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Approved Minutes - 2024-06-18 s� CITY COUNCIL REGULAR MEETING MINUTES June 18, 2024 aRrr�o� 1. CALL TO ORDER, CITY COUNCIL Mayor Buck called the regular City Council meeting to order at 3:01 p.m. on Tuesday, June 18, 2024. The meeting was held both virtually via video conferencing and in-person in the Council Chamber at City Hall 380 A Avenue. 2. ROLL CALL Present: Mayor Buck, Councilors Corrigan, Afghan, Wendland, Verdick, Mboup, Rapf. Staff Present: Martha Bennett, City Manager; Ellen Osoinach, City Attorney; Kari Linder, City Recorder; Jessica Numanoglu, Community Development Director; Morgan Holen, City's Contract Arborist; Bill Youngblood, Senior Code Enforcement Specialist Others Present: Ryan Allen, Consultant with Dudek 3. PLEDGE OF ALLEGIANCE Mayor Buck led the Council in the Pledge of Allegiance. 4. EXECUTIVE SESSION: The Lake Oswego City Council will meet under authority of ORS 192.660(2)(d) Conduct deliberations with persons designated to carry on labor negotiations; and (f) Consider records that are exempt by law from public inspection. Ellen Osoinach, City Attorney, read the legal parameters for the Executive Session. The City Council met in Executive Session from 3:06 p.m. to 4:27 p.m. 5. PRESENTATIONS 5.1 Proclamation — Disability Pride Month. Mayor Buck proclaimed July Disability Pride Month in Lake Oswego, noting the Library and Parks Department offered special programming to mark the month. More details and the full text of the proclamation were available on the City's website. Lauren Bruss, co-chair of All Ability Employee Resource Group, was recognized for authoring the proclamation as well as her dedication and hard work for the group. City Council Regular Meeting Minutes Page 1 of 7 June 18, 2024 5.2 Proclamation — National Parks and Recreation Month. Mayor Buck proclaimed July was Parks and Recreation Month and thanked the members of the Parks and Recreation Department in Lake Oswego for their work. The full text of the proclamation was available on the City's website. 5.3 Annual Meals on Wheels Donation. Judith Hathaway, President, Lake Oswego Meals on Wheels, provided an overview of Meals on Wheels in Lake Oswego, introduced members of the Meals on Wheels Board, provided an overview of the program's finances, and presented the City Council with a check for $53,687 to reimburse the City for its costs in running the program. 6. PUBLIC COMMENT • Scott Symer, President, Lake Oswego Municipal Employees Association, ASME Local 1546, stated that the City and Union had been in contract negotiations since February, struggling to reach an agreement on wages. The Union team had made a proposal to keep city employee wages in line with inflation. Mr. Symer presented a petition signed by 144 employees, 90 percent of the Union's bargaining unit, supporting the Union's wage proposal, and urged the City Council to direct its bargaining team to offer a wage proposal that would meet its employees' needs. The Council recessed from 4:44 p.m. to 4:46 p.m. 7. CONSENT AGENDA 7.1 WO 320.4, Public Improvement Contract Award for the Construction of the Lanewood I Douglas Circle Pathway Project. 7.2 Resolution 24-14, A Resolution of the City Council of the City of Lake Oswego Adjusting the Compensation for Management and Confidential Positions Not Represented by a Bargaining Unit. 7.3 Resolution 24-25, A Resolution of the City Council of the City of Lake Oswego Approving a Tax Exemption for the Mercy Greenbrae Affordable Housing Development Located at 3190 Furman Drive from the City Tax Levy. 7.4 Resolution 24-27, A Resolution of the City Council of the City of Lake Oswego Authorizing the City Manager to Sign the Intergovernmental Agreement with the City of West Linn to Continue to Provide Behavioral Health Specialist Services for Fiscal Years 2024-2027. 7.5 Resolution 24-31, A Resolution of the City Council of the City of Lake Oswego Authorizing the Mayor to Execute Amendment No. 2 to the Subrecipient Agreement 24-006 Between the City and Clackamas County Human Services Department's Social Services Division for Fiscal Years 2024-2027. END CONSENT Councilor Wendland moved to adopt the Consent Agenda. Councilor Mboup seconded the motion. City Council Regular Meeting Minutes Page 2 of 7 June 18, 2024 A voice vote was held, and the motion passed, with Mayor Buck and Councilors Corrigan, Afghan, Wendland, Verdick, Mboup, Rapf voting `aye', (7-0). 8. ITEMS REMOVED FROM CONSENT AGENDA No items were removed from the Consent Agenda. 9. CONSENT AGENDA— Councilors Only 9.1 Resolution 24-15, A Resolution of the City Councilors of the City of Lake Oswego Approving Appointments to the 50+ Advisory Board, Budget Committee, Development Review Commission, Diversity, Equity and Inclusion Advisory Board, Historic Resources Advisory Board, Library Advisory Board, Parks, Recreation and Natural Resources Advisory Board, Planning Commission, Sustainability Advisory Board, and Transportation Advisory Board. Councilor Verdick moved to adopt Resolution 24-15. Councilor Corrigan seconded the motion. A voice vote was held, and the motion passed, with Mayor Buck and Councilors Corrigan, Afghan, Wendland, Verdick, Mboup, Rapf voting `aye', (6-0-1). 10. PUBLIC HEARING 10.1 Resolution 24-24, A Resolution of the City Council of the City of Lake Oswego Adopting an Updated Urban and Community Forestry Plan (PP 21-0008). Ellen Osoinach, City Attorney, reviewed the hearing parameters and asked if any Councilor wished to declare a financial conflict of interest. None were heard. Jessica Numanoglu, Community Development Director, provided a brief overview of the Urban and Community Forestry Plan (CFP) and introduced members of the project team. Ryan Allen, Dudek, presented the Council report via PowerPoint, providing background on the CFP, a long-term document guiding how the City would manage trees into the future, the process used to develop the report, community and stakeholder engagement, main components of the report, and edits made to incorporate Council feedback and recommendations. Director Numanoglu, resumed the presentation, summarizing additions made to the document to address Council questions regarding which action items may require additional funding. A column was added noting which implementation items may need additional funding, which could be accomplished with existing Staff and resources, and notes on how Staff came to the conclusion. The high-level summary was not a thorough budget study but meant as a reference guide to assist with planning and budgeting. • The presentation concluded with the benefits of adopting the plan, which complemented existing planning documents, increased efficiency and effectiveness of the City's tree management, and included forward-thinking strategies to guide urban forest planning into the future with actionable implementation items and a monitoring plan to measure future success. Staff recommended adoption of Resolution 24-24. Clarifying questions and comments from Councilors were addressed by Staff as noted: City Council Regular Meeting Minutes Page 3 of 7 June 18, 2024 • There were items in the plan the City was already doing and would continue to do. The immediate next step would be to update the Tree Code, which Staff would begin working on next week with the goal of having a consultant on board by the fall. The upcoming budget cycle was an opportunity for the City to prioritize items and determine what funding was available to implement other aspects of the plan. • The items needing to be funded could include outside funding opportunities such as grants. The City had not identified additional funding in the past budget cycle. There was already a work plan in place, so there was not much capacity to take on new items, but in the coming year the Staff would be able to figure out the work plan and available budget and determine where to work in implementation items in the upcoming budget cycle. For example, the Tree Inventory was an important item for which the Staff hoped to find grant funding, but dedicated Staff resources would be needed as well so the Tree Inventory would need to be prioritized in the Department's work plan during the next Council goal setting. • The Planning Department updated the State of the Urban Forest Report roughly every five years and had been able to fund that work through its General Planning Budget, but the priority of other items would depend on Council priorities happening at the time. The Tree Inventory was not something the City had done on a consistent basis, and it would require additional resources, but Staff could look for grant funding or other sources. There was also the possibility the Tree Inventory could be funded through Planning Department Funds depending on what the Council's priorities were. • Clarifying allowable uses for the City's Tree Fund was an action item. It was not clear how the approximately $300,000 in the Fund could be used. Once allowable uses were established, priorities could be set for the funds, which had to be used for tree-related activities such as planting on private property, especially in riparian areas. While the sum was substantial, it was not clear how much could be expected annually. Mayor Buck opened the public hearing, confirmed there was no public testimony, and closed the public hearing. Mayor Buck commented that there had been a lot of good engagement from the community on the topic and thanked the Staff and consultants for keeping the Council up to date and allowing for Council participation in the process. A good Urban and Community Forest plan required a responsive policy, accurate and thorough data to support the strategy, and strong, active participation by the community. The Plan had brought all those elements to the table however the Plan would only be brought to life by prioritization of City resources to accomplish the work and a commitment on the part of the community. Councilor Mboup moved to adopt Resolution 24-24. Councilor Corrigan seconded the motion. A voice vote was held, and the motion passed, with Mayor Buck and Councilors Corrigan, Afghan, Wendland, Verdick, Mboup, Rapf voting `aye', (7-0). 11. STUDY SESSION 11.1 Civil Violation Code Enforcement Update. City Manager Bennett stated she had asked Staff to organize the work session due to public inquiries about short-term rental (STR) enforcement and the Sign Code. The City's focus was on code compliance, not enforcement. Staff would address community experiences and equity in City Council Regular Meeting Minutes Page 4 of 7 June 18, 2024 outcomes. The work session would cover Civil Code enforcement, with a separate session planned for encroachments. Staff sought Council feedback on Code priorities and potential changes to the Code for efficiency and community expectation management. Director Numanoglu, introduced the Department's two Code Enforcement Specialists, noting two specialists were necessary due to the breadth and depth of codes dealt with. The presentation would focus on the Community Development Code process, but representatives from other City departments were present and available to answer Councilor questions regarding Code enforcement processes in their departments. The presentation would not cover violations involving encroachments into the public right-of-way or encroachments into park properties,which were complicated and sensitive issues. Staff would hold a study session on those issues later this year. • She presented the Council report via PowerPoint, noting the decentralized approach to civil violations across multiple departments, with enforcement involving Police, Fire, Parks and Recreation, Community Development, and Engineering, and featuring inter-departmental collaboration. The City employed both systematic and complaint-based approaches, prioritizing voluntary compliance and excellent customer service, while equity considerations aimed for fair treatment regardless of socio-economic status, race, or background. This dual approach helped address potential equity issues associated with purely complaint-based systems. • A brief analysis of Community Development enforcement cases over two years, while not a true equity analysis, showed relatively distributed enforcement across neighborhoods, with colors representing average land values. The Palisades Neighborhood had the highest number of cases at 19, which was natural since it was the largest neighborhood association. A slight concentration of cases around City Hall was expected due to increased Staff presence in the area. The City prioritized voluntary compliance to avoid inequitable outcomes from punitive actions and fees. Of 235 total violation cases, 73 percent were resolved without fees, with most charged fees applied to professionals rather than residents. Bill Youngblood, Senior Code Enforcement Specialist, resumed the presentation, providing an overview of complaint prioritization, process, investigation timelines, and violation letter process, Staff duties and time allocation beyond enforcement, and the compliance process process for different types of violations, including citation issuance and court procedures. The presentation summarized Code enforcement challenges with impractical standards for STRs, home occupations, and spreading vegetation. Staff requested Council direction to amend STR and home occupation standards to be clear and objective and remove the spreading vegetation standard as a public nuisance. Director Numanoglu concluded the presentation, reiterating Staff was seeking Council feedback on the current approach to prioritization and enforcement, ways to improve communication with the community, and proposed Code amendments for STRs, home occupations, and spreading vegetation. Clarifying questions and comments from Councilors were addressed by Staff as noted: • Staff responded to complaints via phone call or message within a day or two, as well as visit the site to collect more detail in order to make an informed decision about whether there was a City Code violation. Typically, three to four complaints came in per day and there were approximately 50 to 60 confirmed violations on the list at one time. • The current STR Code allowed homeowners to rent their entire home for up to six months minus one day per year, but verifying compliance was a challenge for Staff. A homeowner City Council Regular Meeting Minutes Page 5 of 7 June 18, 2024 could vacate their home for rental up to six months a year. A month-long rental was considered an STR, and the homeowner could rent the residence to more than one part during that time. Rental of longer than one month to one party was considered a long-term rental. • The STR enforcement process was not proactive. The Staff used to periodically check STR sites but stopped when the STR ordinance was put in place. It was easy to confirm whether a residence was in compliance in terms of a business license and transient lodging tax, but difficult to proactively find residences that were not in compliance. Currently, the City used Property Guard software to track STR listings, however there were limitations in accessing historical rental data. Because enforcement was a challenge, Staff suggested further research on various rental platforms and enforcement strategies used in other cities. • Some STR operators opted not to continue using the residence as an STR and were asked by the City to sign a statement to that effect. • Staff would return in a separate session to discuss vegetation in the right-of-way and encroachment in parks and ask Council about direction for handling things such as bushes over stop signs and other encroachments into the right-of-way, including those that did not cause harm. The City employed a complaint-driven system for encroachments. • The code regulated size, number, and placement of signs, not content. Election signs were allowed 90 days prior to an election, and because with elections occurred up to four times a year there were only a few weeks per year where election signs were not permitted. There was no limit on the number of election signs allowed. • Under current regulations, advertisement signs less than two square feet on private property could remain indefinitely. Signs in the public right-of-way could be removed under the Code Enforcement process. • Tree permitting was handled through the Acella system, which was used in the same way as building permits. Citizens could log into Acella to check if someone had a permit, but this was not common. When tree-related inquiries came in, they were initially handled by the planner on duty, who would look up the permit status. If a permit was in place and everything appeared legitimate, the matter would not be escalated to Code Enforcement. However, if no permit was found, the issue would be passed on to Code Enforcement Staff. • A-Frame sign enforcement was suspended during the height of the pandemic to help people locate open businesses. Despite providing a long transition period before restarting enforcement, there was still some shock in the community when enforcement resumed. The Police Department assisted Code Enforcement with A-Frame sign enforcement on weekends which had improved compliance. • Violations did not frequently go to court. Some individuals wanted to go to court to be heard, despite the likelihood of being found guilty, but this only happened 5 to 10 times per year. The current Code Enforcement resources relied heavily on voluntary compliance because regular issuance of citations and attendance at court hearings would exceed staff capacity. • The City did undertake compliance education with the Chamber from time to time, but there was no set plan. The Council discussed the social model of STRs, the distinction between short-term and long- term rentals, and the difficulty in enforcing occupancy requirements. Mayor Buck emphasized the need for fairness, especially considering ADU fees and regulations. The Council requested research on how other jurisdictions handle similar issues and suggested exploring options between the current code and an outright ban, as well as balancing STR enforcement with other code violations. Councilor Afghan noted Lake Oswego attracted visitors and there was not a surplus of hotel rooms or hotel rooms at various price ranges and STRs allowed visitors to come to the City. City Council Regular Meeting Minutes Page 6 of 7 June 18, 2024 Councilors agreed clear and objective standards were needed for STRs and home occupation and supported Staff's recommendation that spreading vegetation could be removed as a public nuisance. Mayor Buck commented that the real estate community did not take issue with A-frame for-sale signage being permitted only on Sundays. 12. INFORMATION FROM COUNCIL Mayor Buck thanked Councilor Mboup for representing the City at the Juneteenth Celebration. Councilor Mboup was joined by community member Libra Forde, and the City Staff had done a great job organizing the well-attended event. The Mayor attended the Clackamas County Coordinating Committee (C4) retreat over the weekend where representatives of the County and its cities discussed a unified vision for the region's priorities in the 2025 State Transportation package. Co-chairs of the Transportation Committee, Representative Susan McClain and Senator Chris Gorsek, were present to hear feedback. C4 attendees also discussed a long-term vision for housing, recognizing community differences within Clackamas, and how housing could be used to support economic development while meeting County and regional goals for affordable housing and other housing types. 13. REPORTS OF OFFICERS City Manager Bennett reminded the Council that tomorrow the City would observe Juneteenth for the first time, so City offices would be closed, as well as the Library. Metro was finalizing its recommendation for the Supportive Housing tax plan and three recommendations were expected. First, Metro was expected to recommend expanding uses to include capital construction as well as services because the Metro Housing Bond was set to expire and there were no other funding sources for capital construction. Second, Metro was expected to recommend potentially lowering the tax rate due to higher-than-expected income generation at the current rate. Finally, Metro was expected to recommend extending the tax beyond 2030, and there were ongoing modifying income levels for the tax, considering that current high-income thresholds might not be applicable by the end of 2030. Staff offered to schedule a discussion on July 13 if Council wished to provide input to Metro Council, noting many Lake Oswego residents paid this tax. The Council agreed a discussion was necessary. 14. ADJOURNMENT, CITY COUNCIL Mayor Buck adjourned the City Council meeting at 6:23 p.m. Respectfully submitted, Vaitiqi:14 Kari Lin er, City Recorder Approved by the City Council on July 30, 2024. Joseph . Buck, Mayor City Council Regular Meeting Minutes Page 7 of 7 June 18, 2024