The City Council met in Work Session on Tuesday, November 17, 2015, at 2:04 p.m. in Room 326, Committee Room, City County Building, 451 South State Street.
In Attendance: Council Members Luke Garrott, James Rogers, Erin Mendenhall, Kyle LaMalfa, Stan Penfold, and Lisa Adams.
Excused: Councilmember Charlie Luke
Staff in Attendance: Cindy Gust-Jenson, Executive Council Director; David Everitt, Mayor’s Chief of Staff; Margaret Plane, City Attorney; Russell Weeks, Senior Council Public Policy Analyst; Lehua Weaver, Council Public Policy Analyst; Jan Aramaki, Council Policy Analyst; Sean Murphy, Council Policy Analyst; Sylvia Richards, Council Policy Analyst; Nick Tarbet, Council Policy Analyst; Nick Norris, Planning Manager; Daniel Echeverria, Principal Planner; Michael Akerlow, Housing and Neighborhood Development Director; Todd Reeder, Housing and Neighborhood Development Capital Asset Manager; Brad Stewart, Public Utilities Engineer; Michaela Oktay, Planning Manager; Nora Shepard, Planning Director; John Vuyk, City Budget Manager; Marina Scott, City Treasurer; Robin Hutcheson, Transportation Director; Lynn Pace, Senior Advisor to the Mayor; Orion Goff; Building Official; Ryan Mellor, Fire Marshall; Mary Beth Thompson, Finance Director; Becca Rolfe, Transportation Advisor; Jaysen Oldroyd, Senior City Attorney; Thomas Ward, Public Utilities Deputy Director; and Cindi Mansell, City Recorder.
Guests in Attendance: Linda Hamilton, SAA Consultant
Councilmember Garrott presided at and conducted the meeting.
The meeting was called to order at 2:04 p.m.
2:05:14 PM Councilmember Rogers moved and Councilmember Mendenhall seconded to recess as the City Council and convene with the Mayor as the Board of Canvassers, which motion carried, all members voted aye.
AGENDA ITEMS
#1. The Council will meet as the Board of Canvass to certify the Canvass and declare the 2015 Municipal General Election results. The Municipal General Election the Board of Canvassers, which includes the Mayor and City Council, will canvass and declare the Results of the Municipal General Election held on Tuesday, November 3, 2015. The election was held for the offices of Council Members for Council Districts 2, 4 and 6 and the Mayor. The term for each of these positions is four years. View Attachments
Boardmember Rogers read the final election results into the record.
Boardmember Rogers moved and Boardmember Penfold seconded to adopt Resolution 37 of 2015, declaring the results of the November 3, 2015 Municipal Election, which motion carried, all members voted aye.
Boardmember Rogers moved and Boardmember Mendenhall seconded to adjourn as the Board of Canvassers and reconvene as the City Council, which motion carried, all members voted aye.
#2. 2:10:13 PM Planning Director’s Report: Yalecrest-Hillside Park Local Historic District. Local Historic Districts are designed to maintain the historic character of a neighborhood by protecting historic features and preventing out-of-character alterations. The proposed boundaries of the Local Historic District include the area between 1700 East to 1800 East between Laird Avenue (1190 South) and 1300 South. This report from the Planning Division is one of the first steps in the process for designating a local historic district in Salt Lake City. If the Council finds the report complete, the Planning Division will continue with the local historic designation process which includes community outreach, public hearings before the Historic Landmark and Planning commissions, and an evaluation of property owners’ support. Once those steps have taken place, the proposal will come back to the Council for final consideration. Petitioner, William Lapsley, Petition No. PLNHLC-2015-00697. View Attachments
Nora Shepard and Michaela Oktay briefed the Council with attachments.
#3. 2:11:14 PM Options to address the negative fund balances for certain extensions (neighborhoods) in Special Lighting Districts L01, L02, and L03. Council will review a recommendation by Linda Hamilton, consultant, and information prepared by the Administration to dissolve the SAAs and convert them to a public utility surcharge fee. This information will assist the Council in its continued comprehensive policy discussion that will guide how Special Lighting Special Assessment Areas (SAA) can be improved and more transparent in the future. View Attachments
Thomas Ward, Brad Stewart, Jan Aramaki, Lehua Weaver and Linda Hamilton briefed the Council with attachments.
The Council discussed the quality and character of those areas with maintenance deficits. Ms. Hamilton said there were a broad variety of occurrences that have led to the current situation. She said some of the largest deficit areas have been as a result of infrastructure updates and costs not adequately being passed on to residents. Inquiry was raised regarding expertise or whether the City should create any additional lighting districts. Ms. Hamilton said the Public Utilities Staff was very competent and handling these areas via the Enterprise Fund solution would be optimal. Councilmember Penfold said he would be far more comfortable moving the existing SAA’s into an alternative long-term management strategy within an Enterprise Fund managed by Public Utilities versus the creation of additional special districts.
Mr. Ward discussed the enhanced lighting fee structure and the concept of paying for the service received. Ms. Hamilton discussed a surcharge system put in place based on level of service that adequately charged residents for costs incurred. Inquiry was raised as to the number of service levels, Mr. Ward suggested the recommendation would be between 2-5 levels.
Ms. Hamilton said recommendation was for Public Utilities to conduct a rate study every five years and report back the results to the City Council relative to financial soundness of the process. She added that further delay could risk incurring additional costs with no revenue coming in; and once the SAA’s are placed into the Enterprise Fund, the fund would take over responsibility for such risk. Ms. Gust-Jenson inquired whether there was a plan to repay the General Fund. Ms. Hamilton stated that was not recommended. Ms. Gust-Jenson said the public should not be left with the impression their bill could be reduced. Discussion followed regarding the need for extensive public outreach communication to each customer prior to the change in billing being made, potential for matching grant funds remaining, and the reality of potential future costs for enhanced areas.
Councilmember LaMalfa expressed concern as to some districts being held hostage for the areas that had enhanced lighting. Ms. Hamilton stated that the deficits cannot be passed on to the rest of the citizens. She said the intent was only for the enhanced option charges to pay for all costs associated with enhanced lighting areas, like an Enterprise Fund unto itself.
Councilmember Garrott expressed concern for the need to ensure the Enterprise Fund was not transferring money back and forth for enhanced areas. Mr. Ward said the study would define the enhanced service levels.
Ms. Weaver discussed policy steps involved to resolve the extension deficit. She reviewed the suggestion to utilize a share of what the City historically had contributed to surplus balances toward the deficit balance; the current amount of $205,000 in the FY14-15 annual budget; and a one-time additional allocation from the General Fund of $300,000 to bring all deficit balances to zero and ready to dissolve.
A unanimous Straw Poll was taken in support of not phasing out or breaking the areas/funding package into component pieces and to address it all at once and to support using a share of what the City had contributed to surplus balances towards deficit balances in the amount of $205,000 as well as an additional allocation of $300,000 from the General Fund as proposed.
A unanimous Straw Poll was taken in support of the recommendation to reconcile the positive balances to bring accounts to zero and dissolve the SAA’s; and for funds to be used in two ways with surplus being used towards operating expenses on a month-by-month basis, and for remaining balances to provide for energy efficient upgrades to be made in those areas.
Ms. Weaver referenced the rate study. She inquired if the Council had a preference for an in-house rate study within the Consolidated Fee Schedule, or to hire an outside consultant for $40,000 to conduct a rate study work to include public engagement and a rate structure proposal. Mr. Ward said the consultant would ask Staff for data. Councilmember Penfold said he felt comfortable providing Staff the internal or manual ability to conduct the study so they would be able to continue the process down the road and not have to return for consulting funds each time.
Councilmember LaMalfa said he would suggest the opposite, or something to fall back on such as a consultant. He said he felt there was a lost trust in the lighting program, a need to point to an objective third party and to have a system in place that was not subject to the whims of political pressure. Councilmember Garrott said the City Council approved the fee schedule. Discussion followed regarding a consultant for this phase and working into a plan for 5-year rates. Ms. Hamilton said such was the intended advantage of the Enterprise Fund.
A unanimous Straw Poll was taken in support of the rate structure study to having Staff primarily develop the rates followed by the consultant conducting the transition study verification and public outreach.
Discussion followed regarding how to apply this process into programming for participation in enhanced or private lighting. Ms. Hamilton said those two components still require a process and that would be a question for the consultant. Ms. Weaver said she could return with suggested Council intent language.
A unanimous Straw Poll was conducted in support of the firewall concept to address the special three SAA’s and the larger Enterprise Lighting Fund.
Ms. Weaver said there would be monthly costs that will continue to accrue as ongoing expenses and that would result in additional General Fund contributions; there would be no revenue coming in until the surcharge was implemented. She addressed the estimated amount of the operation and maintenance contract and options for the transition phase. She said the choice was either to allocate additional General Fund money to pay for monthly costs or to go through the traditional SAA assessment process to bill the properties with the negative balance. She said Option 2 would trigger the Board of Equalization process which would require Staff time and delay the transition to the surcharge account; those intervening months would cost as much as those SAA bills would yield to the City.
A unanimous Straw Poll was conducted in support of utilizing the General Fund for the additional expense of approximately $39,000 monthly beginning July 1, 2016 until the surcharge could be implemented.
Ms. Weaver clarified the engagement process through the rate study would include public hearings, open houses, and opportunities for engagement. She said a tentative public hearing had been scheduled for this evening; however, given the Straw Polls conducted the Council may consider postponing this until more information was available. Clarification was offered that going forward there would be ability to mail specific notice directly to SAA property owners. Ms. Gust-Jenson suggested because this was a long term and consuming issue the Council may want a legislative document (resolution or ordinance) to close it out with a formal action of record. The Council felt that would be appropriate.
2:59:40 PM At this time, consideration was given for the Council to adjourn briefly at the end of the Work Session meeting to attend Mayor-Elect Biskupski’s Celebration Party at The Pride Center. A unanimous Straw Poll was conducted to break at 5:55 p.m. and return at 6:45 p.m. to convene in formal session.
3:04:01 PM Councilmember Mendenhall moved and Councilmember Rogers seconded to recess as the City Council and convene as the Board of Directors of the Local Building Authority, which motion carried, all members voted aye.
Director Mendenhall moved and Director Penfold seconded to adjourn as the Board of Directors of the Local Building Authority and reconvene as the City Council, which motion carried, all directors voted aye.
Note: See File M 15-10 for Local Building Authority minutes.
#7. 3:28:36 PM Housing Trust Fund Loan: 444 South 900 East. Council would consider a proposed resolution to authorize a loan from Salt Lake City’s Housing Trust Fund to the Housing Authority of Salt Lake for expenses related to the construction of the 9th East Lofts located at 444 South 900 East. The loan $750,000 loan would be issued at 2% interest annum for 30 years. The housing development would consist of 68 units-54 of which would be set aside as affordable housing. View Attachments
Todd Reeder, Mike Akerlow, and Sean Murphy briefed the Council with attachments.
Discussion followed regarding the budget process of the Housing Authority, project quality, and timeline. Ms. Gust-Jenson said this was a long-standing issue and there was the need to figure out a way to work with the Housing Authority to have these items worked out in advance so that the Council has time for consideration and was not down to a time crunch for the entire project. She said the Council could take a Straw Poll indicating the request for applications and approvals in advance to groundbreaking or project implementation. The Council concurred they would like to see a system for project consideration and funding in place prior to groundbreaking. Mr. Akerlow said Staff would better coordinate with the Redevelopment Agency and City Council for the entire financing scenario.
Councilmember LaMalfa expressed concern that this was a first-class project that rivals the high-income commercial projects that are being built downtown. Mr. Akerlow said it had been proven that higher-end products lead to a greater job of preservation of the units including a variety of issues associated with Building Code, life safety, façade, etc. Councilmember LaMalfa said the granite countertops, rooftop decks, patios, etc. would all be available to a tiny handful of people who would win a lottery to get the nicest housing in the City at a low price.
#8. 3:46:16 PM Housing Trust Fund Loan: 616 Lofts. Council would consider a proposed resolution to authorize a loan from Salt Lake City’s Housing Trust Fund to Wasatch Residential Group, LLC. The loan would be used to develop a 274-unit; multi-family apartment project located on the southwest corner of 600 South and State Street. The seven-story project would be comprised entirely of affordable housing--a City priority--and construction is scheduled to begin in February 2016. View Attachments
Todd Reeder, Mike Akerlow, and Sean Murphy briefed the Council with attachments. Discussion followed regarding design guidelines.
#9. 3:53:23 PM Proposed Rezone of the Indiana Avenue Neighborhood Node. Council would consider a proposed ordinance amending the zoning map pertaining to properties located at 1380 West Indiana Avenue, 1410 West Indiana Avenue, 1416 West Indiana Avenue, 1420 West Indiana Avenue, 1424 West Indiana Avenue, and 1430 West Indiana Avenue to rezone said properties from CN – Neighborhood Commercial to R-MU-35 – Residential/Mixed Use. These zoning amendments are part of the Westside Master Plan implementation process; a priority of the Council’s this year. These amendments are designed to better foster neighborhood business zones on the Westside, a need identified in the planning process. Although the properties are proposed to be rezoned to R-MU-35 – Residential/Mixed Use, consideration may be given to rezoning the properties to another zoning district with similar characteristics. Petitioner – Mayor Ralph Becker, Petition No. PLNPCM2014-00381. View Attachments
Nick Norris, Daniel Echeverria, and Nick Tarbet briefed the Council from attachments. Mr. Tarbet said the public hearing was continued to this evening and the Council could close the public hearing and either consider action this evening or defer to a later date.
Councilmember LaMalfa encouraged the Council to proceed with the rezone but to maintain the corner as an integral part of the business node.
#10. 4:18:06 PM Pedestrian and Bicycle Master Plan Amendments. Council would consider a proposed ordinance that would amend the Bicycle and Pedestrian Master Plan. The plan is an update to the 2004 plan, and includes recommendations for pedestrian and bicycle infrastructure, education, encouragement and enforcement. Also included is guidance for promoting safer interactions between pedestrians, cyclists and motorists. View Attachments
Russell Weeks, Becca Rolfe, and Robin Hutcheson briefed the Council with attachments. Ms. Rolfe said the plan had been reviewed and recommended by the Planning Commission, Transportation Advisory Board, and Bicycle Advisory Committee.
Councilmember LaMalfa inquired as to UDOT partnership or participation, whether it would be appropriate to include streets like 4th South, 3rd West, State Street, 7th East, etc. in the plan. Ms. Hutcheson explained that arterials in City ownership are different conversations; some of them have facilities, some have success, and some are recommended for further study (5th South, 6th South, 3rd West). The Council discussed potential to add areas for City priority or future study. Ms. Hutcheson stated she understood the nature of the question and may be able to address them in further study and discussion. Further requests included color on maps, some idea as to type of facility, whether bridges are addressed adequately such as those that are freeway entrances for pedestrians and bikers, limited number of crossings, additional language for bridges and intersections, and consideration of the remaining couple of blocks along 400 south that were not completed.
Councilmember Rogers discussed the four different kinds of bikers identified, ridership based on speed, lowering speed limits, moving violation penalties and fines be included as an intention for financing improvements, and potential future Council considerations. Discussion followed regarding the recommendation of two key changes in the northwest quadrant along the Great Salt Lake Marina route and 7200 West.
A unanimous Straw Poll was conducted in favor of beefing up language regarding the Council position for better facilities, bike and pedestrian amenities on State roads and arterials including bridges and overpasses, stronger language on speed recognizing increases in fatalities and serving as a barrier to pedestrian and cyclists on the road, and the intent to continue to address it through complete streets and neighborhood byways.
Ms. Hutcheson said committing moving violations relative to specific safety was included in the plan. Ms. Gust-Jenson said Staff could follow up with the City Attorney to determine whether or not there was obligation to the Consolidated Fee Schedule. Councilmember Mendenhall suggested expansion of the idea, was it possible to weigh speeding infractions as to what a regular expectation of speeding violations and a disproportionately high amount of speeding that could be taken into consideration for capital investments for those design elements or could factor in consideration as to where in the City to invest in design elements to address bike safety.
Mr. Weeks suggested a two-part Straw Poll as to can or should the City Council allocate funds from speeding violations to safety improvements or to analyze where speeding might occur based on established regular expectations of speed and how to possibly tie that to the Capital Improvement Program.
The Council conducted a unanimous Straw Poll in favor of Staff investigating Utah Law and Municipal Code on the ability to earmark funds going into a General Fund and possibly criteria to include in the Capital Investment Program.
#11. 5:18:54 PM Residential Apartment Inspections. Council would consider a proposed ordinance that would amend the Salt Lake City Code relating to the inspection of rental dwelling units (amending Chapter 5.14). Currently, the City is able to inspect residential units at three year intervals so long as the inspections are scheduled. Under the proposal: View Attachments
•single family and duplex rentals will be inspected when there is cause or complaint and will self-certify that they meeting City standards;
•buildings with three or more rental units will be inspected no more than every four years, unless required more often due to cause or complaint;
•new construction will not be required to have inspections in the first four years and change of ownership or management will not trigger inspections, with the exception of inspections due to cause or complaint;
•and other changes.
Lehua Weaver, Jaysen Oldroyd, Orion Goff, Mary Beth Thompson, Ryan Mellor, and Lynn Pace briefed the Council with attachments.
Mr. Pace explained whatever the Council determined, it was important to move forward and make a decision. He said Staff could then circle back to those owners who have been refusing inspections to begin to ensure those units are safe. Mr. Mellor said the concern about the safety of SLC citizens was very real and the ability to inspect those apartments was a big deal. He expressed support of doing what the Council would like and making it happen in the safest way possible. Mr. Goff added that under the circumstances, he would always be opposed to fewer inspections. He said being in limbo was not a good place to be and he would like to move forward.
Mr. Pace stated the agreement with the Apartment Owner’s Association as to scheduling was to provide 30 days advance notice to allow them notification for their tenants. He said a cause or complaint situation allowed for immediate inspections. He noted the self-inspection checklist for all one and two-unit rentals. Mr. Pace said larger units were the basis for scheduled inspections; and if cause or complaint, the inspector would review anything under the Housing Code.
Discussion followed regarding recourse against landlords that violate the ordinance or potential to fabricate self-certification. Mr. Oldroyd explained the City’s Business License Code provides for potential Good Landlord revocation. Mr. Pace suggested language that allows the City the ability to revoke the business license and remove a landlord from the program and pursue all other civil and criminal remedies.
Ms. Thompson said the issue with business license revocation was that people become homeless; she suggested a tiered structure with any violation.
Councilmember Mendenhall suggested moving ahead as proposed and stated the approach of civil penalties was fabulous. Mr. Oldroyd said the new section does provide for notice of violation process and position of civil penalties.
The Council conducted a unanimous Straw Poll in favor of moving forward and adding wording without holding up the process for the intent of focus on life safety.
Councilmember LaMalfa said he would be voting against the proposal. He said public safety wins and he would not accept the compromise. Further discussion followed regarding different inspections applying different criteria.
#12. 5:43:38 PM Plan Salt Lake Citywide Master Plan. Council would consider a proposed ordinance that would adopt the Plan Salt Lake general plan. Plan Salt Lake is a citywide master plan designed to create high-level policies and vision that will guide the City and its respective neighborhoods for the next 20 years. The Council has received regular updates as the plan has progressed. Petitioner-Mayor Ralph Becker, Petition No. PLNPCM2011-00682. View Attachments
Nora Shepard, Nick Norris, and Sean Murphy briefed the Council from attachments. Mr. Murphy said the public hearing was scheduled for this evening and would be continued to December 1, 2015.
#13. Board Appointment: Housing Authority Board of Salt Lake City. Appointment of Cindy Gust-Jenson to the Housing Authority Board of Salt Lake City for a term extending through November 1, 2020. She will be replacing Michael Clara.
Item rescheduled.
#14. Board Appointment: Community Development & Capital Improvement Programs Advisory Board. Appointment of Julie Bjornstad to the Community Development and Capital Improvement Programs Advisory Board for a term extending through June 30, 2021.
Item rescheduled.
#15. 7:11:46 PM REPORT AND ANNOUNCEMENTS FROM THE EXECUTIVE DIRECTOR REPORT OF THE EXECUTIVE DIRECTOR, INCLUDING A REVIEW OF COUNCIL INFORMATION ITEMS AND ANNOUNCEMENTS. The Council may give feedback or staff direction on any item related to City Council business, including but not limited to:
•Scheduling Items
•Early Advertising
See File M 15-5 for Announcements.
#16. 3:13:12 PM REPORT OF THE CHAIR AND VICE CHAIR.
Sean Murphy and Jill Love briefed the Council regarding the Council’s intent for the next Housing Briefing scheduled for December 1, 2015. Mr. Murphy said the plan included discussion on the consultant’s verbal report; consider changes to Citywide Housing Policy which were included in the last Staff report; and eight questions posed by Administration regarding policy direction surrounding housing they had identified months ago as being critical to the direction Council would like to see moving forward (particularly around affordable housing).
Councilmember LaMalfa said he would like to see the addition of mixed-income housing focus.
Councilmember Rogers said this was too large of a policy discussion to try and complete within the number of meetings remaining for the year, at the end of one City Administration, and with newly elected officials coming in.
Councilmember Garrott suggested the need for Council priority relative to the Homeless Relocation Commission report; report from the Hand Consultant on Inclusionary Zoning; or try a general Housing Policy discussion. Ms. Love said Staff would love the opportunity to present the Homeless Report Site Configuration to the Council in December and receive input and guidance relative to the next steps.
A 3-3 Straw Poll was conducted and failed to move forward with Housing Policy consideration with Council Members Garrott, Mendenhall, and LaMalfa voting in favor and Council Members Penfold, Rogers, and Adams voting against.
A 1-5 Straw Poll was conducted and failed in support of considering the HAND Consultant Report including inclusionary zoning, with Councilmember LaMalfa voting in favor and all remaining Council Members present opposed.
A 5-1 Straw Poll was conducted in favor of consideration of the Homeless Relocation Commission Report with all Council Members present voting in favor except Councilmember LaMalfa, who was opposed.
A unanimous Straw Poll was conducted in favor of finalizing the Affordable Housing concept and how to go about identifying tools that match those goals (first policy and then tools).
#17. CONSIDER A MOTION TO ENTER INTO CLOSED SESSION, IN KEEPING WITH UTAH CODE FOR ANY ALLOWED PURPOSE.
Item not held.
The Work Session meeting adjourned at 5:50 p.m.
This document is not intended to serve as a full transcript as other items may have been discussed; please refer to the audio or video for entire content.
This document along with the digital recording constitute the official minutes of the City Council Work Session meeting held November 17, 2015.
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