morrow County Planning Commission stating that the debris needs to be contained so that it will not be displaced in the city. Motion by Mrs. Buschke that the city needs to take some type of action, possibly a letter to the Morrow County Planning Commission stating that the debris needs to be contained to prevent release in the city. Seconded by Mr. Cowett. Motion carried.
3) Informational letter from the League of Oregon Cities providing information about accessing their web site.
4) Letter from the Campfire Girls requesting permission to sell candy door to door in Heppner. Motion by Mr. Wolff to approve this. Seconded by Mrs. Doherty. Motion carried.
2. COMMUNICATIONS
FROM THE PUBLIC.
A) Mr. Estes is attending this meeting representing
Emergency Services, to bring to the Council their concerns about
the two Stop signs on Gilmore Street. Mr. Estes is asking
Council to rescind resolution 550-03 until this can be further
coordinated with emergency service providers. He recommends
that Council rescind this resolution in accordance with the terms
of the Transportation System Plan. He spoke with 30
emergency responders in Heppner and none of them had any
recollection of an accident occurring at the intersection of
Willow and Gilmore. Previously a Yield sign was installed
on Willow Street at this intersection. Mr. Cowett stated
that he is the one who originally brought this concern to the
council since he has noticed that traffic, both vehicular and
pedestrian is getting heavier. He stated that he has
noticed drivers traveling at a high rate of speed. He said
this was discussed during Police Commission meetings and their
recommendation was to install the signs. Mr. Estes stated
that this causes a problem since ambulance/police/fire vehicles
going code and proceeding through a stop sign are liable for
injuries, etc. Mr. Cowett stated that he has noticed that
the ambulance drivers do practice safe driving. Mr. Cowett
stated that the volunteer ambulance drivers need more in-house
training. Mr. Estes stated that this is in violation of the
transportation plan. Mr. Cowett feels that the stop signs
are working to slow the traffic. Mr. Jepsen asked Deputy Rietmann
about his opinion of the installation of the stop signs and he
stated that the road is too narrow to allow parking on Gilmore in
certain areas to allow enough room for two-way traffic. Council
members identified the private vehicles that are currently
causing problems with parking.
Mr. Edmundson stated that he had served on the committee on the
transportation plan and at that time they identified a problem
with speed control on Gilmore Street which is a collector street
with a very high volume of traffic. He has discussed this
with Mr. Cowett, and has concerns that vehicles traveling at a
high rate of speed could cause an accident.
Mr. Vander Does stated that he had an experience today where he
was coming up the hill on Willow Street and almost had an
accident because an emergency vehicle did not stop at the stop
sign. He feels that the old way was safer. Mr. Jepsen
stated that the original decision was made to slow the traffic
down on Gilmore Street. He had suggested a yellow line down
the middle of the street, but the street is too narrow. Molly
Rhea asked whether a 25 mph sign would make a difference. No
one was sure.
Mr. Jepsen asked for a suggestion from the Council. Mrs.
Buschke suggested a temporary suspension of the signs until a
better solution could be reached. Mr. Nelson stated that
the Stop sign could easily be removed, or covered. Mr. Van
Cleave stated that this topic has been under discussion by the
Police Commission for some time. The next Police Commission
meeting is scheduled for February 26. Motion by Mrs.
Buschke to rescind the signs temporarily until a better solution
can be researched. Seconded by Mrs. Robinson. Mr.
Cowett stated that he will vote in favor if this can be discussed
further with Mr. Estes and Mr. Lauritson and the Police
Commission on February 26. Motion carried
Mr. Edmundson suggested painting 25MPH on the Gilmore Street
surface might be worthy of consideration.
B) Steve Rhea stated that he would like to inform the City
Council and the Mayor that he is totally in favor of moving city
hall to the old Klamath Building. He stated that part of
his reasoning is that, as a member of the Fire Department, he
would like to see the fire department facility expanded in the
future. He stated that he feels the bank building would be
more adequate for a City Hall.
Mr. Edmundson stated that he also is in favor of moving the City
Hall. The building is old and has deteriorated through
neglect. It has served its purpose and we can get along
with it for a while, but our public structures are a reflection
of the community and he concurs with Mr. Rhea.
Mr. Vander Does spoke with regard to the relocation of City Hall
and agrees that moving City Hall would present a positive image
for the city. He is president of the Chamber of Commerce
and on behalf of the Chamber and stated that the Chamber feels
that the City Council should investigate the possibility of this
change. He feels that if the dollar amounts are close, he
thinks that the Council should seriously consider the move to the
bank building. He also stated that the present City Hall
does not present the image that we want for our city.
Nancy Snider spoke on behalf of the Willow Valley Economic
Development Group and they have discussed this option and they
are urging the Council to take the next step to get all the
information, facts, costs, and possible other partners in the
area. They want to maintain the small rural community
atmosphere, but also want to bring business and industry into the
community. She has heard discussion of using the bank
building for a Main Street business, but there are also other
vacant buildings on Main Street. She also stated that she
has a great deal of respect for anyone serving on the Council.
She urges the Council to go to the next step, plus get all the
information to the community.
As president of the Willow Valley Economic Development Group and
a member of the Chamber board, Mr. Sykes echoed Mrs. Snider and
Mr. Rhea’s comments. He stated that they are ready to
help in any way they can.
C) Mrs. Johanne Wood stated that she is attending the
meeting to request that the May Street easement be declared a
private road. She is requesting this because the East
Oregonian person (Mr. Engman) drives at a high rate of speed when
delivering papers to Mr. Gonty. She feels that this would
give her the authority to post her own speed limit and put a
restraining order on Mr. Engman so that he couldn’t use the
road. In answer to Van Cleave’s questions, Mr.
Breazeale stated that this needs to be further studied by the
Police Commission. Mr. Jepsen repeated that under the City
Manager’s advisement, this should be taken to the Police
Commission. The next Police Commission meeting will be on
February 26 at 8:00 AM.
D) Scott Hollis, request to keep 3 horses at 487 Linden
Way. Motion by Mrs. Robinson to allow Mr. Hollis to keep 3
horses at 487 Linden Way. Seconded by Mr. Wolff. Motion
carried.
3. PUBLIC
HEARINGS.
A) An Ordinance Amending the Abandoned Vehicle Ordinance.
According to Mr. Breazeale, this amendment will provide for entry
on private property to cite the owner of the vehicle or the
property owner for having abandoned vehicles on their property.
This would make them responsible for removing the vehicles or
paying a fine. Repeated fines would be substantial. The
abandoned vehicle ordinance did not allow for police officers to
enter the property to identify the owners of the vehicles, and
this amendment would make it easier for the city to cite the
owners. The city has not received any written or oral
testimony on this amendment which has been published. Mayor
Jepsen stated that it is his opinion that this is a necessary
tool for law enforcement.
B) Resolution on 325 Matlock Street (Alston Property).
This was tabled from the last Council meeting. Mr. Sykes
(next door neighbor) stated that he has removed the pallets and
some of the wood. Mr. Sykes stated that he would like to
store the rest of the wood on his property until he could cut it
up with a chain saw. One of the two trailers on the
property is reportedly abandoned, and the other one belongs to
Mr. Sykes.
C) Resolution on 675, North Main Street (Ken Smith
Property). Deputy Rietmann reported that Deputy Slinger had
reported minor improvements on the property. Mr. Jepsen
asked whether Mr. Smith was still acting under the letter sent to
him from the city. Mr. Breazeale reported that Mr. Smith
had talked to him about obtaining a storage shed, and that as
weather permits, he is working on cleaning the property. Mr.
Wolff mentioned that he had noticed that there seems to be more
vehicles on the property, along with the old swamp cooler in the
yard. Mr. Jepsen stated that in his opinion, the property
has not been cleaned to the City’s satisfaction.
Public
Hearings Closed.
4. COUNCIL
ACTION.
A) Ordinance No. 543-04, An ordinance Amending the
Abandoned Vehicle Ordinance, Title 6, Chapter 4 of the Heppner
City Code to Provide for Entry Upon Private Property and a
Penalty and Declaring an Emergency. The Ordinance was read
by Mr. Breazeale. Motion by Mr. Van Cleave to adopt
Ordinance No. 543-04. Seconded by Mrs. Doherty. Motion
carried.
B) Resolution No. _____, A Resolution Declaring Certain
Property a Nuisance and Ordering Cleanup of Property. 325
Matlock Street, Map No. 2S 26 35BC, Tax Lot 7100. Motion by
Mr. Wolff to allow the residents an additional 30 days to clean
the property. Seconded by Mrs. Robinson. Motion
carried.
C) Resolution No. _____, A Resolution Declaring Certain
Property a Nuisance and Ordering Cleanup of Property. 675
North Main Street, Map No. 2S 26 26CC, Tax Lot 6400. Motion
by Mr. Cowett to allow Mr. Smith an additional 30 days to clean
the property. Seconded by Mrs. Robinson. Motion
carried.
D) Breeding Property, North Main Street. Mr. Van
Cleave reported that Dr. Wenberg and the Pathfinder group from
his church would start cleanup of the property on February 18.
Mr. Breazeale reported that the Breedings can now be cited for
the numerous automobiles parked on their property. Mr.
Jepsen stated that he hopes that the property can be cleaned up
by St. Patrick’s Day. Mrs. Rhea asked if the property
owners are contacted prior to their property being cleaned, and
Mr. Jepsen stated that they are sent a letter along with other
contacts. Mr. Van Cleave stated that subject property has
been cleaned before and that this is more of a vehicle problem.
Mr. Van Cleave stated that he had discussed the cleanup with
Deputy Slinger and that the Sheriff’s department is in
contact with Dr. Wenberg.
5. COMMUNICATIONS
FROM THE COUNTY SHERIFF REPRESENTATIVE.
A) Activity Report. Deputy Rietmann reported that
the main topic he had to bring up was discussed previously
(property cleanups and Gilmore Street Stop sign).
1) Deputy Rietmann introduced Deputy John Bowles who is
attending the meeting to report on the upcoming Bicycle Safety
Program for the County. They are asking for a $500 donation
from each city in the county to get the program going. Mr.
Van Cleave asked if the bike group is the same group that was
involved last year, and Deputy Bowles stated that it is. They
will be giving a presentation at the school the day before Spring
Break.
2) Mr. Wolff noted that part of the Police Log was missing
and Deputy Rietmann stated that this was due to administrative
error.
3) In response to questions about speeding citations in a
school zone, Deputy Rietmann reported that unless signs are
posted in a school zone, double fines cannot be enforced.
4) Deputy Bowles reported that last year approximately 30
children attended the bicycle safety program. His goal is
to do more with the program this year. Motion by Mrs.
Robinson that the city donate $500 to the bicycle rodeo this
year, subject to availability of funds. Seconded by Mrs.
Buschke. Mr. Breazeale stated that community development
funds are available for this. Motion carried.
B) Police Commission – January 29. Minutes of
the January 29 meeting were reviewed by the Council. Mr.
Wolff asked whether a letter had been sent to Mr. Gonty advising
him that no action would be taken on his request for signs on the
property in front of his house. According to Mr. Breazeale,
a letter has not been sent as of this date, but is being drafted.
C) Code Enforcement. None.
D) Additional Discussion. Letter from ODOT regarding
speed limit investigation on the South end of town. This
letter acknowledges ODOT’s receipt of the letter and that
action will be taken on this in the future.
6. COMMUNICATIONS
FROM THE PUBLIC WORKS DEPARTMENT.
A) Activity Report. Mr. Nelson reported actions
during the past month. Repairs have been done at the sewer
plant, and repairs have been done at the Senior Center. The
city crew is working on getting rid of old meters and replacing
them with new ones. Mr. Ehrmantraut has had the sweeper
repaired. Some new water services have been installed.
They have a problem at the golf course with the scales and they
were using too much sulpher dioxide and sulpher dioxide was being
dumped into the creek. Mr. Nelson reported this to DEQ and
he needs permission from City Council to correct this and avoid a
violation and $10,000 fine. Prices range from $1,050.00 to
$766.00 to correct the problem. Equipment similar to what
we have now costs $766.00. Mr. Breazeale stated that the
council does not need to approve this, but be aware of it. Mr.
Nelson also reported a problem with sticks plugging up a manhole.
Problem was corrected, and no fines imposed. Mr. Nelson
showed a video from LiquiVision on reservoir cleaning.
B) and C) Minutes of Utilities Commission and Parks and
Lands Commission meetings. Furnished for Council’s
information.
D) Authorize hiring LiquiVision Technology, Inc. to Clean
Reservoirs. Mr. Breazeale reported that Mr. Nelson is
asking for permission to have LiquiVision clean all three
reservoirs, if possible, depending on the depth of the sediment.
Total price to clean all three reservoirs with 1 inch of sediment
is $6,900. Additional sediment over 1 inch deep will incur
an additional charge and if, for example, reservoir one had four
inches of sediment, this would be completed and a decision made
regarding continuing with the other reservoirs. Motion by
Mr. Wolff to proceed and follow the Utility Commission’s
Recommendation to have all three reservoirs cleaned with the
values that are discussed and if reservoir 1 or 2 leads to
additional unforeseen dollars, then this is approximately the
amount of money we cap it at. Seconded by Mrs. Doherty.
Motion carried.
E) Additional Discussion.
1) Mr. Wolff inquired about the letter in the Council
packet (item 6A) regarding 610 S. Heppner-Spray Highway and the
violation of sewer discharge onto the ground. He asked if
any Council action was required. He also asked what the
house does when there is no sewer system available to be
connected to. Mr. Wolff asked what the Federal Home
Mortgage Company is going to do. Mr. Breazeale replied that
the owners are aware of what needs to be done . Mr.
Breazeale stated that they have contacted three local contractors
to get a cost on installing lines from the main into the property
and the owners realize that this is what they have to do to get
sewer into the property. Mr. Breazeale stated that this
area is included in the city sewer expansion plan. Mr.
Breazeale stated that an approximate estimate to complete this is
$15,000. No council action is required at this time.
2) Mr. Jepsen inquired about the bad taste of the water
reported at the Calvin Sherman residence and Mr. Nelson stated
that there is a possibility that cleaning the reservoirs can
correct this. Mrs. Buschke reported that there is another
property in the area with the same problem. Mr. Breazeale
reported that there is a possibility that the problem is in the
line that is pumping from reservoir 2 to reservoir 3. They
feel that this is probably in the pipes. Mr. Jepsen
discussed an article in the East Oregonian about water problems
in Heppner that occurred 25 years ago.
7. COMMUNICATIONS
FROM THE FIRE CHIEF.
A) Mr. Estes reported that the fire department had planned
to burn down a house at 610 Cowins Street that belongs to the
Grassers. The Grassers have changed their mind and informed
Mr. Estes that Eric Wenberg is planning to buy the property and
rehabilitate it.
B) On March 11-12, ISO is going to be in Heppner to
re-evaluate the fire department and water system. We are
now classified as a 6-9, and they are going to try to be at 4-8
which is a reduction in fire protection rating which will save
money on fire insurance costs.
C) On March 13, they will have their St. Patrick’s
breakfast. This will start at approximately 10 PM until 2
AM or later.
D) Mr. Jepsen asked how often the fire hydrants are checked
and Mr. Estes stated that the hydrants are flushed every year and
the flows will be checked during the ISO visit.
8. COMMUNICATIONS
FROM THE CITY MANAGER.
A) Resolution No. 553-04, A Resolution Approving
Accounts Payable for Payment. Motion by Mr. Wolff to
approve Resolution No. 553-04, A Resolution Approving Accounts
Payable for Payment. Seconded by Mrs. Robinson.
Discussion:
Mr. Wolff had a question on the repair to the sander and Mr.
Breazeale reported that this was for a new clutch. Mr.
Wolff also asked about the Bank of New York payment and was told
that this is an administration fee on a general obligation bond.
In answer to Mr. Wolff’s question on the Morrow County Grain
Growers charge, Mr. Breazeale explained that the charge was for
heating fuel. Mr. Nelson asked about the $1016 bill to Les
Schwab and Mr. Breazeale stated that it was for tires and tire
changes, battery, tire chains on the sander truck and dump truck,
and other repairs. Mrs. Buschke questioned the bill for
Nolan’s Janitorial and was told that this bill was for two
months’ service at the Senior Center.
Question
called for: Motion carried.
B) Water System Improvement Project. Mr. Breazeale
reported that he received a letter dated February 12, 2004, from
OECDD, which amends the contract for the Safe Drinking Water
Revolving Loan Fund project to decrease the loan amount for the
project to $2,968,255. Mr. Kuhn stated that he has reviewed
all the amendments that contain what the city expects and asked
Mr. Breazeale if OECDD had sent the resolution form approving the
amendments. Mr. Breazeale stated that the resolution was
not sent. Mr. Kuhn stated that if the Council approves the
proposed amendments, that we need to put the resolution in
writing so that it can be returned with the signed packet. Mr.
Kuhn also stated that the attorney’s opinion was included in
the packet. Mr. Kuhn stated that OECDD requested another
attorney’s opinion to return with the packet. Mr.
Cowett asked what the rate and term of the loan was, and Mr.
Breazeale stated that the interest rate was 1% for thirty years,
and the principal payment is $114,000 +/- per year.
Motion by
Mr. Wolff to accept the documentation at the recommendation of
the City Attorney and City Manager and authorize them to proceed
to finalize the transaction. Seconded by Mrs. Doherty.
Discussion:
Mr. Jepsen asked if this is needed in the form of a resolution,
and Mr. Kuhn replied that a written resolution will be supplied
once the Council passes this motion. Resolution No. 554-04
is being approved along with this motion in order to expedite the
return of the signed documentation.
Question:
Motion carried.
C) Flood Study Review. Mr. Breazeale has reviewed the
flood map and documented the properties involved to include the
market value from the County Assessor’s Office. The
total value of the properties involved, including the St.
Patrick’s Senior Center is $16,413,250. The total
market value of the properties in the City of Heppner is
$49,466,570. This equates to a value of the properties in
the flood plain between 30-33% of the total value of properties
within the city. The efforts to reduce the flood plain will
remove some properties from the area and should provide
substantial savings to the property owners involved. According
to Mr. Jepsen, this will also increase the value of those homes
that are removed from the flood plain.
D) Report on attendance at FEMA Course, February 9-12.
Mr. Breazeale reported on his attendance at the FEMA Emergency
Management Institute in Maryland. Attendees were from all
areas of the country, with 31 people in attendance. Mr.
Breazeale felt this was a very informative course for anyone
wanting mapping updates for their communities. He feels the
program is of value and learned that a FEMA web site is available
to print off the map of your area. He felt the course was
worthwhile to attend. The new maps will be in digital
format.
E) City Hall Remodel Committee. Mr. Breazeale
reported committee’s actions to date. The members have
reviewed the floor plan of the present building and also
discussed purchasing the Klamath Bank building. One of the
things they looked at was the option of Mr. Sykes purchasing the
present City Hall building and the city purchasing the
Sykes’ building for a site for the equipment from CSEPP.
The money generated from the sale of the present City Hall could
be applied to the purchase of the Klamath Bank building. Mr.
Breazeale stated that it appears that the city could purchase the
bank building without raising any new money and would not require
a bond issue. There is enough money being set aside through
the budget for city hall improvements in the reserve account to
make the loan payments. The committee recommended that the
Council investigate this further.
The price quoted for the appraisal of the present building and
Mr. Sykes’ property is over $8,000, and Mr. Kuhn explained
that cities have a wide latitude in buying and selling properties
and an appraisal is not required. He stated that the city
could do this provided that it is in the public interest to do
so. There are certain rules that have to be followed
regarding appraisals. If the site has a reasonable asking
price, as long as the city makes the appropriate findings, an
appraisal does not need to be done. They do have to ensure
that this is a like for like cash equal exchange. Mrs.
Buschke inquired whether the city and Mr. Sykes could negotiate
their own transaction without doing an appraisal and Mr. Kuhn
stated that they could. Mr. Wolff asked if any other
appraisers had been contacted and Mr. Breazeale stated that Mr. Barak
did the appraisal on the Klamath building along with several
other banks in the area, and is highly recommended. Mr.
Wolff stated that he had a concern that the Klamath building was
appraised using the construction value and not the income or
market approach. Mr. Koffler stated that the appraisals
were done using the construction value only since this was the
appraisal that was required. Mr. Wolff wondered if the
$325,000 price was still valid and if the amount to be financed
was less than $325,000 would the interest remain the same. Mr.
Koffler stated that the $325,000 price is still valid and the
interest rate would remain at 4.9% even if a lesser amount was
financed.
Mrs. Buschke stated that she was still in favor of the purchase
of the bank building. Even though she has had some
questions from the public about taking the bank property off the
tax rolls, most of the public comments have been positive. Mr.
Wolff asked how the private party of the Sykes and the City would
meet and negotiate values. Mr. Kuhn stated that you could
start with the values off the tax rolls and since the city hall
is not on the tax rolls a comparative market analysis could be
done with information provided by local realtors. Mr. Wolff
asked how far back the city tax lot goes in relation to the
city shop. Mr. Breazeale stated that that there would have
to be a shared easement for use of the alley. The city
property is on two tax lots.
Mr. Wolff stated that he doesn’t know of a better
combination of events to happen at the same time. Most of
the public opinion he has heard is negative. Mr. Wolff does
have some concerns about remodeling the bank building. People
have told him that they don’t want to put a lot of money
into the bank building. His personal opinion is that he
doesn’t know if we can come to a deal that would be
agreeable to everyone. Mr. Sykes stated that he concedes
that the City Hall building is probably worth more than his
building. Mr. Cowett asked how much land Mr. Sykes owned
and he stated that he owns the lot next to his building, and has
an easement with the Oddfellows for ingress and egress. Mr.
Estes stated that CSEPP is going to build at the industrial park,
but OSP Region 10 told him to keep the options open. Mr.
Jepsen stated that regardless of whether we go ahead with the
appraisals, we should proceed with the negotiations and then if
it doesn’t work out, we go to the next step. He feels
that we can work things out. Mr. Wolff stated that he
agrees with Mr. Jepsen. Mr. Breazeale stated that Public
Works has discussed using the Gonty building for a Public Works
office.
Motion by Mr. Wolff for the City Management to enter into
negotiations with the owners of the Sykes property and see what
kind of values they can come up with under the guidelines of a
1031 exchange between the Sykes property and the City Hall
property.
Discussion:
Mr. Jepsen stated that Mr. Estes should also be involved in these
discussions. Mr. Wolff asked if the first of March would be
adequate for a decision and was told that a decision could be
made by the March City Council meeting.
Motion seconded by Mrs. Buschke. Motion carried
unanimously.
F) Land Use Committee. Mr. Breazeale reported that he
received a letter today regarding properties being included in
the UGB expansion. He stated that some people are in favor
of this, but had concerns that their taxes would increase. Many
people feel that this is the first step towards annexing their
property into the city and raising their taxes. Mr.
Breazeale stated that he had explained to the property owners
that the Council has no desire to annex the property included in
the UGB unless the owners intend to put city sewer and water on
their property. At that time the property would have to be
annexed into the city. He stated that they are already
providing police services to these properties. Mr.
Breazeale stated that a statement could be made from the City
that the City Council has no intention to annex the properties in
the UGB at this time, unless property owners request water and
sewer services, so that people would be more comfortable being
included in the UGB. Mr. Kuhn stated that the County
Planning Department would make any decisions when a property
owner wanted to construct a barn, etc. He also stated that
generally, whenever someone wanted to do something to their
property they would have to come to the city for fire protection,
police coverage, etc. Mr. Kuhn also stated that adding onto
the city sewer and water, etc., would have an effect on their
property. Mrs. Doherty feels that a letter should be sent
to affected property owners stating the current City
Council’s policy. Mr. Kuhn also stated that a future
council could change this ruling. Mr. Jepsen stated that
the statement that owners would have to request annexation gives
lots of leeway, which could be as much as fifty years in the
future. Mr. Breazeale stated that the Hoskins property in
between the two greens at the golf course is already in the UGB.
Mrs. Doherty stated that she feels a letter should be sent
stating the City’s policy. Mr. Jepsen stated that he
feels the people on the list need a letter sent to them. Mr.
Wolff stated that some of the properties on the list that Mrs.
Patton provided to him were already in the UGB. Mr.
Breazeale pointed out that we do not have any statement of
approval from DLCD on what we propose to do. Mrs. Robinson
asked if we can wait until next month and Mr. Breazeale stated
that this could be done. Motion by Mrs. Robinson that the city
send a letter to all the property owners in the area informing
them of the city policy, and that the issue is being looked into.
Seconded by Mrs. Doherty. Motion carried.
Mr. Jepsen stated that most of the people he has talked to about
the expansion of the UGB are afraid that this is the first step
towards annexation.
G) NEACT Meeting Notes. Mr. Breazeale reported that
at the last NEACT meeting, they had indicated that we are not on
the state’s priority list. He has asked Devin Oil and
Morrow County Grain Growers to furnish him with a letter on how
important it is to their business to have Riverside repaired.
He stated that we are going to press harder to get our projects
approved.
H) Proposed sale of real property. Mr. Breazeale
stated that the “Jack Little House” on South Main
Street has been declared surplus and an offer has been received
from C. Cash Allison. Terms of the offer are: 1)
Sales price of $16,500 cash, subject to approval; 2) The
City provide a clean title in the amount of the purchase at time
of closing; 3) The purchase subject to an independent
appraisal in the amount of $16,500, with appraisal to be
performed no later than 60 days of acceptance of offer, appraisal
fee to be paid by buyer; 4) Normal split of closing costs
between buyer and seller; and 5) Prorata of property taxes.
Mr. Jepsen asked if the city is going to list the property
with a realtor, and Mr. Breazeale stated that this offer was
received prior to listing the property. Mr. Wolff asked if
he needs to declare exparte communications with Mr. Allison and
he agrees with the purchase price. He feels the property is
not worth more than $16,500 since it needs many repairs. Mr.
Wolff encouraged council members to look at the property if they
have any reservations on the sales price. He stated that
the property needs a lot of work, but does have a good roof and a
relatively new foundation. Mr. Van Cleave stated that Mr.
Le Doux had expressed an interest in the property, but had not
pursued it. Mr. Jepsen inquired about the community block
grant loan on the property and how this would affect the City
profit. Mr. Breazeale stated that this money would come
back to the city. Mr. Kuhn stated that when the grant loan
went into default upon Mr. Little’s death, the city
considered foreclosing. The attorney for Mr. Little’s
heirs stated that he would clean up the title and the heirs would
do the work to transfer the deed to the city for a probate
cost/attorneys fees/personal representative fee of $1000.00.
The city has paid this $1,000.00 to the attorney. This
lawyer also requested a personal representative fee in the amount
of $1200 which was calculated on a value of $30,000. Mr.
Kuhn has notified the Little’s lawyer, and his
recommendation to the city is to send a letter back to the lawyer
telling him that we would pay $800 more for additional fees and
he feels that this will be accepted. Mr. Kuhn stated that
he didn’t think the closing costs would exceed $500.00.
Mr. Wolff asked if there was a time limit on Mr. Allison’s
offer and Mr. Breazeale stated that there was not. Mr.
Wolff also stated that he was comfortable of the value of the
offer. Mr. Jepsen stated that he agreed with the offer.
Motion by Mrs. Buschke to accept Mr. Allison’s offer and
terms based on a cash sales price of $16,500. Seconded by
Mrs. Robinson. Motion carried.
Discussion: Mr. Wolff’s opinion is that if a person
purchased the property and did the repairs himself, the property
would probably be a livable house. Mr. Wolff also stated
that he felt there should be some earnest money, unless there was
a closing within two weeks.
I) January Financial Statement. Mr. Breazeale
reported that the City financial position at this time is in
satisfactory condition.
9. COMMUNICATIONS
FROM CITY ATTORNEY. Mr. Kuhn reported that
he had covered these issues previously in the meeting.
10.
COMMUNICATIONS FROM THE MAYOR/CITY COUNCILORS.
A) Resolution No. 555-04, A Resolution Establishing Goals
for 2004. Motion by Mrs. Robinson that Resolution 555-04 be
adopted. Seconded by Mrs. Doherty. Motion carried.
Discussion:
Mr. Wolff asked that the city staff attend the next meeting and
set a recommended date and time for a tour of city facilities.
B) Beautification Commission. The Beautification
Commission will have a joint meeting with the Parks and Lands
Commission on March 11 to attend a presentation of Urban Forest
Growth.
C) Housing Authority: Mrs. Buschke reported that
there is a potential new tenant and there are some repairs that
need to be made before occupancy. Mr. Wolff would like to
make a memo to the housing authority that the Elks club is very
unhappy with the Schindler Elevator Company and would be
agreeable to make a joint agreement with the city with another
company.
D) Appointment of Commission Members: The Housing
Authority has appointed Donna Schonbachler to fill the position
of Housing Authority Commission member. Motion by Mr. Wolff
to approve Mrs. Schonbachler as a member of the Housing
Authority. Seconded by Mrs. Doherty. Motion carried.
E) Additional Discussionl
(1) Mr. Wolff stated that he would like the City Staff to
visit the Chuck Holt property on Water Street to discuss his
concerns on the drainage problems on his property.
MEETING
ADJOURNED TO EXECUTIVE SESSION PURSUANT TO ORS 1922.660 1 H,
LEGAL MATTERS AND POTENTIAL LITIGATION AT 10:30 PM.
EXECUTIVE
SESSION CONCLUDED AT 11:17 PM.
MEETING
ADJOURNED AT 11:17 PM.