The regular meeting was called to order by Mayor Young at 7:30 p.m. Harold Olsen delivered the invocation and Mayor Young led the flag salute.

COUNCIL MEMBERS PRESENT:

Mayor Cheryl A. Young

Councilor Marian Calnon

Councilor Bill Guy

Councilor Gary Hudson

Councilor Bob Schmor

COUNCIL MEMBERS ABSENT:

None

ALSO PRESENT:

Leahnette Rivers, City Administrator/Recorder

ATTORNEY PRESENT:

Harold Olsen, City Attorney

A quorum was present and due notice had been published.

None.

AGENDA ITEM 3 CITIZEN INPUT:

Steven Reed presented Chair Calnon of the Parks Committee with a $500.00 check from the Columbia Rotary Club. He said the money will be used to hire the Sheriff's Office work crew to clean up the City's park at the corner of "E" Street and Highway 30. He explained that he has been working on this plan with Jim Bundy and the Parks Committee for quite some time. He said the work crew will remove the blackberries, dead trees and brush, which will open up the park for better use by the citizens. The Mayor and Council thanked Mr. Reed for bringing this contribution to Columbia City.

4.1 Parks Committee: No report.

4.2 Water Source and Development Committee: Chair Guy said the Water Committee will meet on January 8, 2002.

Leahnette Rivers explained that several test results have been received from the lab, and at this point the only item that appears to be out of the ordinary is the level of total dissolved solids. She said the total dissolved solids measured 340 when the City completed the draw down testing for the well. However, she said total dissolved solids had escalated to nearly 1300 just prior to shutting off the well in December. She said the lab is currently conducting a test to determine what constitutes the total dissolved solids, and this information should be available for the next Water Committee Meeting.

4.3 Streets Committee: No report.

4.4 Other Reports: The Council reviewed a memo dated January 2, 2002, from Leahnette Rivers, explaining that the City could submit a Letter of Interest for funding assistance for the River Club Estates lift station improvements to the Oregon Economic and Community Development Department (OECDD). In the memo she explained that the City could obtain loan funds to complete the project, and the current interest rate is 5.35%. Councilor Schmor questioned the cost of the project. Ms. Rivers said the engineer's preliminary cost estimate came in at less than $100,000, but an updated and more detailed project cost outline needs to be completed.

AGENDA ITEM 5 CONSENT AGENDA:

5.4 Reappointment of Craig Davis and Joan Thackery to the Columbia City Planning Commission.

MOVED (GUY), SECONDED (HUDSON) AND CARRIED UNANIMOUSLY BY ROLL CALL VOTE TO APPROVE THE CONSENT AGENDA.

None.

Jason Hudson of Hudson Garbage Service, Inc., spoke to the Mayor and Council about the possibility of providing curbside yard debris service to the residents of Columbia City. He explained that they currently provide curbside yard debris service to St. Helens customers. He said St. Helens customers receive a 95-gallon cart. He said they can place yard clippings, vegetables, fruit, wood, leaves, and similar materials in the container. He said the container is picked up every other week, and this additional service is costing St.Helens customers an additional $3.70 per month.

Mr. Hudson explained that this is not an optional service for St. Helens customers. He said every St. Helens resident that has garbage service also receives curbside yard debris service, and no exemptions are made. He noted that in some cities an exemption may be obtained certain cases. He said an exemption might be applicable for the following reasons:

• A professional landscaper is hired and the landscaping contract includes the removal of all yard debris.
• A working compost pile is used on the property.
• The yard is void of trees, shrubs and landscaping of any kind.

Mr. Hudson explained that St. Helens officials justified the mandatory service based upon findings that everyone in the community would benefit, either directly or indirectly, from the service because for the following reasons:

• There would be a reduction in outdoor burning.
• There would be a reduction in the amount of debris sent to the landfill.
• The streets would stay cleaner.
• There would be fewer instances of blocked storm water systems.
• The County's recycling rating would improve.

Mr. Hudson said they would be willing to provide Columbia City residents with the same curbside yard debris service as St. Helens' customers have for $3.70 per month. He said that in order to provide yard debris service under a subscription service, they would need to charge between $6.30 and $8.30 per month. He said this would be a difficult service to provide by subscription because it is seasonal and there is a lot of guesswork involved in how many residents might subscribe. He said there would be additional expense involved in adding and deleting the service, including picking up, cleaning and delivering cans, as well as determining the number of cans to purchase.

Mr. Hudson said Columbia City currently has one of the lowest garbage service rates in the County. He said Columbia City's garbage services costs $14.00 per month, while Vernonia and Clatskanie residents pay $16.00 monthly. He said Scappoose City residents pay $16.50 and Scappoose County residents pay $17.50 per month, but their service includes monthly recycling. He said St. Helens residents pay $22.32 per month for service that includes both recycling and yard debris. He said if Columbia City moves forward with yard debris, the rate would increase to $17.70 per month, with recycling available at an additional cost of $5.25 per month. Mr. Hudson noted that Columbia City's yard debris service and recycling services would be offered during alternating weeks to reduce the number of cans on the street.

The Council discussed this matter at length. It was the consensus of the Council that the City move forward with having curbside yard debris service added to the basic service for Columbia City residents, with no exemption provisions, for an additional $3.70 per month. Council asked staff to prepare the necessary paperwork for consideration by the Council at the next Council meeting.

Leahnette Rivers explained that this is a change of ownership application for the mini-market. She said a background check has been completed on both applicants.

MOVED (SCHMOR), SECONDED (HUDSON) AND CARRIED UNANIMOUSLY TO APPROVE THE LIQUOR LICENSE APPLICATION FOR MATTHEW L. AND CELICE CARLOUGH.

MOVED (HUDSON), SECONDED (SCHMOR) AND CARRIED UNANIMOUSLY TO AUTHORIZE THE MAYOR TO SIGN THE SEWAGE SYSTEM EASEMENT.

MOVED (HUDSON), SECONDED (GUY) AND CARRIED UNANIMOUSLY TO ACCEPT THE SCA GRANT AGREEMENT.

MOVED (SCHMOR), SECONDED (CALNON) AND CARRIED UNANIMOUSLY TO APPROVE SIGNATURE OF THE BULLET-PROOF VEST AGREEMENT.

The Council reviewed a spreadsheet showing financing options for the water reservoir and well project as provided by OECDD. Leahnette Rivers noted that Option 8, the Safe Drinking Water Loan Program with a 1% interest rate, results in the lowest total loan payments. However, she said in order to qualify for the 1% interest rate, the City would be required to adopt a monthly water rate equal to 1.75% of the median household income for 1,000 cubic feet of usage. She said the 1990 median household income for Columbia City was $36,812, so the City would need to charge $53.68 for a monthly usage of 1,000 cubic feet. She explained that currently the City charges $32.25 for 1,000 cubic feet of usage.

Leahnette Rivers explained that the City's water rates would need to increase to $44.99 for 1,000 cubic feet in order to make the debt payments on the 1% loan. She said the 1% loan program would require the City to increase rates beyond what would be needed to make the loan payments, and the additional revenue would be reserved for or invested in other water projects. She explained that the rates need to be adopted, but not effective, upon completion of the project. She said the actual effective date of the rate increase can be delayed for at least 2 years, or possibly more. However, she said the $44.99 rate would need to be effective upon completion of the project in order to make the debt payments.

Leahnette Rivers noted that if the City's project costs decrease due to a change in the scope of the project it may be in the best interest of the City to select another option. She said the other options require rates designed to repay the loan, which may be less than $53.68, especially if the scope of the project changes significantly and the overall project costs are reduced. The Council discussed the use of Option 4, which includes a $500,000 grant, a $500,000 Water/Wastewater loan with an interest rate of 5.46%, and the remaining project costs under a Safe Drinking Water Loan with an interest rate of 4.21%. The Council reviewed the other options and discussed the water project at length.

MOVED (GUY), SECONDED (HUDSON) AND CARRIED TO MOVE FORWARD AT THIS TIME WITH OPTION 8. Mayor Young abstained from voting.

It was the consensus of the Council that due to the uncertainty of the City's well project, the City Council may want to reconsider the funding package again prior to finalizing the loan documents.

Leahnette Rivers explained that Gary Biggs has submitted his 30-day notice of resignation, which will become effective on January 9, 2002. She said the Council had previously expressed an interest in entering into an intergovernmental contract with Don Sallee and the City of Scappoose for building official and inspection services, and Mr. Sallee is still interested in working with Columbia City. However, she said Mr. Sallee will not be able to take over Columbia City's building inspections for at least six months because he is enrolled in classes. She said she has not advertised the position, but she has been approached by several potential inspectors.

Leahnette Rivers said Brian Smith of Brian's Home Inspection Service is willing to contract with Columbia City in the same manner as Gary Biggs. She said she has checked some of his references and he comes highly recommended.

Leahnette Rivers said Douglas Merrell, who previously served as Building Official for the City of St. Helens and Plumbing Inspector for Columbia County, is interested in providing inspection services as an employee of Columbia City. She said as an employee the City would be responsible for worker's compensation insurance and liability insurance. She said he is also eligible for certain programs offered by the Employment Department.

Some members of the Council expressed concern about the City's liability under the employee relationship. It was the consensus of the Council that the City move forward with the development of a contract with Brian's Home Inspection Services.

Agreement with Shari Ouillette and Ann Jennings: Council reviewed the proposed Professional Services Agreement between the City of Columbia City and Shari Ouillette and Ann Jennings for the development of a historical book as prepared by Harold Olsen.

MOVED (SCHMOR), SECONDED (GUY) AND CARRIED TO APPROVE THE AGREEMENT AND AUTHORIZE SIGNATURE.

There being no further business to come before the Council, the meeting adjourned at 9:05 p.m.

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