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HomeMy WebLinkAboutCity Council Meeting - Council - Minutes - 12/20/1984 i Kent, Washington December 20, 1984 (Continued Council Meeting from December 17) The meeting was convened at approximately 4: 40 p.m. by Council President/Mayor Pro Tem Johnson. Present: Councilmembers Bailey, Biteman, Johnson, Kelleher, Leahy, White and Woods, City Admini- strator Cushing, City Attorney DiJulio, Public Works Director Wickstrom and Finance Director McCarthy . Also present: City Treasurer Drotz . FINANCE LID 283 Bond Sale. Cushing noted that a proposal had been received from Foster & Marshall for the purchase of bonds for LID 283 with a net effective interest rate of 10 . 446% . Dick King of Foster & Marshall noted that the financing for LID 283 had been going on for approximately five years. He referred to four recent LID bond issues and noted that this one compared quite favorably with the others. He noted that the net effective interest rate for the City of Auburn issue was less than that for LID 283 and stated that the first reason was that there was a ten year Letter of Credit issued by Seattle-First National Bank iguaranteeing the assessment payments, and secondly, part of the issue had fixed serial maturities as opposed to the structuring used for LID 283 in which bonds are callable at any time. He noted that fixed serials have a greater appeal to the market and pointed out that the possibilities of using_ fixed serials had been discussed with Finance Director McCarthy and City Treasurer Drotz and it was determined that the Citv of Kent did not want to take the risk that they would run into a cash flow deficit with fixed serials, and so they chose to not use this . He also noted that the City of Algona and the City of Auburn issues were pulled from the market because of a publishing error by the City Clerks in those cities, so those issues would not close immediately, although purchase contracts had been signed. There were no questions from the Council and LEAHY MOVED to accept the offer of Sherson & Lehman/American Express/Foster & Marshall Division, for the purchase of LID 283 bonds and further , to adopt Ordinance 2522 , authorizing the issuance and sale of such bonds, Bailey seconced. Motion carried. J, - 1 - December 20 , 1984 ZONING WHITE MOVED to suspend the rules, Biteman AMENDMENT seconded. Motion carried, with Bailey abstain- ing, and Leahy opposing. WHITE MOVED to recon- sider the previous motion that was defeated on December 17 concerning the ordinance for the East Hill Zoning Amendment. Woods seconded. Motion carried, with Bailey abstaining. WHITE 'MOVED to override the Mayor ' s veto of Ordinance No. 2513 , Woods seconded. Leahy clarified his pos tii on by noting that somehow the entire issue had become known as the Fred Meyer Rezone and in fact there was more to it than just the Fred Meyer property. He noted that his vote to uphold the Mayor ' s veto on December 17 was not based on the Fred Meyer rezone issue alone, but rather was based on what he felt in retro- spect to have been a mistake on the part of the Council when it considered only a very narrow scope of study with regard to the East Hill commercial properties. He stated that that was the whole basis of his objection because it was his feeling that the boundaries of the study should have been expanded to consider other areas as well. He noted that his vote against the motion tonight would again be on that basis . Bailey stated that for the sake of clarification his sentiments and reasons paralled Mr. Leahy ' s and noted that he would also vote against the motion. Biteman noted that he had some reservations in terms of time and referred to Leahy' s comments about a more expanded investi- gation, and agreed that a larger area should have been considered. He also stated, however, that time was increasingly important and perhaps more important than the second look at the area, and he would vote in favor of overriding the veto. White agreed with Bailey and Leahy and stated that he would like to see the Council look at the entire East Hill commercial situation, not just this particular area. He stated that he would not be in favor of the Council sustaining the Mayor ' s veto at this time and would vote in favor of the motion. He suggested that early next year the Council should direct the Planning Commission to take a look at the entire East Hill situation. There was no further discussion and the motion carried, with Bailey and Leahy voting against it. - 2 - December 20, 1984 ZONING At this point Johnson concluded that everyone AMENDMENT seemed to be in agreemerlt that a more compre- hensive study had to be made of the commercial zoning in the East Hill area. He stated that the Council should probably direct the Planning Department and the Planning Commission to do that early next year. Bailey stated that in fairness to the Planninq Commission and the Planning Depart- ment, the Council should be more definitive in their instructions . He stated that a very unfortunate situation now existed and the Council has been placed in a very awkward position. He asked that at the time the request was made it was his hope that the Council would collectively have a common goal in the process, whether they agreed or not. There was no further business to come before the Council and KELLEHER MOVED to adjourn the meeting at 4 : 50 p.m. , Leahy seconded. Motion carried. Betty Gray, CPS Deputy City Clerk i - 3 -